If you want to build a sustainable business, you need to get comfortable with raising your
rates.
But don’t worry guys, if you’re an entrepreneur or freelancer who questions your value the
second you have to announce your new rate, you’re in luck: today we’re going to show
you the 8 Steps to writing a successful price increase email with Beyoncé-like confidence.
And as Queen B would say, make sure to ring that subscribe bell so you can stay up-to-date
on all things AppSumo!
OK, first things first: show gratitude!
In the world of business, this simple act of saying thanks — besides doing awesome
work — retains customers and improves your bottom line in the long run.
If you need to pop on your favorite dance song from the 80s to put you in the right
headspace to be thankful, do it!
Next make sure you also stress on the value you delivered aka gather your goals.
Lay out the measurable outcomes to show clients that even though your rates are increasing,
you are still very much worth their investment.
Go back and find where your client shared the results they’re looking for.
Was it from an intake form or a discovery call?
Revisit that conversation and write down all the awesome ways that you have achieved their
goals and what those exact results were, aka how much money you made your client!
For example you could say something like, “Since May 2020, our collaboration has resulted
in 30+, number-one-ranked blog posts and more than $50,000 in revenue from an Ultimate Guide
I created.”
And here’s a little pro tip.
That last revenue bit-- let’s say that was an unexpected result.
If you have an unexpected result definitely put it in your price increase email and mark
that baby with a big bold asterisk!
It shows you went the extra mile, which is always a plus for a client.
After you’ve gathered your goals, you’re going to want to make a confident statement
with them.
And how should you do that?
Cut to the chase.
That’s it.
I’ll give you an example.
Does this make me sound confident?
“Would it be okay if I increased our rate to $X amount?”
Not exactly.
Or how about this: “Due to the recent recession, I’m afraid that I have to increase my rate
to $X amount.
I totally understand that times are tough and your budget is tight, but I really do
think that…blah blah blah blah.”
Um… nope.
It’s tempting to over-explain your price increase, but good work speaks for itself.
Plus, once you over-explain, you give your client room to counter and question.
Don’t do that.
Bottom line: you deserve to be compensated for what you’re worth, so stick to short
and sweet.
It’s as simple as saying: “I’m increasing my rate to $X.” or “I’ve updated my
rates recently.
Here’s my rate card:” Be confident.
Beeee-yoncé.
See?
Easy to remember.
OK you’ve shown gratitude, you’re confident, now it’s time to make a thoughtful gesture.
Offer to extend the current rate for your clients.
If clients are delighted by your work and the experience you create, they’re going
to want to keep working with you.
Plain and simple.
The best way to do this is to give your clients at least 1-2 months notice for this new rate
to take effect.
Your clients may need to make adjustments to their budget and get it approved by their
finance team.
No need to get fancy, a simple “This rate will take effect/start from this date” will
do just fine.
The next piece of this puzzle is starting a conversation.
Talking about money can be uncomfortable, but having an open dialogue makes it easier
for both parties.
This will invite clients to share their thoughts on your new rate and voice any reservations
that they may have.
Here’s a Pro Tip: Provide reassurance for your client.
This is the part where you might want to inject a tinge of personality or humor to help you
sound more approachable.
For example, you might go with: “What do you think of this new rate?
Honesty is encouraged, appreciated, and applauded.”
or “Let me know if you have any questions about my new rate.
#allgoodvibes”
Now we’re at the last part of the price increase email before the follow up.
Always make sure you end your price increase email with a bang by drumming up the hype
for future projects!
Always leave them wanting more: that’s a rule for life and definitely for writing a
successful price increase email.
For example, give them a little future sneak peek with something like: “Can’t wait
to start writing the next batch of articles for July.
I just peeked at the new content briefs and they’re incredible.
With new content like this, organic traffic will shoot through the roof.
Our competitors better watch their backs!”
These last two steps are for after you’ve sent your email.
First, is the follow-up.
Remember that radio silence doesn’t automatically mean no.
Most likely, your client’s busy and just missed your email.
Take a breath.
It’s totally fine to send a brief follow-up email like: “Hey John, What do you think
about the new rate?
Holler if you have any questions.
Thanks!”
And finally, here’s what to do if your client balks at your new rate even after you’ve
provided all the reasons for why you deserve more money: walk away.
Yep, cue that Passion Pit song and talk a walk!
Assuming you’ve increased it fairly – let’s say 5-10% — and delivered killer work, you’re
probably ready to find better clients anyways.
Sometimes you have to say no to grow your business.
So that’s it: everything you need to write a successful price increase
email!
We’ve included a free template in the video description on how to announce your new rate
with confidence that will help you out even more, and be sure to ring that subscribe bell
so you can check out more How To videos that’ll level up your business like this one!