How can I gradually increase my prices to attract a higher end clientele?
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I don't think raising your prices is the answer. You need to find some kind a service that no one else offers that will make them want to come to you and then you can begin to slowly increase your prices.
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I do have the best service even for an Aftermarket Converter. I have also studied the competition very hard. At the end of the day, I do have a lighter, stronger, tougher, more durable part than the competition. I also offer several services that they do not. Due to my manufacturing processes I am able to produce and sell at a lower price. Yet I am passed up due to my Retail Cost.