Putting up your prices

[DSt]

Hi everyone

When I started out at the beginning of 2004 I was charging £25. This April I decided that I needed to raise my prices but I didn't want the increase to be too steep. I therefore raised the price to £28 and wrote to all of my clients in advance informing them of the increase. I now want to make a further increase to £30, but my question is is it too much too soon? £30 is a reasonable price in the area I live in, and I feel sure it isn't out of the reach of my clients. But should I leave it until the new year perhaps? All thoughts and suggestions are welcome.

 

[Frigomagand]

Hi At One,

Personally, i would leave your further price increase until the new year. Too much too soo could leave your clients rather confused as to why you are putting your rates up so quickly. A steady increase however, over a longer period of time looks more professional and you can blame it on the economy i.e. prices of these types of therapies are always on the increase as theirpopularity increases.

I would also suggest that when you do introduce your new rates, you start an incentive to try and entice new clients into your practice.
I currently have an incentive running that is proving really popular with my existing and new clients. I ask existing clients to introduce a friend to the therapy. When their friend books their first treatment, they receive a £10 discount. The existing client receives a free treatment for introducing their friend. It is really popular and tends to take the emphasis away from your price increase.

You could also provide a discount for clients who book a course of treatments.

Other people on the forum may have other ideas for your to try, but in my opinion, its best to take it slowly when increasing rates.

Hope this helps.

Kate xxx

 

[Hey you]

Hi Siobhan,

Not easy to answer that one. My gut feel would be that it is too soon and to wait until the new year. Perhaps usher it in with an offer to existing clients of block booking some sessions at a slightly discounted price. That gets new clients in at the new rate and softens the blow to existing clients.

Really depends on the strength of your client base and how much regular business you get from repeat clients. You say that £30 is reasonable for your area so hopefully you won't loose many clients to the local competition.

Have you broached the subject with any existing clients to sort of test the water as to their reaction?

In the end it is a descision that only you can make.

 

[angelaplaxton]

Thanks to both of you! The increase in April was greeted positively by my clients (who basically said 'you're worth it'!). You both echo what I've been thinking about waiting till the new year, and also taking advantage of the opportunity to offer an incentive of some sort. I value my clients very much, and want them to continue to feel that they are getting great value from me.

 

[FOX News is the best]

I'm sure that whatever you decide to do you will keep all of your existing clients. If you have built a rapport with them and they feel at ease with you they are unlikely to go elsewhere just because they can save a few pounds! Keep up your good work and clients will be more than happy to pay your new rates, because you are worth it!!! (i sound like the woman from the L'Oreal ad!!! ha ha)

Good luck hun.

Kate x

 

[Rosendo Dave Britt]

Yes I would leave it. I increase my prices every 2 years by around 15-30% and have just gone from £25 to £30 myself. I would leave it until April if I were you, then you can say that this is the first price increase in a year.

Sarah x

 

[McBraas]

It's up to you although I would personally wonder why it's gone up twice in such a short time period. I would say if you want to get them to £30 just do it in one go, I know you can't change it now, but do feel it's easier to shock them once and people wont get confused. I'd be tempted to leave it till at least New Year..

 

[Yay Nicholas is here!]

Interesting thread as I have been thinking about my prices which I think are too low. I am home based and I priced myself below the local beauty salon prices to try and attract clients. I don't think that the clients that I have come because of the price to be honest and so I think that I would be okay to raise them. I was thinking about the new year. But how do you go about it?? I presume that I tell regular clients before hand so that they don't get a shock - not that I am putting it up by much. And then what about people coming with old price lists?? Am I honoured to do the treatment at that price and then charge them the new price for subsequent treatments?? Funnily enough a client today asked if I was still the same price.

 

[cjmyliui]

Sounds like you've made up your mind Siobhan, but I'll add my five eggs anyway. If you've increased in April, it seems a little soon to do so again. You could always quote a higher price to new clients though, and keep the old one for your regulars? Good luck anyway!

Matt

 

[Pompal 09.]

I have had two price increases in 6 months - unfortunatley it has been unavoidable - I would have normally waited until April - however I didn't increase all of my prices just the therapies that have been hit with the biggest cost increase to me. It'll be next month before I find out what the effect has been.

Ho hum

FBx

 

[Tango & Amber]

I now wish I had bitten the bullet and just increased from £25 to £30 like you did, Sarah. I listened to the advice of someone else who told me to increase the prices gradually, which is nobody's fault but my own. We all make mistakes in business, and this isn't disastrous by any means. Just a lesson learned. I'm waiting till next year to do anything. Hope things go OK for you, FB.

 

[Sláinte xxxx]

When I raised my prices over a year ago to £27 i only charged new clients that and kept my regulars on their same price.
I have a problem sometimes remebering what that is. Ranging from £20, 23, 24, []

I offer clients who seem to need a course a pay in advance for 6 get 7th free scheme, which is popular, but means I only get £23 per treatment, so mostly only offer it to those i like or are a bit hard up.

I mostly reduce fees for the retired and elderly.

How much do you charge for massage?

Jan x