When you run a business there are a lot of things you need to evaluate every year. Are your processes working as well as they could be, is there a way your business can grow? But, out of everything you should be taking a good look at your pricing. This is because as much as it's your passion that keeps your business running, your pricing strategy is what keeps your business in business. Today, I'm sharing some reasons why you should be raising your prices every year.
You're more experienced
One of the factors you should be considering when pricing your services is your level of experience. And this is pretty simple - as you become more experienced year after year, your prices should get higher. You don't need to raise your prices by too much but a small percentage rise will do wonders not only for your bottom line but also your confidence.
Business gets more expensive
Year on year being in business becomes more expensive. Operating costs in business does go up, things like the cost of living, inflation, staff costs (if you have any) and insurance all tend to go up. These are things you should consider when coming up with your pricing strategy. There is an increase in the cost of doing business and the cost of acquiring goods, make sure you aren't losing money.
Work less weddings and get paid more
Most wedding suppliers will have this goal. Raising your prices is the way to do this. The best way to make sure you are getting closer to reaching that career goal every year is to make a small bump in your prices each year - one that helps you get to a point where you are working less and being paid more!
If you have a monetary goal in mind, take that number and subtract what you are making now, divide this number by the amount of years you are giving yourself to get there. You'll end up with a figure that you'll need to make each year. You can even go a step further if you like, by dividing that number by the number if how many events you anticipate to work in a year - you'll end up knowing how much more you'll need to charge per wedding.
Give yourself a pay rise!
Most importantly,when you work for yourself no one else is going to give you that pay raise! Most wedding professionals only review their prices once a year, make sure you raise them enough to make a difference in your life.
Be sure to sit down and really know the numbers inside your wedding business so you can continue to make a thriving business for your future self.