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Ian101

  • Posts: 7889
Price increase ... do you loose many ?
« on: September 23, 2010, 10:31:49 am »
Will be doing a price increase next month on some customers (underpriced work I bought but got it cheap so not moaning) (not bought off a member on here  ;))  ... from experiance do you loose many ?? ... talking at most £1 to £2 on about 20 houses and 4 houses going from £6.50 to a tenner - think the previous windy was in a good mood / drunk / high the day he priced them  :)

Not too worried about loosing the £6.50 as big houses with about 12 windows  :o ... would normally be £12 in my world but thinking 100% price increase and they will defo cancel so £10 a compromise in my eyes.


mlscontractcleaner

  • Posts: 1483
Re: Price increase ... do you loose many ?
« Reply #1 on: September 23, 2010, 10:52:26 am »
It's often been said on here that even if you loose a few you'll be cleaning less houses for the same money; freeing up time to fit in a few new customers at your new prices - good times ;D

You may loose the odd customer but to be honest, if they can't stretch to another £1 you don't need them ;)
Come and talk dirty to us!!!

Wc Solutions

  • Posts: 1829
Re: Price increase ... do you loose many ?
« Reply #2 on: September 23, 2010, 11:27:14 am »
It's often been said on here that even if you loose a few you'll be cleaning less houses for the same money; freeing up time to fit in a few new customers at your new prices - good times ;D

You may loose the odd customer but to be honest, if they can't stretch to another £1 you don't need them ;)

ill def second that, spot on in my view

Londoner

Re: Price increase ... do you loose many ?
« Reply #3 on: September 23, 2010, 12:07:09 pm »
If you take my advice you will tell them now the prices will have to go up from the first of Jan. That way they know and have time to get used to the idea. But you are not asking them to pay any extra now.
Its also easier for you to broach the subject gently of an increase at some time in the future because they don't feel its immediate..

When the 1st Jan arrives they will have already absorbed the increase in their minds.

The problem comes when you hit them with an increase they are not expecting. Thats when you can get an adverse reaction.

steven ainger

  • Posts: 1953
Re: Price increase ... do you loose many ?
« Reply #4 on: September 23, 2010, 01:11:05 pm »
If you take my advice you will tell them now the prices will have to go up from the first of Jan. That way they know and have time to get used to the idea. But you are not asking them to pay any extra now.
Its also easier for you to broach the subject gently of an increase at some time in the future because they don't feel its immediate..

When the 1st Jan arrives they will have already absorbed the increase in their minds.

The problem comes when you hit them with an increase they are not expecting. Thats when you can get an adverse reaction.

i agree with vince,
 im going to be putting some prices up next year and have already started to tell custies.
 im also saying that the increasae in the vat will be a contributing factor, with rising fuel and equipment prices.

A & J Owen Window Cleaning

  • Posts: 2192
Re: Price increase ... do you loose many ?
« Reply #5 on: September 23, 2010, 01:16:08 pm »
I'd probably agree if you are asking for more than 50p or a £1 but for such a small increase I really don't think notice should be required. Also, a price hike in January might 'hurt' more then than it does now as everyone will be skint after Christmas and having to absorb increased costs for VAT increase.

We had one refuse a 50p rise, we just told her that we can keep same price but will leave the garage windows and she was happy with that. We have lost one customer due to a price increase but it gave us the opportunity to fill her slot with a more profitable one!

I agree with comments above that if you do lose a few overall it's better to have correctly priced work now rather than in a few months time.

Re: Price increase ... do you loose many ?
« Reply #6 on: September 23, 2010, 03:06:32 pm »
I have had 10 to 20% increases for 2 years in a row and not lost any clients only the ones I have cast off due to time wasters.

Re: Price increase ... do you loose many ?
« Reply #7 on: September 23, 2010, 04:13:11 pm »
My advice would be not to compromise. Put the price up to what it should be, not somewhere inbetween. If they say anything, trot out the old "It's the reason he passed it on" speach.

I had to do this with some I got from a retiring shiner. There was the odd loss but any loss is negated by the price rise.

When mine go up I tell them that the price is fixed for 2 years and also remind them of the last increase, which is now over the 2 year mark.

lyndy

  • Posts: 384
Re: Price increase ... do you loose many ?
« Reply #8 on: September 23, 2010, 04:32:46 pm »
I would put them up in spring time

Re: Price increase ... do you loose many ?
« Reply #9 on: September 23, 2010, 04:45:20 pm »
If it's a regular price increase yes go for spring. If it's because they are half your normal price do it now. There is no point working for half money.

Paul Coleman

Re: Price increase ... do you loose many ?
« Reply #10 on: September 23, 2010, 06:24:38 pm »
I put £1 on most of them this year.
Normally when I do this I might lose one - possibly two.  This year I lost six.  However, only one was definitely because of the increase.  Another two were possibles.  The others definitely cancelled because they lost their jobs.  No problem.  I've had three new customers in that time and the money balances out because they were larger jobs.

formb

Re: Price increase ... do you loose many ?
« Reply #11 on: September 23, 2010, 06:41:48 pm »
Whenever I put mine up it's around 10%

I expect to lose 10% of my customers. Never actually that high though.

dai

  • Posts: 3503
Re: Price increase ... do you loose many ?
« Reply #12 on: September 23, 2010, 08:04:05 pm »
Vinces advice it spot on. I tell them in October that prices will have to go up next year, and that begins the first of Jan.
They know it's coming, but it's too far away to worry about.

p1w1

  • Posts: 3873
Re: Price increase ... do you loose many ?
« Reply #13 on: September 23, 2010, 08:35:02 pm »
i don’t see the difference imo if you pre warn them that far ahead or not if someone is going to cancel when the price goes up there going to do it if you give them 6 months notice or 1 months notice and i bet 90% that you tell would of forgotten anyway when the time comes it’s not like they’re going to start saving for it. Not at all knocking the advice given, just my humble opinion  :)

paul