Price Rises

[Chris34]

I'm not really looking at inflation, I'm going off my gut feeling. Inflation is a measure of what's happened in the past, my gut feeling is where it's going to be in the future.

One of my cheaper customers who has asked me to delay direct debits by a week in the past told me that they are going away on 3 holidays this year, they've not been away like this before. For me that's an indicator that there is more money floating about.

I also look at things like having a coffee and cake. If a coffee and cake are £7 then having your windows cleaned for £20 sounds like a good deal to me.

I've not put any up yet, think I did two in October but decided to wait a bit longer to see what the inflation numbers were saying in December. I think my minimum will be £20 and £15 for a front only for any new ones.

Now I know some get all defensive and offended, but as ever pricing depends on your area (I'd say the average wage in my areas is probably £37k, some might be more like £50k, so obviously window cleaning prices will reflect the local areas income), but to give you an idea my current pricing is priced at £60 p/h on the job (not off the job, travelling in between etc), I'm going to be looking at increasing mine to £65 p/h for current customers that need an increase and I'm contemplating £70 p/h for new customers. So this would be between at 9% and 15% increase.

I don't price to the £1, I price to the nearest £5 as it just sounds easier to me (in my opinion). So a £25 job would be increased to £30. £30 to £35 etc. A £30 job that refuses would be offered £40 every 8 weeks which most seem happy to accept when that's happened.

 

[Iron Giant]

One cancellation came in this morning 4 bed house with extension husband has a good job wife doesn't work it went from £18 to £21 probably took 15-20 minutes to clean,

I offered 8 weekly at £30.00 which would work out at £15.00 every 4 weeks so saving them money, she said husband is going to clean them I don't think that will happen.

Put up jobs this morning all retired the oldies didn't bat an eye lid and I picked up a new job as well.

 

[Chris34]

One cancellation came in this morning 4 bed house with extension husband has a good job wife doesn't work it went from £18 to £21 probably took 15-20 minutes to clean,

I offered 8 weekly at £30.00 which would work out at £15.00 every 4 weeks so saving them money, she said husband is going to clean them I don't think that will happen.

Put up jobs this morning all retired the oldies didn't bat an eye lid and I picked up a new job as well.

You've done the right thing, they will either come back to you or you will find new customers at the new rate. If we kept the prices the same then we would be all going slowly out of business. It's probably the hardest part about business, especially ours as we have a sort of friendly approach and it seems like we're their friends, which can be the case, but the bottom line is we are running businesses and we are doing it to keep our own roofs over our own heads.

I think the key is to increase them high enough so that those that cancel are made up for the ones that don't cancel paying the higher rate. In your case, you would need 6 not cancel to pay for the one that cancelled. For me I put up say a £25 one to £30 and I would need 6 not cancel to pay for the one that cancelled. So it's probably about the same.

I do have a couple of smaller ones that are £18, they were £15 and I put them to £18 in October 2022. It's on an estate that has smaller houses and if they both had cancelled it would have made it difficult for me to operate on that estate, effectively it's near enough an afternoons work. So if I had put them to £20 and they cancelled it would have been a pain for me. My thinking was to do it in two stages, £15 to £18 then £18 to £20. They will be going to £20 probably March.

I had a retired one before Christmas that cancelled, a row of 3 bungalows, hers was the one in the middle. Every 8 weeks, put it up from £25 to £30 and she cancelled. Put one of the neighbours up from £30 to £40 and she accepted and couldn't believe her neighbour had cancelled 'for the sake of £5' (in her words). She said she's not short of money. The other neighbour was at £30 but I've only increase it from £25 to £30 in 2022 so thought it's border line and maybe just wait a bit longer.

 

[spruce]

I set up my business nearly 5 years ago and haven't raised my prices in that time. Inflation has gone up roughly 20% since then. I've been reluctant raise prices to due to the cost of living crisis and with the interest rate rises now doesn't seem like a good time to either. But at this rate my mortgage could be due to double next year.

Has anyone else been putting it off? How has it gone down if you have increased you prices? Cheers.

The energy giants, supermarkets, the councils, etc didn't give a hoot about whether the country could afford their price rises. They didn't worry that it was them who were responsible for causing the run away inflation we have experienced due to their greed.

The predicament we are in had, and still has, nothing to do with us.

We have to work with it. If you need to raise prices then this is what you have to do.
No matter how justified our increase is, there will be customers who object and cancel our service. It's the nature of the beast. If you are well established then you will in time replace those who go away.
It can be very disheartening for newer cleaners who are trying to establish a round to accept that they will lose customers. That's the reality of business.

The longer you leave a price increase the harder it is 'recover.'

 

[Chris34]

The longer you leave a price increase the harder it is 'recover.'

From what I've seen since starting, 5 years ago now, is the ones that don't put up the prices are the ones that never do and end up bitter and angry against the customers like it's their fault they're working so hard and not getting much in return. It's almost like they think the customers control their rate of pay but any mention of higher rates is either lying or classed as 'ripping people off'. This is not in relation to people on here (although it probably does match some), it's what I've witnessed when actually out and about and talking to other window cleaners and their ex customers.

In short, I think it's a case of you set out your stall as you mean to go on right from the very beginning. If you start out cheap then you will always be 'cheap'. It seems very difficult to change if not impossible. It's almost like trying to change a habit.

Likewise if you never increase your price, always holding off because of one excuse or another (wars, energy prices, not wanting to be seen as being involved with 'greed inflation'...) well the only one that suffers is the business owner. Everyone else is not concerned whether you are struggling.

 

[WindowLicker]

Thought I'd revive this post as it's that time of year again well usually Easter I raise mine but thought sod it, I was using Inflation calculator to give a reasonably accurate price increase on jobs, but it only factors in inflation until last year, I found this one Historical UK inflation rates and price conversion calculator this morning which calculates up to this year well actually I think December 2023 although not sure which is the most accurate as they both give different figures so I'm inclined to go somewhere in between the two calculations

I started raising prices yesterday and although it's too early to tell I'm confident the increases will all be accepted as it's been around 2 years since the last increases and most got raised by £3 as I felt £4 on these jobs was maybe a push too far and they are good paying jobs all fairly close together.

Yes. I couldn't wait till March/April because I'm putting my prices up by 10%-30% to bring the prices upto 2023 levels which will mean next year Spring I will must have to increase the prices by another 5%-15% to be where I should be now.
That's the result of the last 3 years. I have put up prices 5-10% for half of customers then the other half the following year.
So this year's price increase is between £1-£5 depending on how underpriced or how valuable, profitable the work.
I'm ready to loose 50-70 customers and I'm still gonna be good. Because I'm going to pick up another 20-30 new customers for higher prices within a year time.
I'm looking forward to it how many will cancel it. I can't wait basically for them to cancel.
I'm never going to go a year without any increase again. That's a huge mistake!
They're really not friends. No matter how nice a customer is. Time is Money. It's BUSINESS!

 

[WindowLicker]

What I have learned in the last 3 years since I started is to look for long term. Project your 2026/27 prices and spread the cost of price increases throughout 2 to 4 years.

Where you wanna be and where you have to be.

Folks arguing about £1-2 plus or minus should not have a window cleaner anyway.

Also customers are not set in stone.
They can die anytime, they can sell the house or just cancel your services out of the blue for no reason and without any plausible explanation.

And dying customers and house sales are getting more common as the vaccines kick in and the financial situation encripples.

So, for example a customer is paying £15/month but it really should be £17-18 but you decide to not increase their price till next year when it really should be £19-20

By the time you wanna put up their price by £4-5 they could move out or be dead.
Which would mean that you have given them 2 to 3 FREE Cleans and they won't be a customer any longer so you won't be able to make up for your losses.

Prices must go up EVERY YEAR!

 

[Yogi1872]

I’ve been putting mine up again, 3rd time in 10 years, when i check the inflation calculator from 10 years ago they all add up to it. Tell them to check it themselves if they question it.

 

[ks789]

I dont think to necessarily put prices up EVERY year is the way to go. Its just right now with everything else going up its a must. Or we may as well all do a 9 to 5 on paye.
I heard of a local windy been going for years and apparently he's never put his prices up, which is crazy. He must see that he's on a hiding for nothing, but just carries on, but not good for when he eventually retires and all his custys get a shock when getting quotes of a new cleaner. The more of us that charge proper decent rates the better.

 

[Yogi1872]

I dont think to necessarily put prices up EVERY year is the way to go. Its just right now with everything else going up its a must. Or we may as well all do a 9 to 5 on paye.
I heard of a local windy been going for years and apparently he's never put his prices up, which is crazy. He must see that he's on a hiding for nothing, but just carries on, but not good for when he eventually retires and all his custys get a shock when getting quotes of a new cleaner. The more of us that charge proper decent rates the better.

I usually try do it every 5 years, and just use the inflation calculator as a guide of what it should be going up. Inflation has dictated that I'm putting them up after 2 years this time. Il hopefully not have to do it again so quickly next time

 

[Power Clean External Serv]

I set up my business nearly 5 years ago and haven't raised my prices in that time. Inflation has gone up roughly 20% since then. I've been reluctant raise prices to due to the cost of living crisis and with the interest rate rises now doesn't seem like a good time to either. But at this rate my mortgage could be due to double next year.

Has anyone else been putting it off? How has it gone down if you have increased you prices? Cheers.

I have not out my prices up either. Mine been the same for 4 years now but went in a bit high anyway so feel I have priced right for me. I think it all depends on the individual. Two things I have never done is try and poach work or try and undercut someone. No point in dragging the prices down in the area imo.

 

[Power Clean External Serv]

I usually try do it every 5 years, and just use the inflation calculator as a guide of what it should be going up. Inflation has dictated that I'm putting them up after 2 years this time. Il hopefully not have to do it again so quickly next time

I agree,keep the value. I have just taken on two houses. I'm in outer London so do appreciate prices will be on the high side. Having said that I like to think I'm fair with my prices. One is a three bed semi with a conservatory and the other is a four bed detached. The previous WC was doing both for £10 each. No wonder he retired?I said,'sorry can't compete with that' and both said that they realised he was too cheap and expected to pay more. So we agreed on £25 and £30 which is the normal here.

 

[KevinJ]

I set up my business nearly 5 years ago and haven't raised my prices in that time. Inflation has gone up roughly 20% since then. I've been reluctant raise prices to due to the cost of living crisis and with the interest rate rises now doesn't seem like a good time to either. But at this rate my mortgage could be due to double next year.

Has anyone else been putting it off? How has it gone down if you have increased you prices? Cheers.

Put my council houses up from £6 to £7.didnt lose a single customer. I've had some put them up by themselves. Even if you lose a few(which you won't) you'll be doing less work for more money. Agree with doing it face to face, I usually tell them the increase will be on next clean. Go for it.

 

[Iron Giant]

Put my council houses up from £6 to £7.didnt lose a single customer. I've had some put them up by themselves. Even if you lose a few(which you won't) you'll be doing less work for more money. Agree with doing it face to face, I usually tell them the increase will be on next clean. Go for it.

Should be £10-12 not £7

 

[Yogi1872]

Should be £10-12 not £7

Mines are only £7 or £8 tbh, someone else who works in the street is £`6 and another guy is £5, wouldnt get £10 to £12 where i am, theres only 2 days out the month im in council streets though and each day i do around 40. A lot of them only have 6 windows. suppose if i was only doing one or 2 in a street id try my luck and explain the time it takes for me to come in just for 1 will reflect on the price. the biggest company around here does 4 bedroom detached for under £12, never mind as council house.

 

[dazmond]

Each to their own but I never put up prices in Jan!I think it's the worst time straight after xmas.

It's always from April (start of the new tax year)....

I also don't put up prices every year...that means some jobs are going up every 7th clean which again IMO is just too frequent!

Most go up every 2 or 3 years,some 5 years

Small jobs £1-£2 and larger jobs £3-£5....

 

[jaydogg]

I set up my business nearly 5 years ago and haven't raised my prices in that time. Inflation has gone up roughly 20% since then. I've been reluctant raise prices to due to the cost of living crisis and with the interest rate rises now doesn't seem like a good time to either. But at this rate my mortgage could be due to double next year.

Has anyone else been putting it off? How has it gone down if you have increased you prices? Cheers.

I gradually increased my prices, £2 increase per year since the pandemic and I've stopped for now. If you times that by how many customers you have, in my case nearly 200 customers, that's a phenomenal increase in income. It would even work with a £1 increase, so try it. ??

 

[adamangler]

Started putting mine up yesterday. With this bad weather and crimbo I'm about 3 weeks behind. Can't keep chasing my **** all the time. Need to get em up and lose a few then replace with higher priced stuff. Lost 2 so far got another 200 or so to put up. Losing 20 or 30 would work out great. I put a lot up last year and more the year before but with price increase the way they are going can't do nothing.

I wanted to wait till April thats ideal but I need a cull now.

 

[David K]

My invoices states as a standard text at the bottom “, prices are regulated yearly according to the inflationnumbers in the country”, and i raise them in september, to avoid attention. Last yr it was 9,8 %, and i think it was 4% this year. In my oppinion ,every 3-5 yrs in these days is crazy , as doing it often ,makes small jumps, but the increase after say 5 yrs would be around 20% under normal inflation , THAT would offend a lot of customers. As mentioned ive lost around 3-4 customers, but gained better ones. I won,t get left behind, and inflation dont wait on anyone, its just math and def not about a gut feeling. My guts would never have suggested a price increase of 9,8%, glad i have my stats to check instead.

 

[dazmond]

So how much do you turnover then?if I put my prices up every year I'd be paying 40% tax now!no thanks!?

 

[Part Timer]

So how much do you turnover then?if I put my prices up every year I'd be paying 40% tax now!no thanks!?

I don't know if sole traders can so speak to an Accountant. Can you not just set up a pension plan and put money into it to keep below 40%. If not become Ltd and do it that way, crazy turning down money without investigating legal ways round the 40% tax threshold