A price increase for cleaning services is due. But how do you raise your fee for maid service? We Ask a House Cleaner about pricing structure and the inevitable price increase.
Angela Brown, The House Cleaning Guru says you’ve got to make money to stay in business. The cost for maid service goes up just like everything else, which means a price increase and a change to your cleaning contract.
Learn what to do if clients won’t pay when you raise your prices.
Today’s sponsor is https://HouseCleaning360.com
Listen: Price Increase – How Should I Tell My Cleaning Clients?
Watch: Price Increase – How Should I Tell My Cleaning Clients?
Hey there, I’m Angela Brown, and this is Ask a House Cleaner. This is a show where you get to ask a house cleaning question, and I get to help you find an answer.
Question: Price Increase – How Should I Tell My Cleaning Clients?
Hi, Angela. It’s Bridget from Michigan. I have a question. I’ve had a client for almost a year now and she is a problematic customer to work for. I have taken your advice in the past and put myself in more “a shark tank“, so that has been helpful and encouraging.
But she has also bought another dog about five months ago, so it’s been more hair and just more clean up. But I’m also to the point where I do need to do some price increases. I have never done that before, so I would like some direction. I’m not sure if there’s a standard letter that I should submit. I’m not sure if she’s going to get offended, dispute, or decide that she no longer wants my services.
But in any event, it’s just something I feel I need to do, so I would appreciate your advice on this. I thank you so much for your time in this. Have a great day.
Answer: Price Increase – How Should I Tell My Cleaning Clients?
All right. You’re going to have price increases.
Okay. I know, it’s uncomfortable.
But you’re going to have to bring it up to your customers because guess what? They are the ones that are going to have to write the bigger checks than the ones they are writing now.
So, what do you say to a customer who is going to get a price increase from you? That’s a great question.
Month Notice Letter on Price Increase
All right. What you’re going to do is you’re going to give them a month notice.
You’re going to send out a letter to all your customers and you’re going to say something to this effect.
Hey. I’ve enjoyed cleaning your house, servicing your home, and working with your family. Due to inflation and the rising costs of doing business, I’m increasing my prices. This will be effective such and such a day, 20% or whatever the amount is that you’re going to increase it by.
Price Increase Is Not Same for Each Customer
If you charge by the hour or you charge by the job, you’ll figure out what the price is that you want to increase. But we’ll say 20% for sake of argument.
The price is going to be different from every person based on the contract you have with that family.
Don’t write a blind letter to send out to all your customers. It has to be custom with each person’s name and the new amount of their monthly or bi-weekly amount owed.
“I’m excited my business is expanding and I appreciate your business and your support. If you have any questions, please let me know. Here’s my phone number, yadda yadda.”
Then you go ahead and you send out this letter.
Now, you have to expect that there will be some people that will have sticker shock and will haggle over price.
I don’t know why, but there always are.
Like, that’s so much money. Compared to what?
There are people that go and spend $250 to $400 getting their hair done. Compared to what?
If this is a service that you want, this is the new price.
Everything Has Price Increases
So we’re not back in the 1970s. This is not a price that gets to stay around forever.
Rate increase, it is as simple as that.
We have all seen price increases on things like gas, food, electricity, water, etc. Everything raises its price.
After a while, so do you. It’s just a part of life.
You Will Be Okay
You place way too much importance on it. You’re afraid what people are going to think of you and that they’re going to hate you because you raise your prices.
Maybe they’re going to go find somebody cheaper. Maybe some of them will. Oh, my goodness. What if that happens?
Well, guess what? Nothing happens. So you just replace them with another customer and you’re going to replace them with a higher price. Boom. You still got your higher price.
Customers Are a Revolving Door
Yes, some of them are going to go find somebody new, but not everyone. It’s a given you have to raise the prices of your cleaning customers.
There are customers that are loyal to you and they’ll say, “Wow, that’s a lot of money. I guess I’ll have to come up with more money.”
They come up with more money when the gas prices go up, or when they get a bigger water bill than they expect. They come up with the money somehow.
Now, they got to come up with the money for housecleaning.
Price Increases Are Part of Doing Business
Don’t place so much importance on raising the price. It’s not the end of the world. It is part of doing business. if you e
So, cut out the emotional end of it, because it’s not an emotional thing. It’s a business decision.
If a customer’s like all angry, like, “Oh, you raised my price.”
I know, right? And own it. “Yeah, my bills went up, too.” It’s part of doing business.
Okay, so that’s my two cents for today. You’re going to be fine. Until we meet again, leave the world a cleaner place than when you found it.
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Resources For This Episode
How to Raise Your Personal Asking Price – http://amzn.to/2ihe7R7
Raise Your Prices, Attract More Business – http://amzn.to/2ilc6DH
Is My Price Too High? How To Raise The Price Of Your Product And Sell More Than Ever Before – http://amzn.to/2A40UX0
Raising Prices: How to successfully get your customers to pay more for your products – http://amzn.to/2ilcXUV
Effective Strategies for raising your cleaning prices – http://bit.ly/2nugbdM
Permissions To Share
SAVVY CLEANER – House Cleaner Training and Certification – https://savvycleaner.com
HOUSECLEANING360 – Referral database of the world’s most prominent home service providers and the homeowners they serve. https://housecleaning360.com