[Question] Increase in rates

[Perform Computers]

Hi all,

It's that time again when I need to do my annual rate / labour p/h increase.

My question is, what is the suggested percentage one increases your rates / call-out's? 10% ? For the Western Cape region.

Thank you

[Mark Atkinson]

Would it not be in line with the current inflation rate? Isn't that why people increase prices/rates in the first place?

[Perform Computers]

Thx Mark.

So the percentage increase of 10% would be acceptable then?

[Mark Atkinson]

I can't see a problem. 5-10% should be fine. We tend to try and only increase our rates every 2 years or so - to avoid upsetting our clients too much. Sometimes, as a client, it just seems like everybody is always increasing their rates all the time - it can be very frustrating being a consumer at times.

But yes, 10% sounds about right.

[IanF]

I have an argument every year with my landlord, they want 10% increase but they can not say what extra value they bring for this 10% increase. We eventually agree on CPI +1% which still irks me. I usually go for 5-8% but rarely quote hourly rates rather just quote on the job.

[Perform Computers]

Thank you gentlemen