What Would Happen If You Raised Your Prices

Who makes more money? A Lamborghini salesman or the Chevrolet salesman?

You get the idea. This was the topic of many passionate discussions I had with my Platinum Clients. And the best part is that after they do this once, they get it.

The typical response is- “Nobody complained, they didn’t even notice. Why didn’t I do this years ago?”

This is something that should be vital and close to your heart. Namely, it’s about why you want premium customers who are willing to pay you for your service and products, and how to get more of them.

Why do you want and need premium customers?

In a nutshell, A+ customers are easier to work with, more profitable, more loyal and dedicated to you, don’t grind you on price, and are less frustrating to deal with.

Stop believing that your prices are high, or that your current prices are all your target market is willing to pay. Nothing seems to scare business owners who sell to the general public more than the concept of raising their prices.

The excuses are endless. Here are just a few common ones:

  • My market can’t pay that
  • My competition undercuts us
  • This is a depressed area
  • This is a small town
  • I’m selling a commodity

The real fact in most situations is this: Until you actually talk with your customers and test what the market will bear, you have no idea about their innermost needs, their visions for what they believe is valuable to them, and how much they will truly pay to attain the real value they desire.

Please take heed and memorize this: When there is a perceived need and there is perceived value in satisfying that need, there is always enough money… if you are marketing to the right person.

Sure, if and when you raise your prices, you will lose some of your customers. And indeed, you might be losing some customers who only buy on price that you might not have if you stood firm on pricing. It’s probably better if you don’t have them.

The way you create a magnificent rose garden is by pulling out and killing the weeds. Not every living thing in your customer database or prospect list is a rose.

Have a great weekend,
Michael

By |2018-09-28T14:39:10+00:00September 21st, 2018|Marketing, Restaurant Marketing|Comments Off on What Would Happen If You Raised Your Prices