Think Now About a Price Increase Later

How is the New Year starting out for you? Did you happen to raise your prices in October? If so, how did it go? Please share in the comments what you think worked and what you feel you might have done differently, if anything.

If you chose not to raise your prices in 2018, then start putting a plan in place to raise them in October of 2019. Gearing up for it now gives you plenty of time to prepare and go about it with a well-thought-out plan. Is there anything you want to change about your menu? Services you want to add or delete? Giving your menu an overhaul at the same time as the price increase saves you time and money as well as making it interesting for those clients who have been around for a while.

A good indication you are ready for a price increase is the need to take names for a cancellation list, or being booked at least two weeks in advance. If you feel that you are at the point you can no longer take on new clients, it’s time to raise your prices. The government deems 3.7% the yearly cost of living increase in the U.S. If your average service is $40, then the increase would only be $1.48! That is less than a great drink at Starbucks and I’m sure your clients feel your services are more valuable than a cup of coffee.

Deciding to implement the increase now means you have time to plan the menu changes, update descriptions, freshen up the salon’s website and social media pages, and generally spruce everything up gradually throughout the year so that nothing is overwhelming come October. Let me know in the comments below if there’s anything you could use some help with and I will address it in future blogs.