Marketing

How To Announce Your Price Increase Without Losing Your Customers

As we are now living in a situation where all prices are increasing, some brands struggle with this increase as they don’t know how to announce to their customers their new pricing without losing them or being subjected to a backlash.

Just a few days ago, we have witnessed a situation where the famous food brand McDonald’s was under a huge backlash from customers and other brands because it increased its prices by 50%. We have seen many posts on social media from McDonald’s competitors mocking the price increase and trying to win over its customers.

So, if you’re a brand owner and you will increase your prices, there are some steps that you can follow to announce this increase to your customers without angering them.

 

Don’t Surprise Your Customers

You have to plan for an announcement with all the price raise details. Give your audience a timed notice of your price increase.

Some brands surprise their customers with the price increase during the purchasing process; this could cost you your customers. Instead of doing so, plan for an announcement to be posted on your social media platforms and you can start an SMS and email campaign to let your customers know that there will be a price increase.

Also, don’t announce the increase over a night, you have to prepare your customers for it. You can announce on your social media that starting a certain date, the prices will be increasing by a certain percentage. This will give you the time to deal with your customers and their questions and they will also have the time to calm down until the increase actually happens.

 

Present A Justification And Focus on Product's Value

Your customers have to know why you’re increasing the prices and you have to deliver the product's value.
Start listing the reason why you’re increasing your prices and you have to expect angry customers even if you’re giving valid reasons. You can also state that the increase is due to the high price of the raw material.

In addition, you have to assure your customers that this rise won't be for nothing as it will serve the product, its value, and quality; your customers have to know that the extra amount of money won’t go to waste.

 

Create Offers

Create easily understandable and accessible offers to your audience along with the price increase so you would absorb their anger.

Offers will ease down your customers’ anger! You have to pave the way for the rise and your customers have to acknowledge it gradually.

Offers will benefit you and the customers; you might gain new customers with the new offers, the customer will feel like you’re making it up to them and that you care about them, and you will be able to avoid the backlash and increase your sales.

 

Depending On Your Product: Allow Customers To Reach Out

Your customers will have questions regarding this decision; make sure you have time to answer them.
Even if you justified the reason for the increase, your customers will still have questions. If your brand has customer service, then your team should be ready with answers and with a way to deal with angry customers.

Listening to the customers’ complaints and giving them an explanation might win them over.

 

Make Sure You Work On The Product’s Value and Enhancement

Your customers won’t be happy about receiving the same quality for a higher price, so you have to make a room for enhancement.
Whatever the product or service you’re providing, you have to enhance its quality. Your customers have to feel that this rise is for their benefit and they have to sense it when they use your product. An enhancement will actually satisfy your customers instead of facing their backlash.

 

How About NOT Increasing The Prices

Before deciding to increase the prices, you have to do a study as you might find out that you don't have to raise the prices.

Put in mind that not all customers will be happy about the increase and if you didn’t serve a better quality your brand will be under attack. Instead, you can add another service or product with a higher price, or you can increase some of your items' prices, not all of them.

You have to know how to balance the prices so you won’t lose your customers.

Don’t forget to thank your customers for their understanding and remember to always put them first and seek ways to earn their satisfaction.

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