Navigating Price Increases

When you are constantly being told by suppliers that the cost of goods are increasing it is easy to feel that you are bearing the brunt of the change in the industry. The post pandemic surge ma begin to subside, and this can be worrying for your business.

The number of increases and surcharges that have hit over the last few years is nothing like Window Warehouse has ever seen in its 35 years of trading.

With these increases mentioned in our letter coming into effect from 1st December 2021, overleaf you will find some advice from us to help you to prepare for this and to help navigate the ongoing uncertainty of the economy in our sector.

Don’t Absorb the Increase

Price increases and surcharges are being implemented at the very beginning of the supply chain, starting with raw steel and polymer. We advise you to protect your margins and don’t ignore these when pricing your projects.

You cannot absorb these increases and if you did, you would cease trading within months. Although it is uncomfortable and you may feel you are doing a disservice charging your customers more, they
ultimately must be the ones who pay.

Have a Contingency Plan

As well as passing on the price increases to your customer, we suggest you add a percentage to each contract. You will then be protected against any further unannounced increases that may come your way.

Some companies have been putting up to 10% onto their contracts for most of 2021. This is defined by the product, its location and the supplier. So take this into account when visiting prospective and returning customers.

Honesty is the Best Policy

Tell customers from the outset that the industry is uncertain, lead times are longer and pricing is fluid.

If you mislead a customer and let them down it can be more time consuming and troublesome for you both. It is key that you manage customers’ expectations from the start, under promise and over
deliver.

This should in turn build trust and a better relationship with your client, resulting in them returning and recommending you to others.

Paperwork is Key

Don’t do business verbally, ensure you have paperwork and contracts. Contracts are there to protect you and your customers and are especially important with everything being so uncertain and out of your control. If you are already producing paperwork start adding information on price increases and extended lead times.

Doing this will protect your reputation and business. Not doing so can leave you open to issues if your customer becomes unsatisfied with your service.

Quality Triumps All

We pride ourselves on our service and quality products. We recommend you do the same.

Gone are the days of selling on price alone and this needs to be communicated to the end user. If you can set yourself apart from your customers, you can be confident charging the prices you do.

We can assist you with any product knowledge or training you need to show your customers why the windows you supply are superior.