Inside the Envelope

While rising prices are inevitable in the business world, that doesn't mean price increase announcements have to be viewed negatively. Here are a few tips to help you break the ice as painlessly as possible for your customers. Announce the price increase with plenty of notice (at least 30 days) before raising your pricing. Don't wait until you're mailing an invoice to let customers know your pricing has changed. Build rapport by sending formal, personalized messages to loyal customers via mail, rather than simply sending mass emails or posting a generic sign at your business notifying customers of a price increase. A one-page business letter, postcard, or self-mailer should suffice. Depending on your type of business, consider giving customers the opportunity to order more products at the lower price before the price increase takes effect. Explain the price increase. For example, you might write, "Our XYZ expenses have increased an average of ZYX percent in the p...

Following up after a sale provides an opportunity to offer a heart-felt thank you and ensure customer satisfaction. It also lets you discuss additional services and improve a customer's probable return to your business. Here are a few follow-up tips for after-sale marketing: Show your gratitude with a free offer that complements the original purchase. For example, a hair stylist could show thanks by offering a voucher for a free hair styling product. Include specifics, such as a $15 maximum value redeemable within 60 days of postmark. Boost sales by providing a coupon for free shipping or 25% off their next order. Encourage customers to pass it on if they don't need to use the offer themselves. Suggest complementary products or services that will enhance the initial purchase and increase the customer's satisfaction and loyalty. Consider creating an affiliate program with non-competing businesses to expand your offerings. Reward customers for providing referrals. Offer...