When so many business are raising prices, there are good reason for you to resist doing so. First, you can actually lose customers, and that will definitely cause lowered revenue. Second, it is unfair to put your customers in the same situation you find yourself. Lastly, by keeping your prices the same, you will keep your customers and possible gain new ones. The following ideas can help give you more reason not to raise your prices.
1. Stop travel costs. With the gas prices skyrocketing, customers will be understanding when you handle whatever you can over the phone or email instead of physical sales calls. Creating a route that combines many customers in a similar area is a great idea.
2. Multipurpose. Every person and piece of equipment in your company should be able to handle more than one task. Whether that is a printer being shared, or a sales person covering for a receptionist, make sure you are being efficient.
3. Change the way you bill. Although many people wait until the end of the month to bill, billing as soon as the product or service is delivered increases your chances of being paid. Also, when you bill later than necessary, you are basically lending the customer money interest-free. Another way to cut costs in billing is to evaluate your credit card processing. Some processors cost more than others, and if the majority of your customers pay with credit this can add up quickly.
4. Scrutinize every expense. Although it may seem nitpicky, nothing will save money as effectively as simply monitoring every dollar that leaves your checking account. Checking invoices, monitoring expense accounts, and always looking for a lower cost alternative can make a huge difference in your business's bottom line.
You are not the only one feeling the pinch. Discovering your options can make you feel more in control of your situation. To survive hard times, make informed decisions.
1. Stop travel costs. With the gas prices skyrocketing, customers will be understanding when you handle whatever you can over the phone or email instead of physical sales calls. Creating a route that combines many customers in a similar area is a great idea.
2. Multipurpose. Every person and piece of equipment in your company should be able to handle more than one task. Whether that is a printer being shared, or a sales person covering for a receptionist, make sure you are being efficient.
3. Change the way you bill. Although many people wait until the end of the month to bill, billing as soon as the product or service is delivered increases your chances of being paid. Also, when you bill later than necessary, you are basically lending the customer money interest-free. Another way to cut costs in billing is to evaluate your credit card processing. Some processors cost more than others, and if the majority of your customers pay with credit this can add up quickly.
4. Scrutinize every expense. Although it may seem nitpicky, nothing will save money as effectively as simply monitoring every dollar that leaves your checking account. Checking invoices, monitoring expense accounts, and always looking for a lower cost alternative can make a huge difference in your business's bottom line.
You are not the only one feeling the pinch. Discovering your options can make you feel more in control of your situation. To survive hard times, make informed decisions.
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To find out more about how six sigma can help your company operate smoother, visit sixsigmaonline.org right now. Lean six sigma is a great start when you are coperateched for time.
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