[Sam Cornelis] "How did you raise your rates? Was it only for new customers, or for the existing ones as well ?"
Well we never did a
huge rate hike all at one time... our present rates are the result of several gradual hikes through the last decade and a half.
When we knew a rate increase was needed, that was immediately applicable for all new clients. We had some long-term existing clients that we told that we had new rates, but that since they were such good clients we would be happy to keep working for them at the present rate for a certain period (like the next six months or so).
That helped soften the blow for them, and maybe even feel like they were getting a bit of special treatment.
I think we ever only lost one client due to a rate increase... and frankly it was one that we were glad to see go. They were doing the very lowest-of-the-low end production, paying a pittance and expecting work of far far greater value than they were getting charged for. I haven't missed them a bit. Everyone else has stuck with us.
The only time anyone has even raised any eyebrows is a couple of times when a client we had worked for only once or twice many years before came back with a request for a new job that was similar to their old one, only to find that it was now going to cost them twice as much, or more. They still booked the jobs, though.
T2
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Todd Terry
Creative Director
Fantastic Plastic Entertainment, Inc.
fantasticplastic.com
