Posts
German Craftsmanship Newspaper quotes Pricing Expert Riekhof
The German Craftsmanship Newspaper discusses in a current article the question of how craftsmen can enforce higher prices. The editorial team found professional advice from Prof. Dr. Hans-Christian Riekhof of UnicConsult, Pricing Expert at the Private University of Göttingen (PFH).
The higher the prices, the higher the profit. A simple calculation, but one that does not always work in reality, the paper knows. Because customers demanded price reductions, competitors pushed prices down or simply lacked the courage. So the question is: How can craftsmen enforce higher prices?
The economy is good, unemployment is low, the demand for craftsmen’s services is high, writes Sebastian Wolking in the article. This is a good opportunity to push prices up. Secondly, increased raw material costs are an argument that is perceived as fair and plausible. “The customer accepts this more readily”, says Hans-Christian Riekhof, Pricing Expert at the Private University of Göttingen (PFH).
One point where craftsmen in particular could start is discounts. Discounts, the newspaper continues, cut into the financial flesh, reduce the margin. “There is basically nothing wrong with discounts”, says Riekhof. “But every discount must have a solid justification.”
Read the whole article at:
https://www.deutsche-handwerks-zeitung.de/wie-handwerker-hoehere-preise-durchsetzen/150/3100/380768
Download the article as a pdf:
https://www.unicconsult.com/wp-content/uploads/2020/03/wie-handwerker-hoehere-preise-durchsetzen-dhz-net.pdf