As consumers, we face price increases all the time. From Amazon to Netflix, major price hikes often cause irritation or backlash. When trying to grow your small business or startup, the pain point is no different. However, raising your prices is a necessary step if you are looking to grow your company, stay competitive, and become more profitable.
Luckily, there are steps you can take to be smart and strategic with your price increase without turning away your loyal customers. To responsibly raise your prices, you’ll want to consider timing and seasonality. Assess all potential for backlash and mitigate risk as much as you can. If you have an opportunity to add on services, provide more value, or offer a higher quality product, you can better justify your price increase. Always be transparent, honest, and communicate the added value to your customers.
For specific examples on how to raise your prices, check out the infographic below from Valpak. They offer twelve steps to raise your rates with added tips on how to best communicate the increase to your clients. You may find that raising your prices isn’t as daunting or complicated as it may seem!