Foreign trade involveseveral fields which means that the price won’t be invariable under influences ofsome external factors. And for increase in prices, customers won’t easily say yes to you. And because of improper handling andoperation, customers will reject your enquiries. Moreover, they may even turnto other suppliers.
So how we mediate to achieve what we want?
Method 1: Detailed basis for increase in price
我们有很多外贸达人他们的提价法宝是：涵盖所有涨价细节的数据。如外贸F给该客户发了一封邮件。他在邮件内中和客人列举了为什么涨价的详细原因：以前原材料成本、现在成本；以前工资、现在工资；加班费是多少；水电费平均一个产品出来要是多少；工厂房租是多少……关键是现在汇率对公司的打击也很大等等……他一一详细列出。该客人看到F将所有涨价的细节一一标明，被他的诚意所打动。非但没有生气还对涨价一事接受了，回复：“Oh,that’s fine and please go ahead to ….”
Some foreign experts have their time-tested magic weapon to rise the price: Cover all the basis for increase in price. For example, trader F sent an email to the customer. He minutely explained to the customers the reasons why they needed to rise the price: cost of raw materials in the past and at present, former and nowadays salary, call-back pay, the average charge for water and electricity for each product and the rent for plant......The key is that the company suffers great impact from exchange rate. He listed out one by one. The customer was touched by F when seeing F listed out all the details. He wasn’t angry but accepted it on the contrary and said, “Oh, that’s fine and please go ahead to...”
The market discipline is that: People intend to buy commodities are increasing in price. It’s very frequent to rise the price. But many foreign traders are afraid of putting forward the increased price. They fear that they will lose customers. Actually, there is no need to fear customers. As F suggests, be discreet in emails when trying to settle problems like rise in price. Try to be well-founded and explain with detailed data. Don’t ever create excuses out of nothing！Inane excuses are unconvincing and naturally, customers won’t believe it.
Method 2: Increase the price once and for all
It makes sense when we rise our price because no one will be up to business that will make them sustain losses in business. Supposing that you are asking for rise in price to a regular customer like foreign trader, you need to know firstly that they must have gained some understanding to you. They will eventually turn to you even though they doubt you at the beginning. What’s more, if they are your regular customers, they won’t easily change their suppliers. For this, foreign traders need to be sure of that.
Indeed, the cost of products have risen and the increase in price is inevitable. Customers can’t alter this truth regardless of their responses. Therefore, sometimes we need to act tough to convince others. Consequently, we should either choose not to increase the price, or increase it to a proper level. As foreign trade expert F suggests, never increase the price the moment they place an order for it will disgust customers and you will lose this customer sooner or later. For some customers, the profits company gains from them are not much so we should make up our mind to increase the price even if they may choose to quite. For those orders which can only provide a small number of profits, we’d better forget them in case of wasting plant’s output and delaying other orders’ delivery time.
Method 3: Maintain customers at ordinary times
Some people suppose that they need to surrender part of the profits if they are regular customers and some think it’s easier to maintain regular customers than develop new customers so they treat increase in price carelessly and make mistakes. However, some don’t think so. In their eyes, it’s a happy thing to close the deal and it’s unnecessary to hesitate or even sacrifice their own parts of profits to stoop to maintain regular customers. Yet, you can still do something for those regular customers who worth maintenance:
Have periodic phone calls to keep contacts with customers about products(We can inquire them the sales status of products and if there is anything wrong).
Be more concerned about customers and we’d better get acquainted with customers in private.
For promises you make to customers, you need to accomplish it certainly and do your utmost to fulfil the promise even if you don’t sleep.
Make records at any moment for every regular customer. Be clear of their backgrounds and products so as to develop and recommend new products to them.
In conclusion, we should be bold and cautious when trying to increase prices. If you can’t make up your mind, just think that it’s out of question for you to sacrifice interests of corporation to maintain your customers. The cost has been risen and what will it all end if we don’t increase prices? And for those customers who can’t accept the increase in price through our repeated explanations, we can’t do nothing but say goodbye to them.