Price Increases Advice

[NewGuy]

I agree, I'm going to do it! 

Thanks for the encouragement. 

Started today, texted a friend today and told her I can't do "mates rates" anymore and I need to increase her price by £12 as well as change her from 8 to 6 weekly! 

No response yet so I suspect I've lost her custom. She lives in a 4 bed detached with a conservatory and the job takes 45 minutes. She used to pay £12 before I took over last year! 

 

[scottish cleaning service]

Started today, texted a friend today and told her I can't do "mates rates" anymore and I need to increase her price by £12 as well as change her from 8 to 6 weekly! 

No response yet so I suspect I've lost her custom. She lives in a 4 bed detached with a conservatory and the job takes 45 minutes. She used to pay £12 before I took over last year! 

Aye, I did the same at the beginning and wish I hadn't. They all get used to low prices and it's hard to do a big increase. I prefer charging a real price and I'm happy doing the clean rather than the other way round. ?

 

[NewGuy]

She agreed to my increase and to move to 6 weekly. 

A few others have agreed to move from 12 weekly to 6 weekly, no questions asked. One declined but I expected her to. 

Another in a flat agreed to a £8 increase, £12 to £20. 

I'll focus on a few others gradually but won't change many more for now as their prices are quite robust. 

 

[NewGuy]

Aye, I did the same at the beginning and wish I hadn't. They all get used to low prices and it's hard to do a big increase. I prefer charging a real price and I'm happy doing the clean rather than the other way round. ?

I know what you mean but a customer of mine mentioned to me that's she going round recommending me to her friends and that I'm cheap! 

I've never been so offended ? 

 

[Robt100]

She agreed to my increase and to move to 6 weekly. 

A few others have agreed to move from 12 weekly to 6 weekly, no questions asked. One declined but I expected her to. 

Another in a flat agreed to a £8 increase, £12 to £20. 

I'll focus on a few others gradually but won't change many more for now as their prices are quite robust. 

Great news! So you've made at least £20 more PLUS doubling the frequency of some cleans? Very well done sir.

I'm hoping others that might be afraid of loosing customers if they add £1 or £2 to their price can read through this and see that its worth the 'risk'.

Did another 6 houses today, 1 is new, the other 5 had a total of £25 worth of increases. Nobody has come back to me yet, but I reallly need to loose a few or I end up with an odd half day?

 

[NewGuy]

Great news! So you've made at least £20 more PLUS doubling the frequency of some cleans? Very well done sir.

I'm hoping others that might be afraid of loosing customers if they add £1 or £2 to their price can read through this and see that its worth the 'risk'.

Did another 6 houses today, 1 is new, the other 5 had a total of £25 worth of increases. Nobody has come back to me yet, but I reallly need to loose a few or I end up with an odd half day?

Yes it’s great, but I’m cutting a few jobs as well that are an inconvenience for me so it balances out but at least I’m not out of pocket. 

Sounds like you’re doing the same as me, increasing your money on one hand and losing on the other!
 

 

[Iron Giant]

Started today, texted a friend today and told her I can't do "mates rates" anymore and I need to increase her price by £12 as well as change her from 8 to 6 weekly! 

No response yet so I suspect I've lost her custom. She lives in a 4 bed detached with a conservatory and the job takes 45 minutes. She used to pay £12 before I took over last year! 

I never done mates rates as you make a rod for own back, neither do I do pensioners rates or owt else. I am running a business not a charity, 

For add on jobs I might knock a bit off what I would normally charge, but that's only for really good mates who have been their for me and wife, because as we all know there is proper mates and just mates. 

 

[Jaygti]

I know what you mean but a customer of mine mentioned to me that's she going round recommending me to her friends and that I'm cheap! 

I've never been so offended ? 

i had this. A customer recommended me, and said he’s very good, and very reasonable too!

 I was devastated ??

At least I know when the price is due to go up next year, I can stick a bit extra on?

 

[Iron Giant]

i had this. A customer recommended me, and said he’s very good, and very reasonable too!

 I was devastated ??

At least I know when the price is due to go up next year, I can stick a bit extra on?

It really depends what the custy meant by that, they could have meant that you offer a really good service for the price which she thinks is well worth the money she pays, it doesn't she meant that you are cheap. 

 

[Nosey]

Brilliant to see the progress people are making in bumping up their prices.

I’m doing the same at the moment. Some of my prices haven’t gone up in over ten years. Majority I’m doing are by £2-£3 and some £5. Just had one customer moan at me about it though which isn’t the first in the last week. But this was one seem to resent me because her husband has had 20% pay cut. Like I’m just giving myself a pay rise. I’m only updating my prices. I’ve only increased it by £2 from £12 to £14 and she was not happy. I’m hardly being unfair. It’s been 10 years. Window cleaners I know would charge £20 for that house being a big 500k detached.  Can’t let that knock my confidence because of the times. I just need to keep going and what I lose I lose.

 

[Robt100]

Brilliant to see the progress people are making in bumping up their prices.

I’m doing the same at the moment. Some of my prices haven’t gone up in over ten years. Majority I’m doing are by £2-£3 and some £5. Just had one customer moan at me about it though which isn’t the first in the last week. But this was one seem to resent me because her husband has had 20% pay cut. Like I’m just giving myself a pay rise. I’m only updating my prices. I’ve only increased it by £2 from £12 to £14 and she was not happy. I’m hardly being unfair. It’s been 10 years. Window cleaners I know would charge £20 for that house being a big 500k detached.  Can’t let that knock my confidence because of the times. I just need to keep going and what I lose I lose.

£3 increase for every £10 of 'charge' would mean you are just keeping up with inflation, so that would put you on the same Value as you originally priced the jobs at?
Or just use the bank of england inflation calculator to see what you can get.

 

[Chris34]

I never done mates rates as you make a rod for own back, neither do I do pensioners rates or owt else. I am running a business not a charity, 
 

Me neither, I even charge my own mum ?  Although by charging her I treat the job just like any other job, if it was free then I'd never get round to doing it.

 

[Iron Giant]

Brilliant to see the progress people are making in bumping up their prices.

I’m doing the same at the moment. Some of my prices haven’t gone up in over ten years. Majority I’m doing are by £2-£3 and some £5. Just had one customer moan at me about it though which isn’t the first in the last week. But this was one seem to resent me because her husband has had 20% pay cut. Like I’m just giving myself a pay rise. I’m only updating my prices. I’ve only increased it by £2 from £12 to £14 and she was not happy. I’m hardly being unfair. It’s been 10 years. Window cleaners I know would charge £20 for that house being a big 500k detached.  Can’t let that knock my confidence because of the times. I just need to keep going and what I lose I lose.

Don't let a few whingers knock your confidence, it's easy for me I don't have to speak to anyone I just put a card through the door, as they pay by direct debit I have to inform them in writing. 

That £12 job(s) should be £18 after 10 years it's not just inflation as I said before inflation is low this past year but costs are jumping you need to cover yourself for the years ahead as well, unless you now intend to put them up every 1-2 years. 

 

[Robt100]

Right, another 2 villages down...
1 rejection
1 8 weekly
The rest are ok with it so far?

At this rate im going to be full time still. But about £2k a month up on where I was before the rises?

 

[NewGuy]

Once again, I have changed my mind!

I have decided to put a blog up on my website, post a FB message and have texted ALL of my customers (with a link to my blog page) informing them that I have carried out a review of my business after operating for one year and specifically looking at my scheduling and pricing.  I have now informed everyone that I will be moving people onto 6-weekly intervals and that prices will be increasing for some as they were under-priced due to my inexperience.

I will now be approaching customers directly and informing them of their specific changes over the next few weeks.

I have lost 3 customers already and I did not even bother to engage in a discussion as to why they have cancelled, although one has recently lost her job.  I have had a few responses confirming they are happy with my suggestions and await to hear more as to any specific changes affecting them. 

I know I'm going to lose more customers but I think due to my inexperience last year, I was too relaxed and desperate to sign customers up and I now know I need to be far more stricter in setting out the way I want to work, and not they way they want me to work.

I'm prepared to lose a fair number of customers doing this. Effectively I'm starting again this year under a new regime and whilst I initially decided to adopt the new regime on new customers only before eventually migrating existing customers at a later date, I've decided to do it all in one big hit and lose the customers that are not worthwhile holding on to.

Wish me luck!

 

[Robt100]

Once again, I have changed my mind!

I have decided to put a blog up on my website, post a FB message and have texted ALL of my customers (with a link to my blog page) informing them that I have carried out a review of my business after operating for one year and specifically looking at my scheduling and pricing.  I have now informed everyone that I will be moving people onto 6-weekly intervals and that prices will be increasing for some as they were under-priced due to my inexperience.

I will now be approaching customers directly and informing them of their specific changes over the next few weeks.

I have lost 3 customers already and I did not even bother to engage in a discussion as to why they have cancelled, although one has recently lost her job.  I have had a few responses confirming they are happy with my suggestions and await to hear more as to any specific changes affecting them. 

I know I'm going to lose more customers but I think due to my inexperience last year, I was too relaxed and desperate to sign customers up and I now know I need to be far more stricter in setting out the way I want to work, and not they way they want me to work.

I'm prepared to lose a fair number of customers doing this. Effectively I'm starting again this year under a new regime and whilst I initially decided to adopt the new regime on new customers only before eventually migrating existing customers at a later date, I've decided to do it all in one big hit and lose the customers that are not worthwhile holding on to.

Wish me luck!

Well done for making that decision. I think you may be surprised at how many know they were either cheap/too infrequent/not the usual customer, and will stay on with the new 'rules'. Certainly surprised me with the round I'm increasing at the moment. Had my 7th no/cancel today, going up from £8 to £14 after 20 years. Yet two others didn't bat an eyelid, and they went from £11 to £27 and £18 to £38 respectively!?

 

[mike007]

Once again, I have changed my mind!

I have decided to put a blog up on my website, post a FB message and have texted ALL of my customers (with a link to my blog page) informing them that I have carried out a review of my business after operating for one year and specifically looking at my scheduling and pricing.  I have now informed everyone that I will be moving people onto 6-weekly intervals and that prices will be increasing for some as they were under-priced due to my inexperience.

I will now be approaching customers directly and informing them of their specific changes over the next few weeks.

I have lost 3 customers already and I did not even bother to engage in a discussion as to why they have cancelled, although one has recently lost her job.  I have had a few responses confirming they are happy with my suggestions and await to hear more as to any specific changes affecting them. 

I know I'm going to lose more customers but I think due to my inexperience last year, I was too relaxed and desperate to sign customers up and I now know I need to be far more stricter in setting out the way I want to work, and not they way they want me to work.

I'm prepared to lose a fair number of customers doing this. Effectively I'm starting again this year under a new regime and whilst I initially decided to adopt the new regime on new customers only before eventually migrating existing customers at a later date, I've decided to do it all in one big hit and lose the customers that are not worthwhile holding on to.

Wish me luck!

Hope your timing is right especially posting it on you website and facebook. I personally would contact each customer individually.And as for timing...the time of year when you start seeing newbies starting up....competition that need work...and will price accordingly!!!!!

 

[Iron Giant]

Hope your timing is right especially posting it on you website and facebook. I personally would contact each customer individually.And as for timing...the time of year when you start seeing newbies starting up....competition that need work...and will price accordingly!!!!!

You are always going to get that though, far better just to concentrate on ones own business,

I know there is cheaper lads than me in my area and some of them are getting a decent reputation on local FB pages, I ain't picking up the amount work I was before but I do know of two lads that are living on estates where there is residents only FB pages so no doubt they are getting first dibs on the work as I have had people message me and then not respond to my reply. 

 

[NewGuy]

Hope your timing is right especially posting it on you website and facebook. I personally would contact each customer individually.And as for timing...the time of year when you start seeing newbies starting up....competition that need work...and will price accordingly!!!!!

There's never a right time though. I have pre-warned customers in a public manner as I'm running a business and believe openness and transparency is important and gives me a platform to explain what I'm doing and why. 

You are always going to get that though, far better just to concentrate on ones own business,

I know there is cheaper lads than me in my area and some of them are getting a decent reputation on local FB pages, I ain't picking up the amount work I was before but I do know of two lads that are living on estates where there is residents only FB pages so no doubt they are getting first dibs on the work as I have had people message me and then not respond to my reply. 

Agreed, There's always going to be people cheaper, we can't avoid it or worry about it. 

 

[NewGuy]

Well done for making that decision. I think you may be surprised at how many know they were either cheap/too infrequent/not the usual customer, and will stay on with the new 'rules'. Certainly surprised me with the round I'm increasing at the moment. Had my 7th no/cancel today, going up from £8 to £14 after 20 years. Yet two others didn't bat an eyelid, and they went from £11 to £27 and £18 to £38 respectively!?

Good work and good luck with the others! Whilst it's disappointing to lose some customers, I would rather lose them than clean their windows for a pittance which is soul destroying. 

 

[Robt100]

Good work and good luck with the others! Whilst it's disappointing to lose some customers, I would rather lose them than clean their windows for a pittance which is soul destroying. 

Talking of which, had another 2 from the same close cancel the new prices within 10mins of each other. One of them even put in the message "we were expecting a substantial rise but not 100% . The residents in the close have disccused it and decided you would be much better putting the prices up incrementaly rather than a step of 100%, its disgraceful!"

Made me chuckle, as thats the whole reason the prices are so far behind, and the price went up by £12....I think that classes as substantial?? Don't want to have to wait another 5 years before I even start making a profit, they'd sack me off as soon as I reached their pre-determined limit anyway....

I did think of replying suggesting she starts a window cleaning business but thought better of it. If she thinks £10 is a fair price for a 4 bed detached with extensions she would be better off with a time machine?. Also, when the round started, it was 5 houses that size for a whopping £61. I now have 3 in there that Haven't cancelled and they now get me £65?