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Old 01-03-2007, 03:06 PM   #1 (permalink)
 
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Advice needed ASAP!

Here in Illinois, we have an Electrical company who is the monopoly. Well, up till Jan 1, they were on a price freeze and now the freeze is over and Amerin IP has increased thier prices by 50%. Due to this price increase from my electrical company, I am going to have to raise prices at my salon. It irriates me more than anything. Amerin IP controls all of IL! It's rediculous. Anyways, I am curious how some of you have gone about raising your rates, if you have had to do so. I really am hating the idea of raising my current clients rates...but I have no choice if I want to stay alive and pay my outrageous electric bills.

I know that they are not going to be happy... what do I do and how should I go about it?


thanks - :(
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Old 01-03-2007, 03:13 PM   #2 (permalink)
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Re: Advice needed ASAP!

Just raise them. ****, if they all have the same utility company, they should understand.
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Old 01-03-2007, 03:16 PM   #3 (permalink)
 
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Re: Advice needed ASAP!

my electric co did the same thing its going to go up like 60% what the **** i better not ever lose power ever i pay like 1500 to 1800 in the summer so add it up i hate the corp world.
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Old 01-03-2007, 03:23 PM   #4 (permalink)
 
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Re: Advice needed ASAP!

Offer a free lotion w/your bigger packages to take the sting out the higher prices! and maybe they will focus on the free lotion instead of the higher price!
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Old 01-03-2007, 03:24 PM   #5 (permalink)
 
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Re: Advice needed ASAP!

how do u think that will help i still have too pay for lotion
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Old 01-03-2007, 03:28 PM   #6 (permalink)
 
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Re: Advice needed ASAP!

How do your current clients react to their package rate increasing?


Stupid Amerin IP... AHHH!!!

Thanks for the ideas.. keep em coming - I am starting to feel a little better about getting screwed over on my electric bills!!
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Old 01-03-2007, 04:30 PM   #7 (permalink)
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Re: Advice needed ASAP!

It's either raise the rates or close down. Let them pick which they'd prefer.
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Old 01-03-2007, 04:48 PM   #8 (permalink)
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Re: Advice needed ASAP!

kklinker call your power company and ask them if they can phase in your increase over the course of a year. they did this in delaware after a 5 year freeze only ours went up 70%. it should be different rates for different months. i think ours went went up 30% percent for september.... they are all different with the warmer months being the highest which is unfortunate for tanning salons. anyway goodluck and you just do what you have to do... raise prices. you can post a sign at your front counter explaining the increase and maybe put a local article about the electric increase for businesses in your area with it.
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Old 01-03-2007, 05:03 PM   #9 (permalink)
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Re: Advice needed ASAP!

Before you freak out and raise prices click here.

http://www.electricityiq.com/illinois/quote.html

& here:

http://www.electricityiq.com/illinoi...FUbAJAodqVBCVw

Smart alternatives to rising utility rates
Constellation NewEnergy, the leading competitive electric supplier in Illinois and throughout North America, has alternatives to the new utility rates that can help most businesses save money in 2007 and beyond. So, why stick with the utility, when you can have better options from the supplier chosen by two-thirds of the Fortune 100?
See how Constellation NewEnergy compares to your utility
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Old 01-03-2007, 05:36 PM   #10 (permalink)
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Re: Advice needed ASAP!

I checked constellation for our area but in the PA area they currently only service companies whose average monthly bill is over 3k. ILL starts at 1k to 2k.
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