raising prices

[2972renfro]

How often do you raise prices and is it based on a set schedule or on a whim? Do you raise prices on select items/services or across the board?

Do your customers notice these slight increases and has it ever negatively affected your business?

 

[CS-SignSupply-TT]

In my opinion, "raising prices" is necessary because the cost of raw materials continues to rise. The best support for raising prices is "...the price at the pump..." It is a wonderful visual aid. On the other hand, price increases should be made plain and simple and should allow for the customer to prepare.

 

[Hicalibersigns]

I think it is best to make a fair increase and do it infrequently. Everyone knows everything goes up, but it leaves a bad taste in peoples mouths when it seems that you have gone up every time they make a purchase from you. We apply a standard mark up to materials, so it somewhat takes care of itself. If the cost goes up so does the price to the customer. It is primarily in hourly rates that we find the need to occasionally go up.

 

[Locals Find!]

I raise prices all the time. Usually 5-10% across the board twice a year at least. Sometimes I will lose a client or two over it but, most of them understand that material prices rise from time to time along with expenses.

I do adjust prices lower though when I can get lower prices from my suppliers. So, it all balances out in the end. Clients that order regularly though get special negotiated price sheets that don't change except when absolutely necessary.

 

[Fanaticus]

We raised prices after nearly 6 years of not raising prices. We work less but make more money. At first I was nervous about it, thinking people would go else where.... but it also brought us a new type of client (not the person looking for the cheapest)....

Wish we would have done it sooner.

 

[ForgeInc]

Adtechia, I wonder how you constantly raise prices if you aren't a supplier, but a broker? Don't your prices normally shift all the time, depending on whom you use and when?

 

[HulkSmash]

I raise prices all the time. Usually 5-10% across the board twice a year at least. Sometimes I will lose a client or two over it but, most of them understand that material prices rise from time to time along with expenses.

I do adjust prices lower though when I can get lower prices from my suppliers. So, it all balances out in the end. Clients that order regularly though get special negotiated price sheets that don't change except when absolutely necessary.

You raise your prices every year 10%? Are you Serious? Like seriously. I need to know.

You realize vinyl pricing does increase every year, but it's never more then 1%? 3M increased nearly 1% in the past 2 years.

You're implying you have a stable price sheet, that you stick to....And don't you base your pricing off of where you wholesale from?
Wouldn't that fluctuate your pricing in general...? How do you mark up on that.. please.. make sense?

 

[Gino]

You raise your prices every year 10%? Are you Serious? Like seriously. I need to know.

You realize vinyl pricing does increase every year, but it's never more then 1%? 3M increased nearly 1% in the past 2 years.

You're implying you have a stable price sheet, that you stick to....And don't you base your pricing off of where you wholesale from?
Wouldn't that fluctuate your pricing in general...? How do you mark up on that.. please.. make sense?

No, he said 5% to 10% twice a year. That means if he feels like it, he increases 20% in a year. Do the math, in less than three years, he has more than doubled his price.

I've never heard of such a business model. This must certainly be unique to Florida..... or brokers.
​

Do you want me to post how much it's gonna cost you to keep me from coming down there and staying with you for two months ?? Fug, you couldn't afford two days or two hours..... but it sure would be a lota fun. :U Rock:

 

[HulkSmash]

Holy Poop, Twice a year? No comment.

 

[njshorts]

We absorb cost increases for retail work until it hits 5-8%, then pass it on. Keeps our prices pretty consistent, setting us up to only have to increase every 2-4 years and gives us time to rework our expenses into any increase. Wholesale rarely if ever sees an increase.

 

[Locals Find!]

Adtechia, I wonder how you constantly raise prices if you aren't a supplier, but a broker? Don't your prices normally shift all the time, depending on whom you use and when?

You raise your prices every year 10%? Are you Serious? Like seriously. I need to know.

You realize vinyl pricing does increase every year, but it's never more then 1%? 3M increased nearly 1% in the past 2 years.

You're implying you have a stable price sheet, that you stick to....And don't you base your pricing off of where you wholesale from?
Wouldn't that fluctuate your pricing in general...? How do you mark up on that.. please.. make sense?

I have a pretty stable supply chain and a core line of products I sell consistently. I don't do too much outside my normal product offerings.

Now, if I have a custom quote jobs like a vehicle wrap or doing a retail storefront. I add on my pre-set markup to that based on how many hours its going to require of me and how much I think the market will bear. As most of my clients are real estate based. They usually fall into the core product line.

No, he said 5% to 10% twice a year. That means if he feels like it, he increases 20% in a year. Do the math, in less than three years, he has more than doubled his price.

I've never heard of such a business model. This must certainly be unique to Florida..... or brokers.
​

Do you want me to post how much it's gonna cost you to keep me from coming down there and staying with you for two months ?? Fug, you couldn't afford two days or two hours..... but it sure would be a lota fun. :U Rock:

Why is my business model so scary to you Gino?? Are you telling me your rent, electric, internet, health insurance and gas prices all didn't get raised over the last 3 years. I adjust my prices to keep up with those increases.

If my bills get lower well, I will lower my prices. In a downsizing economy though, with fewer people purchasing I need to adjust prices to keep up with the current demand. So my business sees a steady 5% profit growth every year. I am not going to downsize my business to the point where its not worth being in business. I live pretty frugal, I refuse to subject myself to living at a minimum wage lifestyle.

 

[Techman]

raise prices every year. I do.
Never lower prices. If you must lower a price then discontinue that product.

 

[Custom_Grafx]

no comment.

+1e+12

 

[Mosh]

Sucks raising prices....we charged $75 for two truck doors in 1994 and in 2011 charge.....$75 for two truck doors. Custom lettering full color print. We do have a "farmer special" for $25 for just name and DOT number....am I too high????

 

[CheapVehicleWrap]

Sucks raising prices....we charged $75 for two truck doors in 1994 and in 2011 charge.....$75 for two truck doors. Custom lettering full color print. We do have a "farmer special" for $25 for just name and DOT number....am I too high????

I see nothing wrong with it Mosh.

 

[Jillbeans]

I only raise mine every few years.
Usually once the cost of materials goes up (say for example a roll of transfer tape has gone up by ten bucks in the last year) and the cost of gas goes up my prices have to go up as well.
Love...Jill

 

[Farmboy]

I try and raise them every time we get a price increase from our suppliers. We had 3 price increases on shirts this summer because cotton prices were funky. If a customer questioned it I explained why and also let them know my pricing software is tied right into my suppliers pricing (only by my own hand) and changes when theirs does. Everyone understands. I have come to the conclusion that businesses that make it, pass increases on to the customer. I never took a business class, but I'll bet that no where in the text book does it say "Eat the cost for awhile". Although I've been know to be wrong.

 

[Si Allen]

If you are going to stay in business, you must make a profit!

Prices go up every time my costs go up. Also once a year my labor cost also goes up. If the customer can't understand that ... he can go to Joe's Cheapo Signs down the street!

 

[binki]

For t-shirts we raised our prices 40% in January after shirt prices went up almost 50%. Our prices change when costs go up or when we are real busy.

 

[njshorts]

I try and raise them every time we get a price increase from our suppliers. We had 3 price increases on shirts this summer because cotton prices were funky. If a customer questioned it I explained why and also let them know my pricing software is tied right into my suppliers pricing (only by my own hand) and changes when theirs does. Everyone understands. I have come to the conclusion that businesses that make it, pass increases on to the customer. I never took a business class, but I'll bet that no where in the text book does it say "Eat the cost for awhile". Although I've been know to be wrong.

forgot about textiles... they're an exception to the rule. they go up as our cost goes up. we 'eat the increase' on vinyl/tape/substrates/ink for a short period to avoid jacking our prices up a few times a year, until the amount becomes something worthy of raising prices.