Sample Price Increase Letter

It’s never easy to implement price rises, but they are a fact of life and your customers won’t desert you if you put up your prices. Sometimes they have to be raised due to the cost of raw materials, sometimes because the costs of running your business in general have risen. Better to increase prices than to lose your business.

Of course from a customer’s point of view, price rises are never welcome but if you acknowledge that fact in your letter and briefly explain why you’ve had no choice but to implement a price rise, then you will continue a good relationship of honesty and openness with them into the future.


Announcement of price increase letter – sample 1:


[Contact Name]


Dear [Name of Customer],

We would like to inform you that we are unfortunately planning to increase the price of certain goods due to the sudden increase of the price of the raw materials we use in our production process. Since we still have a limited stock of raw materials, the price increase will be not be made until [Target Date]. We have attached a list of items that will be affected by the price increase and we would like to ask for your cooperation.

We have tried to prevent a price increase for as long as possible because of course we want to provide the best products at a  competitive price. However, the recent increase in the price of raw materials is now too great for us to absorb and we regrettably have no choice other than to implement a slight increase on the items listed below.

[list items here]

If you have any questions please don’t hesitate to call [person’s name] on [phone number]

Thank you for your understanding.

Yours Sincerely,

[Name of Company]


Announcement of price increase -sample 2:



[Contact Name]

Dear [Name of Contact],

We regret to tell you that we will be conducting a price increase on specific products due to [Specify Reason]. Below is the list of products that will be affected by the price increase:

[List of Products]

We tried everything that we can to avoid a price increase, but the problem will directly affect the company financially if we do not increase our prices. We would like to apologise in advance for all the problems that the sudden price increase may cause and we are asking you to bear with us.

We hope that you will understand our situation and will continue to support our products.


[Phone Number]
[Company Email]


Informal announcement of price increase – email sample:

Hi [name],

You might have seen in the news that [news headline about raw materials price rise] this year because [reason]. We wanted to reassure you that we don’t need to increase our prices yet as we buy our [product] 3 months in advance.

We told you in [month] that we might have to increase our prices again if wholesale costs remained high and unfortunately, they’ve gone up by 5% since then. This means we’ll have to increase them in [month].

We never charge exit fees, so you can leave us at any time with zero cost if you decide to do so but of course we hope that you will stay with us as a valued customer.

We’ve written a blog post with more information if you’d like to find out more. [link here]

Best Wishes

The team at [company name]