How Do I Raise My Rates Without Scaring Off Repeat Clients?

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For many firm owners, pricing is the least glamorous but most sensitive part of running a business. It’s one thing to increase fees for new inquiries, but it’s another to deliver the news to a longtime client who’s already written you several sizable checks. Still, holding rates steady while your overhead climbs is a direct hit to profitability. Raising prices is unavoidable; the question is how to do it without damaging hard-won client relationships. Thankfully, we have addressed these exact firm owner questions on the DesignDash Podcast, so check out the videos embedded throughout this article for even more on-the-nose information.

Six Steps to Increasing Rates Without Losing Clients

Frame the change around business realities

Design fees don’t exist in a vacuum; you can’t possibly keep yours the same as the world around you changes. Vendors raise costs every year, shipping rates fluctuate, and staffing expenses rarely go down.

Position your increase in the same way a contractor justifies a higher bid: as a function of the market, not a reflection of greed. A simple, matter-of-fact explanation like “Our rates are being updated to reflect rising costs and expanded services” is typically more acceptable to clients than a long apology.

Time the conversation carefully

The best moment to announce new rates is at a natural break point: the close of a project, the end of the calendar year, or before new work begins. Springing an increase in the middle of an active job is more likely to spark frustration (and isn’t very ethical).

Repeat clients appreciate predictability, so give them notice well in advance. Some owners offer a final project at the old rate as a courtesy, but only if the math makes sense.

Highlight added value

Clients often assume that “higher fee” equals “same service, more expensive.” Combat that perception by pointing to what has changed in your business since the last project.

Have you grown your team, shortened lead times, or added in-house procurement? Do you have stronger vendor relationships that reduce risk of delays? Spell it out. The increase should be tied not only to external costs but also to the evolution of your firm’s capabilities.

Be precise, not vague

Avoid soft language like “We might need to adjust our fees.” Uncertainty invites negotiation. Instead, present the change in black and white: “Our new design fee will be $X, beginning on January 1.”

Clear terms establish authority and make the conversation transactional rather than personal. Clients may push back, but they’re less likely to challenge a structured policy than a hesitant suggestion.

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Segment your client base

Not every client should be treated the same way. For marquee accounts (the kind that generate repeat work, referrals, and prestige), it may be worth phasing in the increase over multiple projects.

For clients who are lower-margin or more difficult to manage, apply the new rates immediately. This kind of stepped approach allows you to preserve relationships that matter most while cleaning up areas of the business that drain resources.

Reinforce long-term trust

Ultimately, clients return because they trust your taste, your systems, and your ability to deliver. A rate increase doesn’t erase years of goodwill if it’s communicated with professionalism. In fact, it can enhance your reputation: people assume that sought-after firms raise their rates because they’re in demand. If the client balks, consider whether they were truly the right fit for your business at its current stage.

Join the DesignDash Community for Peer-to-Peer Support

Raising rates will never feel comfortable, but avoiding the conversation is more dangerous than having it. Firms that fail to adjust eventually struggle to cover payroll, lose top staff, or cut corners on projects—all outcomes that damage client relationships far more than a modest price increase ever could.

Join the DesignDash Community to connect with fellow firm owners who are navigating the same conversations and share strategies that work for them.

Written by the DesignDash Editorial Team
Our contributors include experienced designers, firm owners, design writers, and other industry professionals. If you’re interested in submitting your work or collaborating, please reach out to our Editor-in-Chief at editor@designdash.com.