How To Sell A Price Increase
And, if you are going to tackle this successfully without making a lot of customers angry, you will have to move forward with plenty of advance planning, a complete understanding of your customers customer, a rock-solid Value Proposition for the price-increase combined with careful execution. Was the relationship always about price? You may be asking how this is even possible? Could a price increase create some (or a lot) of resistance from your existing customers?
Selling a Price Increase Sales Motivation and Sales Training 11 Things to Do When Selling a Price Increase Medium
No prior notice, no hint of the grow increase, no letter explaining it was on the way, no preparation - just a much higher premium. You want to avoid this scenario: You pass on a price increase to your key contact. Its no easy task - which is why we see so many companies realizing far less from their price increase initiatives than what they had originally planned.
Prepare with details and substance. The Three Greatest Mistakes in Increasing Prices. Its OK to just say. So, what is actually happening that creates such disappointing results? However, when he tells the boss about the price increase, the boss, who doesn't know all the details, reacts by directing your key contact to shop for a better price, grants or refuse to pay the higher price.
Mention the soaring price of oil and the inevitable downstream effect that has on all kinds of products.
And, limit the number of exceptions allowed.
If given the option of considering a less expensive alternative, if the customer shows no interest in the option, it's a good indication that he's going to accept the price increase, and not shop around.
Selling a Price Increase - EyesOnSales
The economic pendulum has inevitably reached its apex and begun to swing back in the other direction. That should be your attitude.
Have a conversation with that customer about the trends in the economy toward more price increases.
How to Tell Your Customers
Selling a Price Increase in a Soft Market - Business Know-How
Five Price Negotiation Back-up Strategies - Be Prepared! That is a significant message to get across. Don't let that happen to your customers. Nobody likes to receive price increases, and even worse, nobody likes to receive them without any indication that they are coming.
This conveys to the customer the fact that you are not raising prices; you are reacting to your prices being raised. Here are three key mistakes that many manufacturers and distributors make in increasing prices and how to correct them: 1) The Exception Becomes the Rule: Management sets plans to increase prices that typically apply to nearly all customers. Don't say, "Transportation charges have gone coword up about." Instead say, "Due to the rising cost of fuel, our inbound freight charges have been increased.1 from one truck line and.6 by another.