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RPCCS

  • Posts: 973
Predicted recession and price increases
« on: March 11, 2020, 08:17:03 am »
I am due to increase prices this year, was planning it for May but there’s talk of another recession due to the coranvirus and it’s effect on the economy. Is it a risk?
Cheers Rich

Slacky

  • Posts: 8278
Re: Predicted recession and price increases
« Reply #1 on: March 11, 2020, 08:39:06 am »
There's always talk of a recession.

Just put your prices up and stop panicking.

RPCCS

  • Posts: 973
Re: Predicted recession and price increases
« Reply #2 on: March 11, 2020, 08:44:49 am »
I was thinking that I should  just increase regardless, especially as it’s 4 years since my last one., but  there’s always a risk that  things could go pear shaped with the economy considering the “shut down” that could be on the cards.
Cheers Rich

The Jester of Wibbly

  • Posts: 2160
Re: Predicted recession and price increases
« Reply #3 on: March 11, 2020, 08:45:41 am »
Yep, it does not stop Sky or Virgin putting up their prices every year above inflation.
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Slacky

  • Posts: 8278
Re: Predicted recession and price increases
« Reply #4 on: March 11, 2020, 09:00:26 am »
I was thinking that I should  just increase regardless, especially as it’s 4 years since my last one., but  there’s always a risk that  things could go pear shaped with the economy considering the “shut down” that could be on the cards.

Putting your prices up won't change that. Nor will leaving them where they are.

I've lost count of the number of recessions and predicted recessions I've gone through as a self-employed window cleaner. None of them have influenced me in when I do or do not alter my prices.


NWH

  • Posts: 16952
Re: Predicted recession and price increases
« Reply #5 on: March 11, 2020, 10:26:43 am »
It’s this kind of panicking that empties petrol stations and the fact that when I went to buy a packet of toilet rolls the other day the shelf’s were bare.

dazmond

  • Posts: 23968
Re: Predicted recession and price increases
« Reply #6 on: March 11, 2020, 04:23:25 pm »
I was thinking that I should  just increase regardless, especially as it’s 4 years since my last one., but  there’s always a risk that  things could go pear shaped with the economy considering the “shut down” that could be on the cards.

DO YOU WANT TO WORK FOR LESS MONEY THAN YOU DID 4 YEARS AGO?then crack on and keep your prices the same.....

have a look at the uk inflation calculator and put in the job amount and what that moneys worth in 2020 compared to 2016.......you ll soon change your mind....PUT THEM UP!

im around half way through putting  250+ jobs up,most a quid or two .some larger ones and commercial jobs are going up a fiver....no problems so far
price higher/work harder!

NWH

  • Posts: 16952
Re: Predicted recession and price increases
« Reply #7 on: March 11, 2020, 05:12:07 pm »
My advise would be hold fire on the increases some will disagree but that’s what I would do,do an extra house a day if you want more money for the time being.
There’s enough scare mongering at the moment on the news if you are getting good money anyway I wouldn’t push it what’s the point,at the moment why give yourself the stress of worrying you’ll lose work for the sake of a few quid a month,like I say I’d leave it for a while and when things calm down stick em up then.

RPCCS

  • Posts: 973
Re: Predicted recession and price increases
« Reply #8 on: March 11, 2020, 05:58:57 pm »
My advise would be hold fire on the increases some will disagree but that’s what I would do,do an extra house a day if you want more money for the time being.
There’s enough scare mongering at the moment on the news if you are getting good money anyway I wouldn’t push it what’s the point,at the moment why give yourself the stress of worrying you’ll lose work for the sake of a few quid a month,like I say I’d leave it for a while and when things calm down stick em up then.
Nah, I need to have an increase, anyone who whinges will have the opportunity to find someone else who is cheaper.. There is always someone wanting a window cleaner.
Cheers Rich

NWH

  • Posts: 16952
Re: Predicted recession and price increases
« Reply #9 on: March 11, 2020, 06:02:02 pm »
Depends what kind of jobs they are if they are good anyway i wouldn’t rock the boat if it’s a street of fronts or a huge estate and you lose 1-2 who cares,if it’s a big regular job that are good payers and nice people don’t cut your nose off.

RPCCS

  • Posts: 973
Re: Predicted recession and price increases
« Reply #10 on: March 11, 2020, 06:16:40 pm »
A recession could last for months or years so waiting until things settle down could be too long.  A couple of months maybe, but not longer. Some have been asking if the price was still the same ,a few saying it’s time the price went up. So they are going up in May, get the budget and new tax year over with.
Cheers Rich

Dry Clean

  • Posts: 8858
Re: Predicted recession and price increases
« Reply #11 on: March 11, 2020, 06:51:54 pm »
Yep, it does not stop Sky or Virgin putting up their prices every year above inflation.

Sky have just lowered their TV broadband packages in the hope of locking customers into a contract for 18 months, I suspect others will follow, yes there have been other recessions but for most plebs they didn't mean much or cause the same panic as we are getting now, at this moment in time I think the less contact we have with our customers the better and that that would include drawing attention to our prices, waiting a few months to see how this plays out will hardly break the bank.

dazmond

  • Posts: 23968
Re: Predicted recession and price increases
« Reply #12 on: March 11, 2020, 06:52:42 pm »
Depends what kind of jobs they are if they are good anyway i wouldn’t rock the boat if it’s a street of fronts or a huge estate and you lose 1-2 who cares,if it’s a big regular job that are good payers and nice people don’t cut your nose off.

i have some larger jobs ive never put up in 6 years...their going up a fiver.....uk inflation calculator really opens your eyes to how our jobs get devalued as the years go by if we dont put them up....

i honestly couldnt give a toss if i lose the odd job here and there(i havent yet BTW)
price higher/work harder!

dazmond

  • Posts: 23968
Re: Predicted recession and price increases
« Reply #13 on: March 11, 2020, 06:55:51 pm »
Yep, it does not stop Sky or Virgin putting up their prices every year above inflation.

Sky have just lowered their TV broadband packages in the hope of locking customers into a contract for 18 months, I suspect others will follow, yes there have been other recessions but for most plebs they didn't mean much or cause the same panic as we are getting now, at this moment in time I think the less contact we have with our customers the better and that that would include drawing attention to our prices, waiting a few months to see how this plays out will hardly break the bank.

im already half way through my prices rises...im not gonna stop now.....i also have hundreds of PRICE RISE NOTIFICATION slips in the van which im posting through my customers doors along with their slip/bill..... ;)
price higher/work harder!

RPCCS

  • Posts: 973
Re: Predicted recession and price increases
« Reply #14 on: March 11, 2020, 06:56:14 pm »
Depends what kind of jobs they are if they are good anyway i wouldn’t rock the boat if it’s a street of fronts or a huge estate and you lose 1-2 who cares,if it’s a big regular job that are good payers and nice people don’t cut your nose off.

i have some larger jobs ive never put up in 6 years...their going up a fiver.....uk inflation calculator really opens your eyes to how our jobs get devalued as the years go by if you dont put them up....

i honestly couldnt give a toss if i lose the odd job here and there(i havent yet BTW)
Same here.
Cheers Rich

NWH

  • Posts: 16952
Re: Predicted recession and price increases
« Reply #15 on: March 11, 2020, 10:44:22 pm »
Imo it makes no difference at all with inflation etc things go up prices rise etc we all know that,the thing you’ve got to ask yourself is will this particular customer take the increase at the given time.
Some will say this is ridiculous you can’t work like this etc they go up regardless,if you have smaller paying work where’s if you lose a few it’s not the end of the world,think of the same scenario when the jobs maybe 75-£100 each and they can be done hassle free it makes you look at putting prices up on a whim differently.
The press are making everyone paranoid at the moment with coronavirus saying it could lead to recession etc,not all but it strikes fear into a lot of people my opinion at the moment would be don’t increase your prices unless they are underpriced and you are losing money cleaning them when you could be doing better priced jobs.

AuRavelling79

  • Posts: 25392
Re: Predicted recession and price increases
« Reply #16 on: March 12, 2020, 07:52:22 am »
I do think it possible that over the next month or so that you might some as viewing an increase as the catalyst/ straw that breaks the camel's back.

Some of the older generation we clean for might well be thinking

1. I'm in the vulnerable age group - one less person at my door is one less chance of me catching CV.
2. Petrol had gone down, why is he putting up prices right now?
3. My kids are getting laid off work and the window cleaner is putting up prices. Not happy.
4. It's time for the nation to pull together and this guy is taking advantage.

All of the above floats around in the subconscious and comes out as  "We'll leave it 'til the Coronavirus is over, thanks!"
It's a game of three halves!

dazmond

  • Posts: 23968
Re: Predicted recession and price increases
« Reply #17 on: March 12, 2020, 08:01:43 am »
I do think it possible that over the next month or so that you might some as viewing an increase as the catalyst/ straw that breaks the camel's back.

Some of the older generation we clean for might well be thinking

1. I'm in the vulnerable age group - one less person at my door is one less chance of me catching CV.
2. Petrol had gone down, why is he putting up prices right now?
3. My kids are getting laid off work and the window cleaner is putting up prices. Not happy.
4. It's time for the nation to pull together and this guy is taking advantage.

All of the above floats around in the subconscious and comes out as  "We'll leave it 'til the Coronavirus is over, thanks!"

Yes you might get the odd one like that but the vast majority wont say a word......you cant please everyone...my elderly customers are already on a reduced rate anyway....if they won't except a quid pay rise every now and then......well sod em......I'm not a charity

price higher/work harder!

RPCCS

  • Posts: 973
Re: Predicted recession and price increases
« Reply #18 on: March 12, 2020, 08:23:06 am »
I can see both sides here from last two replies. I haven’t had an increase for a few years, as I said in an earlier post I’m not increasing until about May, Plus with just getting a new van some will say “ you’re just putting the price up to pay for your new van”.   In response to point 2  in auRevelling’s post, yes fuel has come down recently, but overall it has increased from 4 years ago.. The cost to me to provide the service has increased year on year.
Cheers Rich

Mr B shine

  • Posts: 145
Re: Predicted recession and price increases
« Reply #19 on: March 12, 2020, 08:49:46 am »
I've been putting mine up over the last month.
 1 complainant out of over a 100 so far.
 Put them up, if they are going to cancel £1 to £2 isn't going to be the deciding factor.