Your newest customer pays the most

Raise list prices every year, leave the existing base untouched, and simple arithmetic decides what you actually charge, usually far less than you think.

By Steve 5 min read
Abstract bridge artwork for Your newest customer pays the most

A business puts its prices up most years. Three per cent here, five per cent there, applied to the rate card and the proposal template. Nobody argues much. And yet when someone finally divides total revenue by total customers, the number has barely moved in half a decade. No one has authorised a discount. The sales team is not caving. The leak is not in negotiation at all. It is in arithmetic that nobody chose. The arithmetic of vintages If each customer keeps the price they signed at, then the…

Keep reading for free

Create an account to read the rest.

The whole library is free. No card, no subscription, no trial that quietly ends. An account simply lets us know who we are writing for, and opens every article from here on.

  • Every article, in full, at no cost
  • New articles published every weekday
  • Takes about twenty seconds
Create a free account I already have one

Free means free. We will not charge you for the library, and you can read as much of it as you like.

Important: General information only. Rialto Bridge articles describe patterns and considerations that may apply to a business; they are not financial, legal, tax or accounting advice, and they take no account of your particular circumstances. Consider your own situation and seek advice from a qualified professional before acting.

More on Pricing

Scroll to Top