Should you put your prices up?
We often get asked by clients, “Should I put my prices up?”
Our answer is, “Yes, put your prices up!”
And the next question is, “How?”
There’s little argument against the need to increase your prices. We’ve all been hit with price increases from suppliers and costs have gone up. Just look at petrol prices!
So, the question really becomes, how?
Cold Turkey.
Straight up. Just put your prices up. Today.
Increase them by 3%.
If your price was $1,000, that would become $1,030. Will you really lose a sale over $30?
And if you did, maybe you’re better off without that customer.
Bundle Up.
When you bundle two or more items together, particularly with a low cost item, your value proposition becomes even more attractive to your customers.
Add in something they would really appreciate, but which is low cost to you, but brilliant to them.
Communicate.
Above all, communicate with your clients. They’re not too interested in the reasons for the price rise, but they don’t want to be blindsided either. Remind them of how great it is doing business with you, how awesome you are and how much better their lives are since dealing with you!
But at the end of the day, put your prices up.
COVID and the lockdowns have smashed the economy and prices have gone up during this time. It’s critical to the survival of your business that you pass these increases on.
Let me know if you’d like to talk about your situation.
Peter
