Slowly raising prices only does one thing
Slows your profits. The reason to slowly raise your profits? YOU’RE
CHICKEN!
If you buy a wedding band for $100, don’t you double it to $200?
If the band went to $125 would you:
a. Double it to $250, or b. SLOWLY raise the price? $210 this year,
$220 next year, $250 in the third year?
If you chose “B”, in the third year you’d be $250, took three years
to get to double. Dumb.
And what if in year three the cost was now $150. You’re charging
$250 and NOW it should be $300. Bummer.
If you knew you’re correct cost for labor you’d charge right.
I’m one of the few who know the cost. Why? We pay commission. Hourly
wage people don’t know. But you still know you need to raise your
prices? How do you know? You’re unhappy with your pay and your bills
are unpaid.
Raise the prices. Forget the frog. That’s a fairy tale.
David Geller