Raise. Your. Price.
In this monologue, Shanli Liu, CPA, CTP, shares a pricing strategy lesson drawn from a recent acquisition of a small construction/kitchen‑remodel firm. The new owner was instructed to raise prices by 10 %; this modest increase instantly doubled the company’s profit while keeping the conversion rate steady. When the owner asked what to do next, Liu suggested a 20 % price hike paired with a strong guarantee – “on‑time and on‑budget or we’ll refund 20 % of the bid.” The guarantee mitigates the risk of a larger price jump, and the owner now closes roughly nine out of ten jobs. Liu emphasizes that perceived expense or cheapness is irrelevant; what truly matters is what customers click on and buy, especially in phone sales. The core message is that strategic price increases, backed by risk‑reversing guarantees, can dramatically improve margins without sacrificing sales.
