How do I raise prices without scaring away my clientele?
I have been in business since 2002 and the cost for the services I provide have never increased. With the cost of overhead more than creeping up each year, my profit is at a standstill and I feel as though I am running this business just to make a living for everyone around me. How do I increase the cost of services without losing the clientele I have worked so hard to build?
Are your current prices on par with those of your competitors? If so, you can't just raise prices on your current service--that is, unless you add value. Upsell current customers by adding a new level of service or a new service/product bundle that customers will find desirable. You can continue offering your old service at the old rate but begin to phase it out as you move clients up to more profitable services.
As president of Pomona, N.Y.-based marketing-advantage and founder of WomenCentric, Pattie Simone empowers ambitious women, companies and entrepreneurs worldwide, sharing smart new media, client engagement, entrepreneurial and communications expertise as a techpreneur, consultant, speaker and video blogger.