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Can you raise your prices now?Wedding Business Solutions Podcast - Can you raise your prices now?

I’ve been asked this question for as long as I’ve been in the industry, which is over 25 years. It’s a great question, because every dollar you can raise your prices without giving the customers any more products or services, is additional profit. So, can you raise your prices now? I’m pretty sure you can. Listen to this episode and find out how much more profit can you make! (only 10 minutes)

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Below is a full transcript. If you have any questions about anything in this, or any of my podcasts, or have a suggestion for a topic or guest, please reach out directly to me at Alan@WeddingBusinessSolutions.com or contact me via textuse the short form on this page, or call 732.422.6362

Please be sure to subscribe to this podcast and leave a review (thanks, it really does make a difference). If you want to get notifications of new episodes and upcoming workshops and webinars, you can sign up at www.ConnectWithAlanBerg.com


Hey, it’s Alan Berg with The Wedding Business Solutions Podcast. Welcome. Today I want to talk about a subject that, gosh, I’ve been talking about this for over 20 years with people. “Can you raise your prices now?” And now is whenever you’re listening to this. Now, it doesn’t matter what day of the week it is, what month, what year, how long you’ve been in business. Can you raise your prices now? The short answer is, yeah, you can. Because in most cases you’re selling services, and with services, it’s hard for somebody to compare apples to apples. Because if they want your results, they have to hire you and pay your price. So, let’s think about this. This is an exercise that I do with my clients. And I’ve done it with audiences big and small. Think about in a normal year, the people that you do business with, how many people that have already booked you, already paid you, maybe you already have done their wedding or event, how many of those people would have paid more than they already did?

So, let’s start small. Let’s start easy. How many people would have paid you $25 more than they paid you? Not per person, just total $25, whatever your price is, whether you charge $500, $5,000, $50,000… whatever the number is, how many people would have paid you $25 more? And the answer is probably – everybody. Okay. So, if everybody would’ve paid you $25 more and you did, oh, I don’t know, 20 weddings – 25 times 20 – that looks like $500 in profit! Profit, right? Because if you… raise your price without adding any other services or products, all that money is profit. Just like if you discount without taking anything back, you’re giving away profit. But let’s say you don’t do 25 weddings a year. Let’s see you do 50. You do 50 weddings, $25. That looks like $1,250 in profit! So, let’s keep playing the game here. What if it was $50? What if it was $50 and you did 50 weddings, right? $50 times 50 weddings, $2,500 in profit.

Should we keep playing, Johnny? Yes, let’s keep playing. What about $100, $200? At what point do you start having customers that would have said no? And did you get more inquiries for some of those popular dates so that someone else might’ve said yes? Because if somebody says no and you can get somebody else to say yes at the higher price, well, you’re going to make more profit then. So, what I want you to think about is you may not be able to do this for every product that you have, or every service that you have. You might actually not be able to do it on your base prices, but you can do it on the add-ons. So, think about if you have uplighting as an option, maybe you can’t raise the base price on the service, but they’ll pay another $50 for the uplights. Because they already like you, they’ve already booked you. Or for a different food station, or for a different, for the arch at the ceremony arch. Maybe you can’t get more on the centerpiece but you can get more on the ceremony arch.

So, think about this and in your business, based on your prices, because I know some people with lower prices, invitations and favors, and you know, some celebrants charge less than others do. Can you get the $20, $25, $30 more? I had a company that was doing ceremony music, and they were booking out many, many ceremony musicians every year. And they raised the price by $25. And they raised it by $25 and they made five figures more of profit the next year because of the volume that they did, because they do hundreds of these ceremonies every year. They made five figures in profit, more than $10,000 in profit. So, think about your business. Can you raise some of your prices a dollar? If you’re a caterer, can you raise a dollar here, $2 there? Starts to add up when you have a hundred people, 150 people at a wedding, the average in the country being about 140. So, think about where can you raise your prices, and how many customers would have said yes already?

I was doing this with an officiant customer of mine. He was charging $600 for a ceremony. And then fast forward seven years, eight years, and he hadn’t raised his prices. And we were talking and I said, “You know, you could be raising your prices.” And he just had never done it because everybody that reached out said yes. I said, “Well, that’s the first sign, that’s the first sign that your prices are too low.” If everybody’s saying yes, it means your prices are too low. You should be getting some friction, some resistance with like, “Hmm, maybe it’s a little more than I thought, but yeah, we still want you.” So, we took him from $600 to $800, which was a 33% increase. The next day, he met with two couples. They both booked them at the higher price. Didn’t blink an eye. I still think he could have been higher.

And I’ve seen this time and time and time again. There was a DJ at a mastermind that I did in Dallas one time, and he hadn’t raised his prices in even longer than the celebrant. And we were talking about it, and I said, you know, for who you are and what you are and your experience, you’re way underpriced versus other people. And we talked about it, and we talked about what other people are charging that that are in similar situation as him, similar quality. He doubled his price, literally doubled his price. The next day, met with two couples. Both of those couples booked him at the higher price. You don’t know if they’re going to say yes unless you ask. And there’s a phrase that I use all the time, little signs that I give out. If you’re watching a video, you can see this. If not, I’m going to read it to you. It says, “If you don’t ask, the answer is always no.”

So, it’s not up to you to decide whether it’s too much. It’s up to them. I remember doing a mastermind in Virginia and the woman sitting next to me did high-end decor and design. And she goes, “You know, Alan, I wouldn’t pay my prices.” Which I was kind of surprised. I was like, “What do you mean?” She said, “Well, I would never hire somebody to do what I do because I can do it. So, it just seems would be crazy for me to pay someone the prices that I charge to do this, because I can do it.” I said, “Well, do you have any problem charging other people that price?” She goes, “Oh no, no, they have no problem paying it.” And it made me think the person that sells a Rolls Royce doesn’t own a new Rolls Royce. The person that’s selling a $5 million home doesn’t own a $5 million home. But they have no problem taking your money, because they let you shop with your wallet.

And I want you to let your customers shop with their wallets. And if they’re willing to pay more to get your results, let them do it, because that’s additional profit for you. So, play this game with yourself. Start small, $25, $50. If your prices are higher, $100, again, total for the event. And if you do X number of events and you can make this much more per event, how much more profit, how much more profit is in that for you? I’ve had many companies coming back and thanking me because the biggest regret people have after raising their prices is not having done it sooner. So, you can’t do all the weddings and events in your market. You’re only looking for a certain amount. Your customers that are paying for you already, will have paid at least a little bit more. How much little more, little more, little more can you do? Another one of my clients just recently told me that they’ve done packages. And I talked about this on another podcast, about packages versus a-la-carte. And they said, “We’re selling way more,” not way more, but “selling more of the top package than we had expected.” I said, “Okay, good. It’s time to redo the packages and have something that’s even more expensive.” Because if people are buying their top package already, some of those people would have spent even more, but we didn’t ask, therefore we didn’t get it. So, we’re going to reconfigure that.

So, should you raise your prices? The answer is Yes. Can you raise them all? I don’t know, that’s a more specific thing. I could certainly do a private consultation with you. We could figure that out. But reality is you could get a little bit more. I mean, listen, you could get a dollar more. And if you got a dollar more every time, you can go out and have lunch. If you got $5 more every time, you could have dinner. If you got $50 more every time, you can go on vacation. So, can you raise your prices now? The answer is almost certainly Yes. Can you raise them all across the board? Maybe, maybe not. Can you raise some of them? For sure. I hope you think about it. Go back and take a look and make more profit. That is the goal here for you to help people have great, fantastic times at their weddings providing wonderful services, while also taking care of yourself and your family.

I’m Alan Berg. Thanks for listening. If you have any questions about anything in this, or any of my podcasts, or have a suggestion for a topic or guest, please reach out directly to me at Alan@WeddingBusinessSolutions.com or contact me via textuse the short form on this page, or call 732.422.6362

Please be sure to subscribe to this podcast and leave a review (thanks, it really does make a difference). If you want to get notifications of new episodes and upcoming workshops and webinars, you can sign up at www.ConnectWithAlanBerg.com

Listen to this and all episodes on Apple Podcast, YouTube or your favorite app/site:

©2021 Wedding Business Solutions LLC & AlanBerg.com

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