--- title: "Price Increase Management: Raising Prices Succesfully" description: Increasing prices is often a good idea, but it will inevitably cause some of your most price sensitive customers to rebel. Learn how to deal with it. image: http://blog.pricebeam.com/hubfs/Blog/shutterstock_105421976_M.jpg --- [Skip to content](https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully#main-content) [![PriceBeam](https://blog.pricebeam.com/hs-fs/hubfs/lead-flow-images/PBLogoTransparent%20(1).png?width=400&height=100&name=PBLogoTransparent%20(1).png)](https://www.pricebeam.com/) - Solutions ![RGM360](https://blog.pricebeam.com/hs-fs/hubfs/RGM360_Headlines.png?width=319&height=255&name=RGM360_Headlines.png)[PriceBeam RGM360](https://www.pricebeam.com/rgm360) is an end-to-end Revenue Optimization Platform, offering unmatched value by integrating market research, internal data with AI and next-generation simulation and optimization tools. Predictive Research - [Predictive Revenue Research](https://www.pricebeam.com/predictive-research) - [Willingness-to-Pay](https://www.pricebeam.com/willingness-to-pay) - [Comparative Willingness-to-Pay](https://www.pricebeam.com/comparative-willingness-to-pay) - [Value Attributes / Choice-Based Conjoint](https://www.pricebeam.com/value-attributes) - [Price Pack Architecture](https://www.pricebeam.com/ppa-price-pack-architecture-study) - [Promotion Lab](https://www.pricebeam.com/promotion-optimization) - [Promotion Lab Enhanced](https://www.pricebeam.com/promotion-lab-enhanced) - [Assortment Lab](https://www.pricebeam.com/assortment-optimization) - [Core / Basic Survey](https://www.pricebeam.com/core-study) - [Ranking Analysis / MaxDiff](https://www.pricebeam.com/ranking-analysis-maxdiff) - [Menu-Based Conjoint](https://www.pricebeam.com/menu-based-conjoint-analysis) - [RGM Study](https://www.pricebeam.com/revenue-growth-management) - [RGM Study - Promotion](https://www.pricebeam.com/revenue-growth-management-promotion) - [RGM Study - Ultra](https://www.pricebeam.com/revenue-growth-management-ultra) - [Concept Test](https://www.pricebeam.com/concept-test) - [Claims Test](https://www.pricebeam.com/claims-test) - [Product Variant Test](https://www.pricebeam.com/product-variant-test) - [FAQ](https://www.pricebeam.com/faq) RGM Data Lake - [RGM Data Lake](https://www.pricebeam.com/rgm-data-lake) - [Prescriptive Analytics](https://www.pricebeam.com/rgm-data-lake-prescriptive-analytics) - [Stakeholder Communication](https://www.pricebeam.com/rgm-data-lake-stakeholder-communication) - [Data Integration](https://www.pricebeam.com/rgm-data-lake-data-integration) - [FAQ](https://www.pricebeam.com/rgm-data-lake-faq) Simulation & Optimization - [RGM Optimizer & Simulator](https://www.pricebeam.com/rgm-optimizer-simulator) - [AI: Virtual Customer Modelling](https://www.pricebeam.com/ai-virtual-customers) - [RGM Simulation](https://www.pricebeam.com/rgm-simulation) - [Prescriptive Optimization](https://www.pricebeam.com/rgm-prescriptive-optimization) - [FAQ](https://www.pricebeam.com/rgm-optimizer-simulator-faq) - Industries & Challenges Industries - [FMCGs/CPG](https://www.pricebeam.com/consumer-goods-pricing) - [Cosmetics](https://www.pricebeam.com/cosmetics-pricing) - [Beverages](https://www.pricebeam.com/beverage-pricing) - [Beer, Wine & Spirits](https://www.pricebeam.com/alcoholic-beverage-pricing) - [Apparel](https://www.pricebeam.com/apparel-pricing) - [Home Care](https://www.pricebeam.com/home-care-pricing) - [Home Appliances](https://www.pricebeam.com/home-appliances-pricing) - [Food Products](https://www.pricebeam.com/food-products-pricing) - [Pet Food](https://www.pricebeam.com/pet-food-pricing) - [DIY & Home Improvement](https://www.pricebeam.com/diy-pricing) - [Consumer Services](https://www.pricebeam.com/consumer-services-pricing) - [Media & Publishing](https://www.pricebeam.com/media-and-publishing-pricing) - [Hotels & Hospitality](https://www.pricebeam.com/hospitality-pricing) - [Subscription Services](https://www.pricebeam.com/subscription-services-pricing) - [Phones & Telecom](https://www.pricebeam.com/telecommunication-pricing) - [Memberships](https://www.pricebeam.com/membership-pricing) - [Training & Education](https://www.pricebeam.com/training-and-education-pricing) - [Retail](https://www.pricebeam.com/retail-pricing) - [E-commerce](https://www.pricebeam.com/ecommerce-pricing) - [Events](https://www.pricebeam.com/event-pricing) - [Sports Subscriptions](https://www.pricebeam.com/sports-subscription-pricing) - [Streaming](https://www.pricebeam.com/video-on-demand-pricing) - [Consumer Electronics](https://www.pricebeam.com/consumer-pricing-electronics) - [Start-ups](https://www.pricebeam.com/entrepreneur-pricing) - [SaaS & Software](https://www.pricebeam.com/saas-software-pricing) - [Consumer Finance](https://www.pricebeam.com/consumer-finance-pricing) - [Equity Analysis](https://www.pricebeam.com/equity-analysis-pricing-insights) - [Veterinary Products](https://www.pricebeam.com/veterinary-products-pricing) - [OTC Pharmaceuticals](https://www.pricebeam.com/otc-pharmaceuticals-pricing) - [Automotive](https://www.pricebeam.com/automotive-pricing) - [Auto Aftermarket](https://www.pricebeam.com/automotive-aftermarket-pricing) Pricing Challenges Solved - [Pricing New Products](https://www.pricebeam.com/pricing-new-products) - [Brand Health & Pricing](https://www.pricebeam.com/brand-health-pricing) - [M&A Pricing](https://www.pricebeam.com/mergers-and-acquisitions-pricing) - [Investment Portfolios & Pricing](https://www.pricebeam.com/portfolio-growth-pricing) - [Price Segmentation](https://www.pricebeam.com/price-segmentation) - [Sales Team & Pricing](https://www.pricebeam.com/sales-team-pricing) - [International Pricing](https://www.pricebeam.com/international-pricing) - [Navigating New Tariffs](https://www.pricebeam.com/tariffs) - [Price Optimization](https://www.pricebeam.com/price-optimization) - [Price Increases](https://www.pricebeam.com/price-increase-management) - [Pricing Strategy](https://www.pricebeam.com/pricing-strategy) - [Psychological Pricing](https://www.pricebeam.com/psychological-pricing) - [Value-Based Pricing](https://www.pricebeam.com/value-based-pricing) - [Lifecycle Pricing](https://www.pricebeam.com/lifecycle-pricing) - [Market Launch Pricing](https://www.pricebeam.com/market-launch-pricing) - [Value Communication](https://www.pricebeam.com/value-communication) - [Assortment Pricing](https://www.pricebeam.com/assortment-pricing) - [Promotions & Discounts](https://www.pricebeam.com/promotion-pricing) - Plans - [Plans overview](https://www.pricebeam.com/plans) - [Predictive Research Plans](https://www.pricebeam.com/predictive-research-plans) - [RGM Data Lake Plans](https://www.pricebeam.com/rgm-data-lake-plans) - [RGM Optimizer Plans](https://www.pricebeam.com/rgm-optimizer-simulator-plans) - [Pricing Power Tracker](https://www.pricebeam.com/pricing-power-tracker) - [Pricing Power Snapshot](https://www.pricebeam.com/pricing-power-snapshot) - Resources - [Webinars](https://www.pricebeam.com/resources) - [Blog](https://blog.pricebeam.com) - [Case Studies](https://www.pricebeam.com/customer-case-studies) - [Newsletter](https://www.pricebeam.com/newsletter) - [RGM Pulse Survey 2026](https://www.pricebeam.com/rgm-pulse-survey-2026) - About - [Company](https://www.pricebeam.com/about) - [News & Events](https://www.pricebeam.com/news) - [Partners](https://www.pricebeam.com/partners) - [Press](https://www.pricebeam.com/press) - [Careers](https://www.pricebeam.com/careers) - [Contact](https://www.pricebeam.com/contact) ![Search icon](https://5018647.fs1.hubspotusercontent-na1.net/hubfs/5018647/Design/Icons/Font%20Awesome/search.svg) [All posts](https://blog.pricebeam.com/all) June 5, 2017 # Price Increase Management: Raising Prices Succesfully ![Picture of PriceBeam](https://blog.pricebeam.com/hs-fs/hubfs/Images/PBLogoBadge240x240.png?width=50&name=PBLogoBadge240x240.png)   PriceBeam  ·  1 minute read ![shutterstock_105421976_M.jpg](http://blog.pricebeam.com/hs-fs/hubfs/Blog/shutterstock_105421976_M.jpg?width=770&height=513&name=shutterstock_105421976_M.jpg) While you should not underestimate the importance of price increase management, you should keep in mind that the new price is, in fact, a price most customers are willing to pay (if you carried out [**pricing research**](https://blog.pricebeam.com/virgin-conducting-pricing-research-on-inflight-internet), that is). However, you can still mitigate the negative reactions from price-sensitive customers with a few techniques. First, it may be worth to put in place a scheme that allows discounts for very price-sensitive customers. In many cases, these customers will initially react strongly to a price increase, even though the new price does not exceed their willingness to pay. To soften the blow, it can be a good idea to charge them the same, old price that they are accustomed to for a few months, maybe even more, until they get used to the new price. Moreover, if possible, you can use “unbundling”, where price-sensitive customers are offered the same, old price but without any additional bundle products: for instance, if Apple could unbundle their iPhone by selling it without headphones and charging cables.  Moreover, a detailed communication plan needs to be outlined. As customers are accustomed to a low price, they also have a firm perception of the target firm’s reference profit: that is, how much profit they believe the firm should be earning. While customers do not have an exact number in mind, it is important that they do not subconsciously attribute the price increase to motives such as profit maximization as this will increase the likelihood of them not purchasing the product at the new price. There are two ways to avoid this: First, by increasing the customers’ loyalty and trust in the target firm, e.g. by offering loyalty rewards, gifts, or simply by communicating with them and showing concern for them. And, of course, when communicating price increases, it is important to draw their attention to things such as firm-side cost increases, regulation, etc. Salespeople and customer service personnel’s ability to communicate price increases effectively is key to mitigating the negative effects. RevBeam helps firms nurture this ability by conducting on-site training sessions that develop efficient communication techniques and price increase management abilities in employees at all levels. [![New Call-to-action](https://no-cache.hubspot.com/cta/default/2519095/6d4e9d7c-5a39-418c-9dd7-cd9f698cbc2d.png)](https://cta-redirect.hubspot.com/cta/redirect/2519095/6d4e9d7c-5a39-418c-9dd7-cd9f698cbc2d) Share: [facebook-f icon](http://www.facebook.com/share.php?u=https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully) [linkedin-in icon](http://www.linkedin.com/shareArticle?mini=true&url=https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully) [twitter icon](https://twitter.com/intent/tweet?url=https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully) [pinterest-p icon](http://pinterest.com/pin/create/link/?url=https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully) [envelope icon](mailto:?body=https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully) ## Related posts [![shutterstock_129949730_L.jpg](https://blog.pricebeam.com/hubfs/Blog/shutterstock_129949730_L.jpg)](https://blog.pricebeam.com/price-perception-and-how-to-manage-it) #### [Price Perception And How to Manage It](https://blog.pricebeam.com/price-perception-and-how-to-manage-it) [![shutterstock_124302076_l.jpg](https://blog.pricebeam.com/hubfs/Blog/shutterstock_124302076_l.jpg)](https://blog.pricebeam.com/start-up-friendly-pricing-is-acceptable-price-discriminiation) #### [The "Start-Up Discount": Acceptable Price Segmentation](https://blog.pricebeam.com/start-up-friendly-pricing-is-acceptable-price-discriminiation) [![pexels-photo-59197 (1).jpeg](https://blog.pricebeam.com/hubfs/Blog/pexels-photo-59197%20%281%29.jpeg)](https://blog.pricebeam.com/price-wars-2.0-a-new-era-of-price-wars) #### [Price Wars 2.0: A New Era of Price Wars](https://blog.pricebeam.com/price-wars-2.0-a-new-era-of-price-wars) **Pricing Right, Made Easy** Almost all companies struggle to price right. They use methods such as cost plus a fixed margin. They use guesses and gut feel. They peg their price to a competitor’s. They price themselves too low, leaving money on the table, or too high, forsaking sales volume. They lose out on the profits they should be earning. PriceBeam changes all that. With a methodology that is confirmed to be accurate in thousands of projects, PriceBeam provides AI-powered market insights software that generates actionable insights into consumers' willingness-to-pay, competitive price positioning, packaging and assortment dynamics, promotional benchmarking, and opportunities from new product pricing. [facebook-f icon](https://www.facebook.com/pricebeam) [Follow us on LinkedIn](https://www.linkedin.com/company/pricebeam) [twitter icon](https://twitter.com/pricebeam) [Follow us on Instagram](https://www.instagram.com/pricebeam) [Follow us on YouTube](https://www.youtube.com/c/pricebeam) **Company** [About](https://www.pricebeam.com/about) [Careers](https://www.pricebeam.com/careers) [Press Resources](https://www.pricebeam.com/press) [Partners](https://www.pricebeam.com/partners) [Contact Us](https://www.pricebeam.com/contact) [Terms](https://www.pricebeam.com/terms) [Prize Draw Terms](https://www.pricebeam.com/prize-draw-terms) [Privacy](https://www.pricebeam.com/privacy) **Resources** [Blog](https://blog.pricebeam.com) [Get a Demo](https://www.pricebeam.com/demo) [Webinars](https://www.pricebeam.com/resources) [Downloads](https://www.pricebeam.com/resources) [Newsletter](https://www.pricebeam.com/newsletter) Copyright © 2026 by PriceBeam. All Rights Reserved ![](https://dc.ads.linkedin.com/collect/?pid=32758&fmt=gif) ![](https://px.ads.linkedin.com/collect/?pid=32758&fmt=gif) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "PriceBeam", "url" : "https://blog.pricebeam.com/author/pricebeam" }, "datePublished" : "2017-06-05T12:00:00.000Z", "headline" : "Price Increase Management: Raising Prices Succesfully", "image" : [ "//blog.pricebeam.com/hubfs/Blog/shutterstock_105421976_M.jpg" ], "mainEntityOfPage" : { "@id" : "https://blog.pricebeam.com/price-increase-management-raising-prices-succesfully", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://blog.pricebeam.com/hubfs/lead-flow-images/PBLogoTransparent%20(1).png" }, "name" : "PriceBeam" } } ``` ```json { "@context" : "http://schema.org", "@type" : "Organization", "contactPoint" : [ { "@type" : "ContactPoint", "contactType" : "sales", "telephone" : "+44 207 081 2770" } ], "name" : "PriceBeam", "sameAs" : [ "https://www.facebook.com/pricebeam", "https://www.linkedin.com/company/pricebeam", "https://twitter.com/pricebeam", "https://www.youtube.com/c/pricebeam" ], "url" : "https://www.pricebeam.com" } ```