Planning future price rises
Posted: Wed Jan 29, 2025 8:15 am
As part of a regular annual increase – this is the best way to head off a shortfall in your finances ahead of predicted rises in running costs. It is probably the easiest way to raise prices without upsetting your customers.
Price rises are often better received when they are small, regular rises, rather than large, infrequent rises. So, think long-term with your pricing strategy. A 5% increase each year is much more manageable than raising the prices of your service by 20% every 3-4 years.
Communicating the price increase
You have a couple of options when it china rcs data comes to informing customers of fee increases:
Through renewal notices that can be automatically sent via your admin management software
Through mass communication, such as email, newsletter or a notice displayed in your organisation’s building or on your website
If your price increase is not due to regular/annual increases, then you should consider offering justification for the rise.
But if you are happy that people see the value in what your organisation offers, then you may feel justifying the rise is not necessary. In this case, mentioning the increase alone will suffice.
We touched on future-proofing price rises earlier on, but the importance of forecasting cannot be stressed enough. If customers expect price increases, they will be more amenable to paying them. What you need to ensure is that people continue to consider your organisation’s offering as a real value for their fees.
How you manage price increases can be integral to the future growth of your organisation – get it wrong and you could see people starting to leave. Get it right, however, and you will continue to keep your organisation comfortably afloat.
With LoveAdmin, people can pre-authorise future payments. That means if there is an increase in fees, you can still collect what’s due automatically.
Price rises are often better received when they are small, regular rises, rather than large, infrequent rises. So, think long-term with your pricing strategy. A 5% increase each year is much more manageable than raising the prices of your service by 20% every 3-4 years.
Communicating the price increase
You have a couple of options when it china rcs data comes to informing customers of fee increases:
Through renewal notices that can be automatically sent via your admin management software
Through mass communication, such as email, newsletter or a notice displayed in your organisation’s building or on your website
If your price increase is not due to regular/annual increases, then you should consider offering justification for the rise.
But if you are happy that people see the value in what your organisation offers, then you may feel justifying the rise is not necessary. In this case, mentioning the increase alone will suffice.
We touched on future-proofing price rises earlier on, but the importance of forecasting cannot be stressed enough. If customers expect price increases, they will be more amenable to paying them. What you need to ensure is that people continue to consider your organisation’s offering as a real value for their fees.
How you manage price increases can be integral to the future growth of your organisation – get it wrong and you could see people starting to leave. Get it right, however, and you will continue to keep your organisation comfortably afloat.
With LoveAdmin, people can pre-authorise future payments. That means if there is an increase in fees, you can still collect what’s due automatically.