Increase Your Profitability

A simple way to increase your profitability without it being too much for your customers, is to increase your Set Price incrementally.  Even if you were to add $1 to your set price across the board, by the end of the year you will have enough to buy a new piece of equipment, take a class at a trade show or invest in other ways in your business.

It’s like a coffee shop adding 5 cents to a cup of coffee. The customer won’t baulk too much. But, if you were to add $1 to the price, they would go down the street. Because you sell so much coffee, you’ll be making more if you raise the price a wee bit on your top selling items.

2 comments on “Increase Your Profitability
  1. Joe Jaquess says:

    Then what is incremental in framing? If I have a 2.5 markup on glass how much would you increase? go to 2.7 and later to 3.0?

  2. Bert de Roo says:

    Incremental set price increase would mean adding 5 cents to the set price each six months, for example. The markup is a different issue than the set price.