Your MSP business will naturally have to initiate a price increase for certain products or services as the market shift. Clients aren’t going to like it, but there are ways to overcome such issues which are recommendable. Following are several considerations:
- Test changes before a full shift
- Announce when future changes will come
- Approach any changes with clear, communicable data
Test Changes Before a Full Shift
Prior unveiling a unilateral shift in pricing, you’re going to want to test proposed shifts on target markets. Your MSP business may only have a few clients. Sometimes, you can’t test things very extensively as a result. But then again, you might just impose the shift on one or two customers out of a group. The best way to go about this differs per MSP. The point is, before doing something that could result in fallout, you want to test it out to know what you’re about to be dealing with. Generally, if you are reasonable with your price shifts, you’ll find that there is little to no ultimate negative impact. But you have to go about this carefully.
Announce When Future Changes Will Come
Before any changes that have tested well are applied, ensure you send out a letter or some other form of contact. Give clients at least two months, maybe longer–maybe less. The point is, you don’t want to just spring it on them. This will work against you. Also, you don’t want to just apply a change and not say anything; that seems dubious.
Approach Any Changes with Clear, Communicable Data
Before you make any changes, crunch the data. Don’t simply raise the price to make more money; that’s greedy, and you’ll have backlash. Rather, conduct research, and as you must justify the shift to your company, you may share details of the need with certain clients.
Successful Price Shifts
An MSP business that researches price shifts, warns clientele, and tests before fully transitioning is likely to experience less fallout from necessary changes in pricing structure.