Why raising prices won’t fix your hours problem
Here is pitfall #3 – attempting to manage capacity with prices.
This is the story I hear a lot:
“If I raise my prices 30%, a bunch of clients will leave, and I’ll finally get my hours down.”
Or…
“If I raise prices 50%, half my clients will go away, and I’ll be able to work less.”
I get why this sounds reasonable.
It’s just… not how it usually plays out.
Here’s what actually happens most of the time:
At a 30% increase, very few clients leave.
Sometimes none leave.
Even at 50%, fewer people leave than you expect.
Which creates a sneaky, dangerous situation.
If you raise prices and say, “I’m doing this so I can serve you better”…
but you don’t limit how many clients you’re serving…
and most people stay…
Now your clients are paying more for the same overstuffed experience.
They’re frustrated.
You feel terrible.
And everyone’s quietly annoyed.
Here’s the mindset that needs to shift:
Price does not manage capacity. Hours do.
Capacity is managed by math, not triangulation.
You have to know:
How many hours each package actually takes
How those hours fit into a real week or month
How many total hours you want to work
And when you’re full
As clients say yes to the new package and price, you track the hours.
When you hit your cap, you close the door.
Just like an airplane.
If there are 300 seats, United does not let 301 people on board.
When the seats are full, the door closes.
Yes, someone will sprint toward the gate.
Yes, they’ll press their face against the glass.
Yes, you’ll feel terrible.
You might even let one or two stand in the aisle. (I know you will.)
Just don’t let twenty.
Because if you do, you’re the one who pays for it — in nights, weekends, and resentment.
…
Don’t use price to manage hours.
Use capacity to manage hours.
Use price for strategy, positioning, and value.
Price and capacity are different tools.
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