Price Escalation Letter Sample – Sample Letter to Inform Customer About the Price IncreasePrice Escalation Letter Sample – Sample Letter to Inform Customer About the Price Increase
When composing a price escalation letter, clarity and politeness are essential. Clearly state the reason for the price increase, provide specific details such as the affected products, and indicate when the updated prices will be communicated. Express gratitude for the customer's continued patronage and assure them of continued quality service.

Table of Contents:

Sample Letter to Inform Customer About the Price Increase

____________ (Receiver’s details)

Date: __/__/____ (date)

Subject: Price increase

Respected Sir/Madam,

Thank you for continuing to be a valuable customer to our company. Looking at the current scenario with the sudden increase in the price of ___________ (mention raw material), we had to issue an increase in the price of the following items:

1. _____________ (Product name)
2. _____________ (Product name)
3. _____________ (Product name)

The list of updated prices will be shared with you by _______________ (date). We expect your kind understanding of the increase in price. We assure to serve you better and thank you for continuing to choose us for such a long duration in the past and believe to do better business in the future as well.

For ____________ (name of the company),
____________ (your name, signature, and stamp),
____________ (designation),
____________ (contact details)

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  • Why is the company increasing prices?
    • The company is increasing prices due to recent fluctuations in the cost of raw materials.
  • How will customers be informed of the price increase?
    • Customers will be informed of the price increase through a notice or updated price list provided by a specified date.
  • Can customers negotiate the new prices?
    • Generally, prices are adjusted based on various factors and may not be subject to negotiation. However, customers can reach out to discuss any concerns they may have.
  • Will the quality of products/services remain the same despite the price increase?
    • Yes, the company remains committed to delivering the same level of quality and service despite the price adjustment.
  • What should customers do if they have questions about the price increase?
    • Customers are encouraged to reach out to the company with any questions or concerns they may have regarding the price increase. Contact information for further inquiries is provided in the letter.

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