It is very likely that most professionals under charge for the great service they provide. Either they have little confidence in the value they provide their clients or most likely they do not want to overcharge for fear of losing a prospective or regular client.

However, charging the lowest price of your competitors may do more harm than good to your reputation.  A price that is significantly below market value sends out a message that it may not always be good. Sometimes the cliché; ‘you get what you pay for’ springs to mind.

Increasing your prices periodically is a reasonable and good strategy for any growing business. So how can you actually implement a price increase?

1. Believe that you are worth it

If you don’t believe how much you are worth, your can’t expect your clients to feel impressed with your prices or reasoning behind the increase.

2. It’s really not about you, it’s about your clients

You have to stop thinking of the service you provide as a cost, but more of the benefits you provide to your clients.  Your clients come to you because they need your help and expertise. If they are regular or intermittent clients then they are obviously very content with the service you provide.

3. How to increase your prices

Obviously for your regular clients maybe a few months notice would be helpful, so that gives them a chance to reflect on the increase and also time to adjust their budget/spending if necessary.

If you explain why you are rising your prices, i.e. due to increase in travel expenses, commodities, materials etc, it shows you are being reasonable and are not just increasing your profit margin. Like everything if you explain the reasoning behind it, it usually sounds reasonable. After all everybody’s expenses and costs gradually rise in business over a period of time.

After having the courage to increase your prices you will be amazed at how receptive most of your clients are and rarely question your reasoning or price increase. This can make you ask yourself; ‘Why didn’t I do it earlier’?