Recognising the signal.
THE SIGNALS
You are busy and not making enough Support time exceeds what the revenue covers Your costs rose and prices did not You have not raised prices in years Every enquiry accepts without hesitating
THAT LAST ONE
If nobody ever questions your price, it is too low.
Some resistance is a sign of correct pricing.
THE CALCULATION
Revenue per hour spent, compared to what your time is worth.
If hosting pays materially less than other work you do, price is the problem.
WHEN NOT TO RAISE
Immediately after a service failure Without notice Repeatedly in a short period
HOW TO DO IT
Sixty days notice, stated plainly, without excessive justification.
New clients first, existing clients afterwards, if you prefer a gentler approach.
WHAT TO EXPECT
Most accept. A few ask. A small number leave.
Losing a few clients to a price increase is usually net positive.
THE ALTERNATIVE TO RAISING PRICES
Raising value: adding maintenance, monitoring or optimisation, and pricing the improved service.
Frequently easier to sell than a plain increase.
