{"id":23971,"date":"2016-10-24T08:37:34","date_gmt":"2016-10-24T13:37:34","guid":{"rendered":"https:\/\/crazyeggblog.wpengine.com\/?p=23971"},"modified":"2026-01-06T15:14:53","modified_gmt":"2026-01-06T23:14:53","slug":"raising-prices","status":"publish","type":"post","link":"https:\/\/www.crazyegg.com\/blog\/raising-prices\/","title":{"rendered":"Don’t Be Afraid of Raising Your Prices. Here’s Why."},"content":{"rendered":"

Was there ever a time that you felt compelled to raise prices, but you just couldn\u2019t because you were afraid your customers wouldn\u2019t like it?<\/p>\n

Perhaps you felt that if you were to raise your prices, your customers would leave you for your competitors, which, if bad enough, might cause you to go out of business altogether.<\/p>\n

In some cases, raising prices can have a detrimental effect with customers, but for many businesses, raising prices is the only way to continue making a profit<\/a>. If your business operates in a super-competitive market with low profit margins and larger players lock prices down, you generally won\u2019t have a say with pricing.<\/p>\n

On the other hand, if you’re in a narrower niche, there\u2019s no reason why you shouldn\u2019t use price as a tool grow your revenue and bottom line.<\/p>\n

Sure, a price increase might feel like a bitter pill to swallow<\/h2>\n

For any business owner, the moment when it\u2019s time to charge your customers more can be a tough lesson in patience and managing your fears.<\/p>\n

Feeling nervous is normal. After all, as a customer yourself, you probably aren\u2019t keen when your mechanic, the coffee shop you go to, or the ad agency you work with raises prices.<\/p>\n

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Source<\/a><\/i><\/center><\/p>\n

In an ideal world, your business should be able to raise its prices to keep up with inflation every year.<\/p>\n

But things are far less smooth in the real world. Still, you need to go over your rates on an annual basis, comparing what you charge your customers with overhead costs and the general condition of the economy you\u2019re in.<\/p>\n

If business is slow, a price increase might not be wise. On the other hand, if you\u2019ve been holding off on an increase for a few years, a price hike may be long overdue if you want your enterprise to survive.<\/p>\n

Big companies have had to do this. And for some, like Netflix, there was some damage.<\/a><\/p>\n

But price hikes don\u2019t have to spell disaster.<\/p>\n

Sometimes, business leaders are so fixated on their customer happiness<\/em><\/a> that they fail to see the bigger picture.<\/p>\n

While most business owners believe that customers are the lifeblood of their enterprise, this is not exactly 100 percent correct. Instead, the right<\/em> customers are the lifeblood of a business.<\/p>\n

Allow me to explain. There are generally two basic ways to improve and grow your business. You either:<\/p>\n