Category Archives: Taking the Leap

How to deal with difficult clients without losing business.

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How to deal with difficult clients without losing business.

For your business to thrive, you need the right client (not just any client). Often times the difficult clients means it’s a poor match. It could mean that you don’t have the right product; the right price; or the right service level for them. In these cases, they are not the right client for you. If you continue to try to provide for the wrong clients, you will loose business for a few reasons:
1) customerserviceThey will never be happy with your service.
2) You will loose money trying to make them happy (which you will never be
able to do).
3) They will tell everyone that they know – not to go to your place
(loosing you more clients).

So – sometimes, trying to keep a client actually loses you business.

Some ways to deal with difficult clients without losing business:

1) Understand the reason the client is asking for this particular item. Sometimes what the client really needs is different from what they are actually asking for. If you take the time to understand the client’s perspective, goal and reason for the purchase (of service or product), then even if you don’t have the exact product they are asking for, you may have a different solution for them. Sometimes people get fixated on one way to fix the problem, when there are multiple solutions. You may have a different product that solves their problem – just not the one they are fixated on right now.

2) Be prepared with a list of affiliated or referred partners. If you don’t have the right solution, be prepared to hand-off to someone in your referral or affiliated program. This way the client stays happy and you get the referral fee.

3) Apologize for the situation and ask the client how he/she would like this situation handled. Try to accommodate as best as you can within the goal of your company. If you are not able to accommodate the client and you have caused them some inconvenience, provide them an in-store coupon or gift certificate that requires them to come back to redeem.

Recognition programs on a budget

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This is Laura Lee Rose, a business and efficiency coach that specializes in professional development, time management, project management and work-life balance strategies.  The Professional Development Toolkit package covers professional development and real-world IT topics in detail. If you are interested in inexpensive training in these areas,get signed up

Depositphotos_10281388_xsMore and more small businesses are popping up.  Either you or your spouse is working at a small business or you know someone that is involved in a small business.  In a small company or business, discretionary funds are very restrained.  Even so, the need for employee recognition and appreciation is still important.  Your company’s success lay on your employees shoulders (especially when your resources are limited).   You and your employees are wearing multiple hats and are responsible for significant tasks that can make or break the company.

So — How can a small business reward and recognize outstanding performance without breaking the bank?

The best way to recognize employees on a budget is to create a 2-fer. By this I mean to think a little out of the box to discover and create rewards that also support your business success.

Some examples could include (but not limited to):

1) Use your client’s restaurants or facilities to hold recognition lunches.
2) Use your client’s print shop or merchandize to reward with plaques or gift certificates.
3) Make it an honor to be selected to escort clients to games, dinners theater, or other interesting entertainment etc (only select people that this is fun for — you want this to be a treat, not seen as a punishment).
4) Your company needs to be represented at certain luxury events, have your high-performing employees enjoy those evenings as your representative instead of you.
5) Work with a local Gym or Fitness Center to purchase group memberships in exchange for them placing your marketing/advertizing banner in their hall.
6) Sponsor a local technical conference in exchange for employee seats in certain certification, training or sessions.  Your marketing logo will be strategically displayed throughout the conference as well as getting your high-performers a lead into the next generation skill set.
7) Your company needs to periodically travel to high-profile client sites.  Prepare your high-performing employees to do these important client retention visits.  While they are during these travels, add an additional vacation day to their itinerary. Picking up the extra night hotel stay is a minimum expense, but it gives them a nice retreat.

So the idea is to make the effort to add value to what you are doing. Combine the recognition program with your client retention/referral/loyalty program or marketing/advertising dollars.  Since you need to spend money on your marketing and client retention programs (as well as your employee recognition program) – find a way to get more bang for your bucks.

In the Professional Toolkit, I provide worksheet, templates and guidance on how to accomplish these things.    In my Book of Answers: 105 Career Critical Situations, I have 105 work-life scenarios like the above.  The scenarios show how to accomplish your goals in similar situation.
For more information on how to get this toolkit or the “Book of Answers“, please contact LauraRose@RoseCoaching.info

Excelling in a group interview setting

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groupinterviewInterviews are nerve wracking enough when done one-on-one, but add in a group dynamic, and it can be enough to scare away candidates.
  • How can job seekers excel in a group setting, when their competition is interviewing alongside them?
  • How can job seekers remain calm, appear knowledgeable, and prove they are the best fit for the job?
Some recommendations:

1) Focus on the attributes that you want to illustrate:  Professionalism, Team Player, Work well with others, Adds Value to the conversation; and can understand and adapt to the changing dynamics of the workforce.  After all, this group interview is no different than a regular staff meeting.  This is a good way to see how you will conduct yourself in a meeting environment.

2) By keeping the things you want to illustrate in “real-time”, you will avoid interrupting, one-upping, and even competing.  Approach the group interview as regular staff meeting.  Find ways to differentiate yourself through active listening and even asking open-ended questions.

3) Pay attending and listen to everyone’s answers and incorporate what they are saying into your answers.  Acknowledge what both the interviewer and other interviewees are saying (instead of just tuning out to figure out what you are going to say when your turn does come).

4) When you are answering your question, make eye contact to everyone on the panel (and not just the person that asked the question).

5) Avoid elevating yourself by putting someone else down.  If you want to illustrate leadership, you want to go out of your way to uplift everyone in the room.

 

 

Designing Your Scarecrows to Success

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scarecrowsDesigning your own Scarecrow:  In the past, we’ve discussed doing at least 1 scary thing a week to grow and develop.   (Read full article of “How to do things that scare you” here)

Now that the fall is here – so is harvest time.  So — what types of tools have you been using to scare away those pesky voices, events, and even friends that tend to distract and sabotage your success?

While talking about the dilemma “is your glass have full or have empty”  I often reply “It’s irrelevant because there’s free refills”  Someone once asked a discussion group question – “What do you do is someone else smashes your half-full glass?”   Some folks said , “Just get a bigger glass”.  Some folks answered, “Get a bigger glass and stay away from those people in the future”.

One big mistake we all make is to assume that ‘someone else’ is smashing your glass.  No one can smash your glass, except you.  No one can affect you if you don’t allow them to.   It’s that old question “If a tree falls in the woods and there is no one to hear it, does it make a sound.” People can say anything they want (negative or positive).    If you are not listening to them, then you are not affected.  Therefore, the only reason someone can upset you is because you (for some reason) are believing what they are saying.  So – it really does come back to – it’s not what they are saying that hurts you.  It’s what you think about what they are saying that is hurting you.  Therefore, if you change how you think about what they are saying – you can turn this event into a positive (regardless of their initial intentions).

So — this is where Your Scarecrow comes into being.

We sometimes allow others (voices, events, and even well-meaning ‘framily’ (friends and family) to derail us from our personal and professional goals.   What have you put in place to keep you are target?  What type of Scarecrows have you put in place to divert and attract others away from negative influences.  And what type of Scarecrows have you put in place to help you focus on the goal at hand?

What would you like to use to help switch your mindset on some things.

A Scarecrow can be several different things:

1) A vision board of where you want to be, do or have

2) Picture of your best friend for continued encouragement

3) A pact to text a friend each time you completed a work-out or tedious task

4) A rigid routine or schedule to help keep you on track and active

5) Motivational audios or videos

6) Journalling

7) Daily phone call to a trusted friend

8) Use of a timer to limit breaks, computer window browsing, or get us back on track

9) Blocking time on the calendar for our imperatives (like family, friend, healthy lifestyle, etc).

10) Lining up accountability partners and reasonable forcing functions to help us succeed – as in a Mastermind or Synergy group.

If can be anything.   If you haven’t lined up your Scarecrows, do it today.

More information on how to be a part of a mastermind or synergy group, <<click here>>

Different Types of Managers and How to Work With Them

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As you have already experienced, there are different types of managers and the different styles of management workers might encounter.  A good manager actually transitions and flows between the different roles as the environment or situation dictate.  But some managers naturally gravitate toward their dominate style and stays there – regardless of their surroundings.   The best advice for working successfully with many of the types is to take full control of your own performance, professional development and career management.

You do this by:

There are 8 text book management styles  ( summary at end of note, posted by Touchpoint in General Business on Jan 9, 2012 9:02:00 AM); but a new type has cropped up recently.  It’s the BUSY Manager.

yesmanSome managers mistaken a “hands-off” approach to mean disengaged.  Most companies are understaffed and overworked.  Therefore, managers often have more work than their employees can handle and more stakeholders/clients to report to and appease.   This often puts the manager in a tailspin – which often tempts them to disengage from their employees.  The Global Workforce environment adds additional complications when individuals are remote and on different time zones.  This also contributes to the manager losing touch in what’s actually going on in his ranks.  In such an environment, most managers are focusing on don-time delivery of current projects.

These busy managers are often impatient with items not directly associated with today’s goal.   There is very little time spent on career management and individual development plans for their employees.  There is little focus on the training on next generation technology to reduce the learning curve to get ahead of the market.  Because of their heavy schedule and budget constraints, managers are often just present focus. They are only focused on what is needed to get them to the next hurdle — but not necessary over it.   They are working to keep their heads above water and not necessarily focused on getting out of the water.   If employees depend upon managers like that – staying only present focus will eventually drown you.

If you recognize that your manager is has a “present-focus” mindset (because he has so much to do, it’s the only thing he can focus on right now) – you need to take control of your own career and professional development.  If you are thinking like the owner or manager (discussed in the Professional Development Toolkit DVD) , you can both appreciate and anticipate need.  In “Knowing How You Boss’ Mind Works video (included in the Professional Development Toolkit DVD), you can better position yourself for that excellent performance rating and promotion.

8 Types of Conventional Managers:

Posted by Touchpoint in General Business on Jan 9, 2012 9:02:00 AM

  • Active leadership: Active leaders tend to lead by example and set a high standard for themselves and their employees. They wouldn’t ask an employee to take on a task they’d be unwilling to do themselves. They are highly involved in the day-to-day work and fully aware of what’s taking place in the office.

 

 

  • Directive leadership: Although less authoritative than autocratic managers, directive leaders do not typically solicit employee input. They often cite a short timeframe, an unpredictable client or an emergency situation as the reason for acting unilaterally. Often this may be true. Other times, they may just have a bit more difficulty letting go of control.

 

 

  • Participatory leadership: Based on a coaching philosophy, this style focuses on empowering employees to seek their own knowledge and make their own decisions when appropriate. It can be very effective in fluid work environments with shifting priorities. A more advanced version of this style is the flat management style, where different managers take the lead on projects, depending on their expertise.

 

  • Servant leadership: Based on a “people-come-first” philosophy, this style has been made famous by writer Robert Greenleaf. The style is based on finding the most talented people to run your organization and then empowering them to do what they do best. The leader sees him or herself as a “servant” to the customer and encourages employees to adopt the same attitude.

 

  • Task-oriented leadership: Leaders who use this style may have once been project managers. They are experts in planning projects, allocating resources, assigning roles, setting benchmarks and keeping to strict deadlines.

 

The  IT Professional Development Toolkit, goes into the: who, what, where, when and how to accomplish all of the above. I also have a transferable skill worksheet.  For more information about the toolkit,

Blue-StartHere

How to Launch a Successful Grand Opening for Your Department or Team

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Although these tips are specifically for Grand Opening for your businesses – they are relevant to any major changes that your teams or departments are making.  The advantage expanding the Grand Opening concept beyond just starting a business is that you receive the following:

  • Re-vitalize your connections with inactive clients or stakeholders
  • Provide an event that encourages current clients, members or stakeholders to make referrals
  • Expose and publicizes your teams accomplishments to a wider audience
  • Exposes your company, department and team as a thought-leader in this space

Below is an article by Mary Brown.  Mary is an event planner and freelance writer from North Carolina.  Review her tips and think of ways these concepts can be used for your team or department.

How to Launch a Successful Grand Opening for Your Business

About half of all new businesses survive five years or more and about one-third survive a decade or longer, according to the Small Business Association Office of Advocacy.

Depositphotos_10281388_xsA grand opening event can provide the opportunity to get your business off to a great head start and offer the chance to build client relationships that will eventually help you achieve success to become a company that survives and thrives, long-term.

Make an Impression

In order to stand out and make an impression, your grand opening should be more than just a staged ribbon-cutting. Throwing something together at the last minute not only wastes time and money, but you’ll also miss out on taking advantage of one of the best opportunities to gain lots of publicity and new clients. You don’t even have to spend a lot to make it work.

  • Charity event. Consider hosting a charity event as part of your grand opening by contacting a nonprofit organization within the community. For example, a restaurant might partner with a local food bank. An environmental consulting company might contact the local chapter of the Sierra Club or the Conservation International Foundation. Your office or store can host the event that raises funds for the charity. By focusing on charity work while ensuring that your business name and logo are highly visible, your company will virtually sell itself.
  • Opening your company to the community. Your grand opening might include opening up your business to the entire community. Consider providing special pricing and even giveaways that can only be taken advantage of during the festivities. Allow visitors to get a glimpse of the business behind the scenes with a special tour while meeting employees and sampling products.

Date and Target Audience

Your grand opening shouldn’t coincide with the first day you’re open for business. Ideally, it should be three-to-four weeks, or even a few months afterwards, in order to work out any inevitable kinks. This will also allow you to determine high-traffic times and figure out the ideal hours to hold the event and attract the maximum publicity.

You should also identify your target customers to determine who you will invite. Well-known community members can help you increase the media coverage your event receives, so consider local politicians, prominent business officials, Chamber of Commerce staff, members of business associations and local press. Of course, you should also invite anyone who may have helped you to get your business started, in addition to friends and family members.

Spread the Word

Next, get the word out about the event to as many people as possible. A great way to get word-of-mouth advertising going is to join a community organization, which can help create a buzz through networking. Talk to your local Chamber of Commerce for recommendations. They may also be able to offer grand opening assistance benefits at a discount.

Advertising is also a key factor, and it doesn’t even have to cost a lot. Social media is free, so take advantage of every method possible, such as sharing via Facebook and Twitter. A press release is also a must. It can make or break the amount of media coverage your business will receive.

A good press release should:

  • Have a headline that stands out, encourage the viewer to read more.
  • Include a summarizing statement that will convey your main message quickly.
  • Include a good story. A business grand opening may not be enough. Think about what makes yours unique. Are you bringing new jobs to the area? Representing a new industry? Supporting environmental efforts? What would your audience find most interesting?
  • Always include the who, what, when, where and why of the event.

Offline Marketing

Direct mail marketing can also be essential for reaching the maximum number of people at a fairly low cost. A service such as Overnight Prints postcards allows your business to reach potential customers as quickly and as cost-effectively as possible. They can be mailed, handed out to anyone you meet and placed on car windshields, or any other place where people will see them, so they’re drawn to your grand opening event if that’s the audience you’re looking for. Offer an incentive on the postcard, such as a discount for bringing it to the opening, and use a bold, colorful design that encourages people to take a second look.

When it comes time to quit your job, do it without burning bridges.

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The IT Professional Development Toolkit DVD goes into further details on the who, what, where, when, and why of these topics.

When it comes time to quit your job, how can you do it without burning bridges.

Of course this depends upon how you have conducted yourself throughout your career; but if you have been professional and a valued contributor all along – here are a few tips:

1)  Highlight all the positive things that this company has allowed you to accomplish.  Show appreciation for your manager and all the opportunities provided on your behalf.

2) Share your individual career goals and plans.  You should have been sharing this all along with your manager in your regular one-on-one managers meetings (detailed in the Professional Development Toolkit).  Therefore, this will not be the first time your organization hears about your career goals.

3) If you have been sharing your career goals with your manager and mentors; and your current company can not provide your ‘next step’ – there will be no bridges burned.  You are simply continuing your career growth and following your IDP (Individual Development Plan detailed in the Professional Development Toolkit).

4) Stay in touch with your managers/mentors/co-workers.  After you leave, stay in contact with past managers, mentors and co-workers.  Everything changes.  It’s a 75% chance that those people will also move on (change their positions) within the next 5 years.  Continue to network with them to understand how their power of influence is growing.  Continue to share with them about your career plans (as well as understanding their goals).  Continue to help each other achieve those next steps.   Stay on their radar – such that when a great opportunity presents itself to them, you are on their minds.

5) You never know who other people know or what the future will bring.  Make sure you stay LinkedIn.com (or similar) connected so that you easily see who they are connected with.  This way you can more easily leverage your links or network.  Joe may not be in a direct position to help or mentor you; but you see that he knows Dr. Barklette that would be a great mentor for you.  If you had asked Joe if he had any recommendations for a mentor, he may not think of Dr. Barklette.  But because you can see Dr. Barklette in Joe’s circle, you can ask for the specific introduction.  You also know that Dr. Barklette might need a research assistant or project manager on his next program, etc.

Bottom line is that right way to quit your job doesn’t stop when you walk out of the door.  It’s really just the beginning.  Make it a point to continue the business network and build a working relationship with those past relationships.  The biggest mistake that people make is to close the door on those years of collaboration and professional network.

If you would like to know more details, please email LauraRose@RoseCoaching.info

A Vacation from Email

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Hello, this is Laura Lee Rose – author of the business and time management book TimePeace: Making peace with time  and The Book of Answers: 105 Career Critical Situations– and I am a business and efficiency coach that specializes in time management, project management and work-life balance strategies.  Steve Wynkoop and I talk a lot about designing and managing our professional careers on a weekly interview on SSWUG TV.

The IT Professional Development Toolkit DVD goes into further details on the who, what, where, when, and why of these topics.

Some of us receive hundreds of emails a day. Others receive thousands. Just managing your inbox is one thing, but what about making time for everything  else you need to do while still remaining timely with email responses?

Email is one of those places where you can easily and quickly reduce your time.  Here are some steps:

1) Incorporate auto-responders to handle the Frequently Asked Questions and Concerns.  Document Q&A once and post the FAQ in an easily accessible location online.  Use the auto-responders to point people to the information or website.

2) Delegate 1st line emails to an assistant.  Just because you can answer your email doesn’t mean you should be answering your email.  Even if you don’t feel like you can keep an assistant busy, you can take advantage of a virtual assistant.  You can arrange to have a part-time virtual assistant during your busiest sales or development time or have them work just 1-2 days a week.

3) Consider a Subject Headline convention.  Ask your team to use a specific convention <Type: Informational/Status Report/Action Required/Critical Issue> and <Deadline>.  If the headline is formatted in such a way that you can determine the topic, priority and action needed from you – then you (or your assistant) don’t have to open the email to properly prioritize it.

4) Make use of Message Rules.  Use your message-rules email features to automatically sort your incoming mail to it’s proper folders without your intervention.  For instance: newsletters, junk mail, promotions, social media updates and external marketing campaigns can automatically be sorted, filtered or deleted without taking your time.  Once you have your Subject Headline Convention in place, you can easily filter and sort based on the information type and due-date in the headline (versus when the email was sent)….which is a more effective way to sort.  Then you schedule blocks of time to review the different folders.

5) Announce your intentions.  Everyone is familiar with the “On Vacation” feature of many emailers.  The reason this works is that it simply announces your communication/email schedule.  It tells people when you are away from email and for them not to expect an immediate response.   It also includes backup contacts and hand-off information.  Don’t limit this strategy to vacation.  Publish your “email response intentions”.  Some examples (but limited to):
a) When they can expect a quality response….within 1 business day, 48 hours, 1 week; etc.  If you have your Subject Headline Convention in place, you can have different SLA (service level agreements) in place for different topics, categories, priorities, folders and even  based on senders.  This can all be automated and filtered into the various folders. They will get receiving an immediate response (via your auto-responder), confirming that you did receive their email and needs xx time to provide a complete and quality response.  This automatically puts your sending at ease without adding pressure to your plate.
b) Move from interrupt mode to blocked out quality time.  Announce in your auto-responders that you normally review your email at 2-4:00pm daily (just an example).  Blocking out a specific time review your email not only releases you from the distraction of having to review each mail as it comes along; but allows you the time to give a focused and accurate response.  Responses created ‘on the fly’ are often vague, rushed and sometimes inaccurate.  They are often crafted to dismiss the issue as quickly as possible; and often create more confusion than it has answered.
People know now that you have schedules some quality time read this in detail and give it focused thought later in the day.  Most people just need to get if off their desk (not necessarily an immediate response from you).   And they will feel validated that you feel this is important enough for you to take your time in responding.   If that time period is not satisfactory to them, they can schedule a phone meeting or drop by your office.
c) Eliminate the Quadrant 3 emails.  Include a delegate, back-up, FAQ document or automation to handle some of the seemingly urgent but unimportant items.  Most of our time is spent on seemingly urgent but unimportant items (Quadrant 3 from Stephen Covey’s 7 Habits of Highly Effective People).  Just because someone is asking “now” doesn’t mean that it’s urgent.  It just means they are contacting you ‘now’.
d) Have a communication plan.  Set the proper expectations in regards to your email.  Have a communication plan with each of your significant stakeholders.  If you educate your significant stakeholders on how you plan to manage your email, people will know how reset their expectations.  It’s when you don’t tell people when you will get back to them, that they continue to pester you until you get back to them.  Setting up a communication plan in regards to phone, email, instant messages, text, meetings, etc is a great way to avoid both distractions and frustrations.

If you would like to know more about communication plans, please email LauraRose@RoseCoaching.info

7 Tips to Finding a Mentor

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Hello, this is Laura Lee Rose – author of the business and time management book TimePeace: Making peace with time  and The Book of Answers: 105 Career Critical Situations– and I am a business and efficiency coach that specializes in time management, project management and work-life balance strategies.  Steve Wynkoop and I talk a lot about designing and managing our professional careers on a weekly interview on SSWUG TV.

The IT Professional Development Toolkit DVD goes into further details on the who, what, where, when, and why of these topics.

Most successful people believe having a mentor greatly helps them stay on target and even excel quicker.

But how do you find a mentor, particularly with someone who you might not have a relationship
with yet or resides in another location.

7 Tips to finding a Mentor

1)      Outline the items/areas that you are interested being mentored or coached.  There may be several areas that you are interested in.  So – don’t feel that one mentor has to fulfill all areas.  You can have one mentor for “how to better market yourself in your organization”.  You can have one for “how to increase my technical expertise and influence in the organization”.  You can have one for “how to step more into the spotlight in trade-shows, user conferences, speaking engagements”  You can have one on advice for starting your own business.

2)      Once you have your areas outlined – talk to your manager about wanting to improve these specific areas.   Ask your manager’s advice on who in the organization would be good mentors in those areas.  Ask your manager if he/she would provide a warm-introduction (simply touch base with that  person to see if they are open to something like that).

3)      Do the same with your HR representative.  Share your desire to get a mentor with your HR representative.

4)      Ask co-workers and friends if they have been a mentor, have a mentor or have a recommendation on one.

5)   Attend your professional association meetings, networking groups and subscribe/read your industry magazines.  Be on the lookout for people giving relevant presentations/talks at your professional networking groups OR authoring articles in your industry journals.   Introduce yourself by telling them how much you enjoyed their presentation or articles.  Discuss various points that you really connected with.  These are great ice-breakers.  Tell them that you would like to interview them for your article, blog or newsletter. During your interview, share your professional goals – and ask their advice on how to find a mentor in their specific area.

6)   Repeat the above for other experts in your areas of interests. Start adding these contacts to your LinkedIn or Facebook space.  Reciprocate and ‘Like” and provide positive comments on their businesses.  Go out of your way to give them testimonials and endorsements on their pages.  This helps keep you on their radar.

7)      Make use of your facebook and  LinkedIn.com connections.  Do a search/review of your network to see if they have the qualifications necessary to be a guide.  You mentor doesn’t need to be in your current organization or company.  It is actually beneficial to expand your reach beyond your current company.  When you find someone that you want to reach out to – simply state your goal, and that you admire their accomplishment.  Be specific on what you really like about their background and achievements, highlighting any commonalities between you and them.  Admit that they seem to be in the perfect position to suggest a possible mentor.  This gives the person an “out” without alienation.  If they want to mentor you, they will often suggest themselves and a meeting time.  Otherwise, they may offer to connect/introduce you to someone else.  Either way you win.

This last point is MOST important.  Reciprocate either by paying them for their time and expertise; gift their family dinner/theater/entertainment tickets; offer your services in the areas of your expertise, etc.  Avoid taking without giving back.  Otherwise, you run the risk of over-extending your welcome.  And you really want to develop a long-term working relationship with these masters.

In my IT Professional Development Toolkit, I go into the: who, what, where, when and how to accomplish all of the above.   For more information about the toolkit, please contact

 

vConferenceOnline.com/Bits on the Wire, Inc.
6420 E. Broadway, Suite A300
Tucson, AZ 85710
520-760-2400 or (877) 853-9158
info@vconferenceonline.com

 

 

Or sign up for my weekly Time and Career Management Newsletter at: http://eepurl.com/cZ9_-/

 

How small business’ can raise prices without alienating clients

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Most small business owners often underbid their services to better attract sales.  Once established, they take too long to raise their prices.  The fear is that they will lose their current client base, and therefore lose money.  How can small businesses raise prices without alienating or losing clients.
Some of the more effective methods for small business’ to raise prices without alienating are:

1) Announce price raise well in advance, as well as the reason for new rates.  Include additional benefits to them that you are being added in your descriptions.  You can also offer a “lite” version at the original price – so not to loose any clients

2) Offer “Grandfathering-in” at original price for a limited time.  Anyone purchasing the service before that date will get it at the original price.  Offer a loyalty program such that clients that continue with you (either via a retainer, or subscription membership) will remain at the original price for 1-year.  Any break in service will revert to new price.  Any new clients entering after XXX date will pay the new higher rate.  This entices ‘on the fence’ customers some incentive to purchase ‘now’.

3) Offer a Club Membership Subscription – such that a reasonable membership fee will guarantee the original price as long as they are members in good-standing.

4) Offer a referral program that allows the customer to get compensated for bringing in new-paying clients.  Anyone bringing in new paying customers  get the original rate as well as the new customer.

5) Offer an advertising program that allows customers with their own facebook social media,  newsletters, blogs and websites receive the product/service at the original price.  Create a contract that requires the client to advertise XX times a quarter on their various social media wall, newsletters, blogs, and websites.  As long as they fulfill the advertisement contract, they pay the original rate.

Remember the goal of “price increases”:  You are increasing your rate to make more money.  If you can make more money doing other things, then you have been fairly compensated.  If you can reduce marketing costs or other overheads (allowing the customer to help with those tasks), then you can afford to compensate the client by giving them the original rate.

Giving the client options to stay at the original rate often eliminates the alienation feeling.  This way, the client is the one selecting the price they are willing to pay.

Create a campaign and marketing plan around your strategies. Use it as a catalyst event.

1) Make your “price change” announcement at least 3 months advance to encourage new clients to purchase at the lower prices.

2) Roll-out your loyalty programs and referral programs at least 2 month’s in advance.

3) Call (or visit) your high-influential, high volume  clients to discuss the price changes, the reason for them, the grandfather/membership plans, etc.  Allow your clients to choose how they want to participate.  This also allows you to give them a free membership or subscription to lock them into the lower rate.

4) One week before price change, remind folks that some of the discount offers will expire on the rate-change date.

5) Do a count-down a day before the event.  Make the price change an actual event.