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Do all of these, not just one or two.

  • Inform/remind them about the benefits that you have been offering so far, and why these benefits are superior to your competitors. In other words, re-sell to them.
  • Tell them that external circumstances forced you to raise prices, otherwise you can't continue providing a good service. Specify the external circumstances; it can be market situation, rising costs, business expansion, etc.
  • (This is especially important if your rate increase isn't caused by external circumstances). Provide them an additional value that doesn't raise your cost. This can be a bonus hour or service, paying more attention to their needs, improving your services (can be quickly done by upgrading your skill - e.g. read a book), etc.
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Q: Informing clients of a rate increase?
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How do you write a letter to customers informing of rate increase?

As tactfully as possible.


How to write a letter informing customers of rate increase?

The best way to inform clients of a rate increase is to tell them well in advance. This can be by letter or in person. A good time limit is three months. In other words, inform your regular clients that you have just increased your rates, and all new clients should be charged this new higher rate. But since you also have regular clients, you should continue to give them massage sessions at the old rate up to the date you set in the future, three months, so they can have time to think about whether they are willing to pay the higher amount. The best scenario is that you will have a few clients drop out, but the increased rate will keep you income the same. You may also gain a few new clients as well. The best thing is to be direct and honest, tell them what you plan to do and give them time to decide. If you write them a letter, make it short and to the point, and explain to them what you plan to do. You do not have to give reasons why, because that is unimportant and does not pertain to them. All they are interested in is what the new rate will be and when it will take effect. Another thing to consider, since therapist and client relationships tend to become less formal with regular clients, make the letter more formal than how you usually speak to them. A formal sounding, simple business letter is the best way to do it.


Sample letter informing clients of a change?

If a change is needed, it is important to inform clients. The letter should include the change, the reason for the change, and when the changes will take effect.


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