I agree and yet i dont. I agree that gas prices are inflicting some damage on our business. I was going to raise the prices but then my dad made a GREAT point that changed my view totally.
He tells his customers he will NEVER raise thier rates as long as they stay with them. So DON't raise your current customers prices. Just raise the price quotes on new customers to fill the gap. Ya gotta keep the customers you already have, so dont make them fret by raising your prices.
Sorry to disagree with ya Kirby. There has to be a first for everything. hehe.
<b><i>He tells his customers he will NEVER raise thier rates as long as they stay with them. So DON't raise your current customers prices</b></i>
I still have customers from when I started 7 years ago. You're saying that although my expenses, both personal and business, have gone up I should continue to charge the going rates from 7 years ago? I don't think so.
I must agree with Dad up to a certain point. I doubt that I would increase my price for mowing because when I signed the account, I went in asking for top dollar. Ask me in seven years, and I may be signing a different tune. As for now no price increases.
However, I have no problem bumping prices for fertilization, mulching, and labor, etc. Because of higher gas prices, new accounts are being quoted at a higher rates to include paying an annual increase in hauling.
Acute cut i agree that not raising your prices on regular customers to at least keep up with inflation is the fastest way to bankruptsy. Because most of us keep our customer many years and they make up too large of a % of our business. Due to inflation you would be losing money on them every year. Regulars understand for the most part that you need to go up in price to stay in business Drastic jumps in price they don't understand. So I go up a little from year to year