How To Raise Prices and Keep Your Customers

The last couple of years have been hard for most of us. From the global pandemic to inflation and insane cost of living, it seems like we can’t catch a break. It is no wonder that you are feeling a bit nervous about increasing your prices for the customers. There is always a possibility they might decide to hire someone else who would do the same job for less money. That could be a huge blow to your budget.

However, communication is the key, and knowing how to break the news to your customers can help. Most clients will understand your decision to increase the fees, so there is no need to hesitate. Here is how to keep your customers despite the higher price:

The right timing

As usual, the timing is everything. And you have to establish yourself and your brand before you make a price change. It means you should ensure your customers are satisfied with your product or work. Deliver outstanding results in the months before the actual price change, and your customers will likely stay on board, regardless of the higher price. Also, give your clients enough time to adjust their budget. Inform them about the upcoming changes weeks in advance, and they will appreciate you even more.

Get straight to the point

Don’t try to avoid the very subject of the price increase. It will send a wrong message to your clients and make them rethink continuing to work with you. Be honest and give a direct statement. Otherwise, you might upset some of them, leading to a backlash. Be ready to deal with the negative messages too. These could be a bit upsetting, especially from a long-term client, but stick to your reasons and repeat them. Remember that you might lose a couple of clients in the process, and that’s okay. It is all a part of the job. Sooner or later, others will find your business or services and decide to work with you.

Provide a clear explanation

It is best to start by making an official blog post or a social media update explaining the reasons behind the price increase. It will save you time because you don’t have to inform every client separately, and they will know the changes are not personal. Believe it or not, this move can help you build trust and bring more clients in. Since you are probably an individual running your own small business, the public post will make you more human and genuine.

Tell your story

As previously mentioned, clients sometimes forget that a real person is doing all the work on the other side of the screen. They have to organize their daily lives, stay on top of the workload and hit the deadline every time. Therefore, make sure the communication is as personal as possible. Your tone should be relatable. While formal emails are welcome in a professional setting, avoid writing in the third person, especially when discussing something like this. Be completely honest and open about the increase.

Don’t use negative language

Yes, you might feel like the price increase might end your career, but trust us – it won’t. Instead of using negative language, create a list of benefits your clients can expect with the increase. They are aware of your value. And how do we know that? It is simple – clients rarely stick around if someone doesn’t deliver what they ordered. So mention how you plan on improving the quality of your product with the price increase. For instance, graphic designers can mention investing in new software or purchasing new hardware, making their designs more high-quality.

Don’t apologize

Apologizing to your customers regarding the price increase might give off an impression that it is something wrong and you regret it. But the truth is many people suffer from imposter syndrome and often don’t see the real quality of their work. Chances are, your products are exceptional, which is why your clients keep coming back. Therefore, there is no need to apologize for the price change. Instead, accept your talents and be proud of your work ethic.