How To Implement A Price Increase
In my previous blog post When To Increase Your PricesI discussed the circumstances when a price rise may be in order. Once you’ve decided to increase prices you need to decide how.
There are a few ways you can implement price increases;
This is the most straight forward method, simply increase prices by the whole amount. Doing this may lose you some customers who will reject a price rise. Of course if you’re trying to influence supply and demand then this is the point.
Incremental price increases
If you want your price rise to go under the radar then you could make a few smaller price increases over time. However, this strategy may appear to customers as if your prices are constantly rising.
Instead of a direct price increase you can stop sales promotions and be firmer in negotiating situations. This will increase revenue without the requirement of a direct price increase.
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