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How to Let Clients Know You're Raising Prices for Your Web Design Services
Published on October 2, 2023
Inflation in the United States went up 6.5% in 2022 after it increased a whopping 7.1% in the previous year. Simply put, life is getting more expensive. Everybody, from web design experts to business owners, must find ways to keep up.
Are you wondering how to raise web design prices as a web designer to keep up with rising inflation? It can be intimidating and overwhelming at first, especially when you consider telling clients or having difficult conversations while trying to maintain good relationships.
The great news is that there are simple strategies that can help make it easier for everyone involved. Sit tight as we cover best practices for letting clients know you’re raising web design prices so you can ensure a smooth transition without any conflicts.
Reasons for Raising Web Design Prices
While we don't suggest apologizing for a price increase or being overly explanatory in your communications with your clients, it's important to justify why you're raising your prices. There's an art to communicating this effectively, honestly.
While you might know why you're increasing the pricing of your web design services, communicating that respectfully and professionally is another thing. Here are a few common reasons why most web design experts and agencies increase their prices yearly.
If you hadn't previously considered raising your prices this year, consider how these factors might affect your bottom line. If they cut your profits, consider increasing your prices to offset the costs.
Increased Overhead Fees
If you're a web designer, increased overhead fees can strain your business model and require more money to keep operations running. And while increased software pricing and cost of living are out of your control, they are fair reasons to raise your prices to offset these extra costs and remain profitable in your industry.
Expanding Services
As a web designer, increasing prices is perfectly fair if you expand your service offerings. Going the extra mile for web design jobs and adding new services can take up more time, so increasing prices is only natural.
By providing comprehensive web design services with all the bells and whistles, you're adding value to your work. This means you can charge a premium price. After all, web design is an investment that can increase your client's profits by driving new clients to their business.
Market Changes
When changes in the market occur, it's perfectly fair to increase your prices as a web designer, especially if these changes are reflected in your competitors' prices, too. You want to stay competitive without undercutting yourself, and having fair pricing is the best way to do that.
As changes occur, being honest with your clients will demonstrate transparency and show that changes can be positive signs of growth and future success. However, we'll dive more into how to raise prices as a web designer below.
Exceeding Expectations
As a web designer, staying confident in your work and ensuring you exceed your clients' expectations is important. Doing so allows you to build trust and proves you have the skill set to deliver excellent work. It also means that it feels justified and fair when it comes time to increase your prices due to higher demand or an improved skill set.
After all, if you exceed those expectations, they will most likely be willing to pay a little more for surefire results. With the right confidence and consistency in delivering quality service, setting higher prices can seem like a win-win situation for you and the client.
Tips for Raising Prices
Before you start calling your clients to chat about web design price changes, taking a step back is important. Being strategic in your approach to raising prices is key here. Before you make any official changes, keep these points in mind.
Be Strategic
Being strategic and considerate when raising your prices as a web designer is paramount for success. A thoughtful approach to pricing can make the process smoother for everybody involved.
Mostly, raising your prices strategically gives you room to be more selective in the projects you take on and be better compensated for them. With a considerate approach, you'll be able to clearly and properly demonstrate value, find better-suited clients, and be rewarded for your time and expertise.
Communicate the Reasons
Above, we worked to help you identify a few common reasons for raising prices. Once you pinpoint the reason behind price increases, it's important to communicate those reasons to your clients.
After all, price increases are inevitable and necessary as the business grows. However, understandable concerns may arise from customers due to increased costs.
By communicating why prices need to be increased (such as investing in new technology or purchasing additional resources), you can look to ease their worries while reinforcing faith at the same time that they are getting value.
Offer Discounts
Raising prices doesn't have to be entirely bad for your clients. Offering discounts and incentives helps customers feel they're getting something back in return. This helps them appreciate the higher prices better because they still feel like they're getting a good deal.
Plus, it shows that you value their business and are willing to offer exceptional customer service.
What might this look like? You could offer a 10% discount for those who sign a yearly retainer. Or, you could implement a referral program to incentivize existing customers to help bring in new business.
Do It Gradually
Finally, increasing prices gradually instead of all at once is usually best.
If you increase prices too quickly, you might lose out on a lot of business due to upsetting your valued customers. On the other hand, if you increase prices slowly and carefully, it's much easier for your customers to keep up with what they're expected to pay.
How to Raise Prices as a Web Designer
Whew. You're almost to the finish line. By now, you're likely ready to update your web design pricing packages and let your customers know about the changes.
Here is how to raise prices as a web designer, keeping all the tips above in mind.
Segment Your Clients
If you have a variety of web design clients, we suggest segmenting your clients into lists. Then, update pricing according to different types of clients. For example, you could categorize your clients by the following factors:
This will help you make smarter decisions about who gets what in terms of increased fees. It will also enable you to develop more valuable relationships with your best customers and properly reward those bringing more business to you.
Draft Unique Messages
Personal touches in communication can help strengthen relationships, and that connection is especially important when it comes to web design clients. Drafting unique messages to each client ensures they won't feel like just another number or project on your desk.
Instead, they'll know you value their business enough to draft personalized communication. Your individualized messages will remind them why they chose you in the first place and let them know how much you care about their experience working with you.
Speak With Clients Directly
Once you have your messaging in place, reach out to most of your clients over the phone. This might not be necessary for smaller clients you usually communicate with via email. However, for most, it's best to speak with them directly instead of sending them an email or other virtual message.
Provide Plenty of Notice
How much notice is "plenty" in this case? It depends, but at least a month or two. Giving clients plenty of notice helps ensure that all parties have time to understand and adjust to the change.
Not only will this give your clients more time to review alternative pricing structures or maybe even ask for a discount, but it also assures them that you value their business and are giving them fair warning. Showing respect and providing adequate notice will not only improve customer satisfaction but may also increase repeat customers.
Explain Your Value
Finally, don't forget to highlight the value you offer as a web designer! During your communications with clients, briefly discuss why you're raising your prices. Then, follow that up with a few positive mentions of what this means for your business and theirs.
You can mention something like the following:
"By increasing my web design pricing, I will be able to continue to improve my service offerings. This directly benefits you as I can access better web design tools and education that will directly translate into improved services for you and your business."
You don't have to get specific here. However, ensure your clients understand the value you provide for them and will continue to provide for them even after you increase prices.
Final Thoughts
Raising web design prices is key to staying competitive in today's web design market. While it might lead to client attrition, you don't likely want to work with clients who are upset about a slight price increase.
Besides, there are plenty of ways to boost your web design business long after you learn how to raise prices as a web designer. Yep, we're talking about SiteSwan.
With the SiteSwan White Label Website Reseller Program, you have access to all the tools necessary to become a professional website reseller. You can build and sell products to small businesses, all under your brand name. To learn more, start with a free demo of the SiteSwan Platform now!
Inflation in the United States went up 6.5% in 2022 after it increased a whopping 7.1% in the previous year. Simply put, life is getting more expensive. Everybody, from web design experts to business owners, must find ways to keep up.
Are you wondering how to raise web design prices as a web designer to keep up with rising inflation? It can be intimidating and overwhelming at first, especially when you consider telling clients or having difficult conversations while trying to maintain good relationships.
The great news is that there are simple strategies that can help make it easier for everyone involved. Sit tight as we cover best practices for letting clients know you’re raising web design prices so you can ensure a smooth transition without any conflicts.
Reasons for Raising Web Design Prices
While we don't suggest apologizing for a price increase or being overly explanatory in your communications with your clients, it's important to justify why you're raising your prices. There's an art to communicating this effectively, honestly.
While you might know why you're increasing the pricing of your web design services, communicating that respectfully and professionally is another thing. Here are a few common reasons why most web design experts and agencies increase their prices yearly.
If you hadn't previously considered raising your prices this year, consider how these factors might affect your bottom line. If they cut your profits, consider increasing your prices to offset the costs.
Increased Overhead Fees
If you're a web designer, increased overhead fees can strain your business model and require more money to keep operations running. And while increased software pricing and cost of living are out of your control, they are fair reasons to raise your prices to offset these extra costs and remain profitable in your industry.
Expanding Services
As a web designer, increasing prices is perfectly fair if you expand your service offerings. Going the extra mile for web design jobs and adding new services can take up more time, so increasing prices is only natural.
By providing comprehensive web design services with all the bells and whistles, you're adding value to your work. This means you can charge a premium price. After all, web design is an investment that can increase your client's profits by driving new clients to their business.
Market Changes
When changes in the market occur, it's perfectly fair to increase your prices as a web designer, especially if these changes are reflected in your competitors' prices, too. You want to stay competitive without undercutting yourself, and having fair pricing is the best way to do that.
As changes occur, being honest with your clients will demonstrate transparency and show that changes can be positive signs of growth and future success. However, we'll dive more into how to raise prices as a web designer below.
Exceeding Expectations
As a web designer, staying confident in your work and ensuring you exceed your clients' expectations is important. Doing so allows you to build trust and proves you have the skill set to deliver excellent work. It also means that it feels justified and fair when it comes time to increase your prices due to higher demand or an improved skill set.
After all, if you exceed those expectations, they will most likely be willing to pay a little more for surefire results. With the right confidence and consistency in delivering quality service, setting higher prices can seem like a win-win situation for you and the client.
Tips for Raising Prices
Before you start calling your clients to chat about web design price changes, taking a step back is important. Being strategic in your approach to raising prices is key here. Before you make any official changes, keep these points in mind.
Be Strategic
Being strategic and considerate when raising your prices as a web designer is paramount for success. A thoughtful approach to pricing can make the process smoother for everybody involved.
Mostly, raising your prices strategically gives you room to be more selective in the projects you take on and be better compensated for them. With a considerate approach, you'll be able to clearly and properly demonstrate value, find better-suited clients, and be rewarded for your time and expertise.
Communicate the Reasons
Above, we worked to help you identify a few common reasons for raising prices. Once you pinpoint the reason behind price increases, it's important to communicate those reasons to your clients.
After all, price increases are inevitable and necessary as the business grows. However, understandable concerns may arise from customers due to increased costs.
By communicating why prices need to be increased (such as investing in new technology or purchasing additional resources), you can look to ease their worries while reinforcing faith at the same time that they are getting value.
Offer Discounts
Raising prices doesn't have to be entirely bad for your clients. Offering discounts and incentives helps customers feel they're getting something back in return. This helps them appreciate the higher prices better because they still feel like they're getting a good deal.
Plus, it shows that you value their business and are willing to offer exceptional customer service.
What might this look like? You could offer a 10% discount for those who sign a yearly retainer. Or, you could implement a referral program to incentivize existing customers to help bring in new business.
Do It Gradually
Finally, increasing prices gradually instead of all at once is usually best.
If you increase prices too quickly, you might lose out on a lot of business due to upsetting your valued customers. On the other hand, if you increase prices slowly and carefully, it's much easier for your customers to keep up with what they're expected to pay.
How to Raise Prices as a Web Designer
Whew. You're almost to the finish line. By now, you're likely ready to update your web design pricing packages and let your customers know about the changes.
Here is how to raise prices as a web designer, keeping all the tips above in mind.
Segment Your Clients
If you have a variety of web design clients, we suggest segmenting your clients into lists. Then, update pricing according to different types of clients. For example, you could categorize your clients by the following factors:
- How much value do they currently bring you?
- How much potential is there for future business?
- How likely are they to recommend you to others?
- How long have you been working together?
- How complex are their web design needs (now and in the future)?
This will help you make smarter decisions about who gets what in terms of increased fees. It will also enable you to develop more valuable relationships with your best customers and properly reward those bringing more business to you.
Draft Unique Messages
Personal touches in communication can help strengthen relationships, and that connection is especially important when it comes to web design clients. Drafting unique messages to each client ensures they won't feel like just another number or project on your desk.
Instead, they'll know you value their business enough to draft personalized communication. Your individualized messages will remind them why they chose you in the first place and let them know how much you care about their experience working with you.
Speak With Clients Directly
Once you have your messaging in place, reach out to most of your clients over the phone. This might not be necessary for smaller clients you usually communicate with via email. However, for most, it's best to speak with them directly instead of sending them an email or other virtual message.
Provide Plenty of Notice
How much notice is "plenty" in this case? It depends, but at least a month or two. Giving clients plenty of notice helps ensure that all parties have time to understand and adjust to the change.
Not only will this give your clients more time to review alternative pricing structures or maybe even ask for a discount, but it also assures them that you value their business and are giving them fair warning. Showing respect and providing adequate notice will not only improve customer satisfaction but may also increase repeat customers.
Explain Your Value
Finally, don't forget to highlight the value you offer as a web designer! During your communications with clients, briefly discuss why you're raising your prices. Then, follow that up with a few positive mentions of what this means for your business and theirs.
You can mention something like the following:
"By increasing my web design pricing, I will be able to continue to improve my service offerings. This directly benefits you as I can access better web design tools and education that will directly translate into improved services for you and your business."
You don't have to get specific here. However, ensure your clients understand the value you provide for them and will continue to provide for them even after you increase prices.
Final Thoughts
Raising web design prices is key to staying competitive in today's web design market. While it might lead to client attrition, you don't likely want to work with clients who are upset about a slight price increase.
Besides, there are plenty of ways to boost your web design business long after you learn how to raise prices as a web designer. Yep, we're talking about SiteSwan.
With the SiteSwan White Label Website Reseller Program, you have access to all the tools necessary to become a professional website reseller. You can build and sell products to small businesses, all under your brand name. To learn more, start with a free demo of the SiteSwan Platform now!