1-888-353-5012Raising prices is always a challenge. But with the challenges facing small business owners today, it’s a conversation you can’t afford NOT to have. You started your business to support a life you dreamed of. Are your current prices supporting that dream? Have you passed on prices increases from your suppliers to your customers? Or have you absorbed them?
Most consumers don’t make decisions based on price as much as you think. To make sure you’re charging what you need to charge, you must know your numbers. If you want to study the economics behind this, Lawrence Steinmetz’s book “How To Sell At Prices Higher Than Your Competition” is an interesting read that covers this topic in depth.
We are all in business to make money, and we must charge in line with the value we deliver.
If your prices are 10% too low, you have to do three times more work to equal the same profit. However, if your prices are 10% too high, you could lose up to 40% of your business… yet STILL manage to make the same profit.
If you haven’t raised your prices lately, it’s time to review your numbers and ensure your business is working for YOU. There are lots of creative strategies to employ. If you haven’t yet read the enclosed article about PROFIT, turn to it now. And thanks Sam from Jantz Cafe for finding this great quote!