Raising your prices in the beauty world is both rewarding and scary.
Typically, you should raise your prices anywhere between 5%-10% every year or year and a half. That sounds like a lot, and it can be.
If you are booked out more than 3 weeks, it may be time to have a price increase.
In your area, with your expenses, you may only have a 3% increase. You have to do what you feel is best for your business.
Here are my tips:
1. Come up with a Plan of Action Before Your Roll Out New Prices
Are you just increasing a few of your services? Or all services across the board? I suggest you give your guests 6 week notice, so they have a heads up. Post it on social media, send them an email newsletter, and put a sign at the front desk and at your workstation.
The last thing you want to do is surprise your guests with sticker shock. Communication is key.
2. Add Value
Here is another important thing when increasing your prices. Add a hand massage, a scalp massage, a hot towel to their service, a makeup touch up, anything you can do to pamper them. When you add value to your service, guests are less likely to feel uneasy about the increase in price.
3. Increase Your Prices Around the Holiday Season
It truly is the best time. People are used to spending money at this time and are less likely to question the increase. I do not suggest a price increase at the beginning of the year. Especially coming off of the holiday season.
4. Always Thank Your Guests
The letter on your desk/waiting area or email that is sent out should always start out with a thank you. It truly is because of them that you are in a position to increase your prices.
My advice: LOVE your guests as much as possible. Be sure to show them how much you appreciate them.
5. Increase Your Prices with Confidence
Last but not least, stand behind why you deserve to charge more. For instance, if a guest questions you on why you are raising prices, don’t get nervous, start making excuses, and apologize for it. Say YES! With the cost of inflation and education, it is very important that I continue to invest back into myself and my business. I want to continue to provide you with the absolute best experience as possible.