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Service Rate Increase

Last Updated On September 12, 2018 By Letter Writing

If you have been doing business with a party/several parties for quite some time, it becomes your duty to inform them of any changes that might occur in your dealings with them. This could be related to shipment changes, quality changes or something as simple as a change in the prices levied.

This letter concentrates on informing the other party about the increase in prices levied by you on them. It becomes common courtesy to inform them. Keep in mind this is an extremely sensitive topic and might also anger them. So make it a point to mention the reason as to why the prices are being changed and very politely mention on how regardless of what the cost maybe this is all the ensure that the quality of the product isn’t compromised on. Follow to tips given below to ensure a smooth transition. 

Letter Writing Tips

  •  Tone – You need to have a polite tone but still keep it official since you are initiating a business deal.
  •  Information – Like all letters, you need to give detailed information. In this specific authorization letter, you are required to give the full details of the Company and the product that it is selling.
  •  Content– All relevant details about the company and the business deal that you are offering to make should be mentioned. Remember, the letter should be conducive to pursuing the retailer to create a business deal with you.
  •  Short and precise – Make sure not to make the letter too long or have just plain words there that are unnecessary, the letter should be brief but informative enough so the one who is receiving the letter so that you understand it. Be straightforward to the point.

Template

Follow the template given below to write your letter.

From,

___________

_________

_________

Date _______

To,

________

____________

_______

Subject: ________

Respected Sir,

You have always been a faithful client of our company. Our partnership over the _______(mention duration of the partnership) has been nothing less than profitable.

Which is why I feel it is necessary to inform you that with the value of the dollar increasing against ________(currency), the overall cost of production and procurement has increased by _____________(add values) Due to this reason we have to levy a service increase rate of 10% on all our clients. This is a necessary measure that needs to be taken on our end to ensure a steady flow of profits in the future.

We have always worked in a transparent manner, which is why I hope you understand this drastic measure that needs to be taken by our company. We promise to not compromise on the quality of our products and provide you with the best services in this domain. Please feel free to raise any concerns you might have.

Looking forward to doing successful business with you in the years to come.

Thank you

Rajesh Kumar

CEO

Sample Letter

Follow the sample given below to write your customized letter

From,
Office 87, Westside
MG Road
New Delhi- 112932

23rd March 2017

To,
The XYZ Company
AK Building
HJ Road

New Delhi -111314

Subject: Service Rate Increase

You have always been a faithful client of our company. Our partnership over the last three years has been nothing less than profitable.

Which is why I feel it is necessary to inform you that with the value of the dollar increasing against Naira, the overall cost of production and procurement has increased by 10% Due to this reason we have to levy a service increase rate of 10% on all our clients. This is a necessary measure that needs to be taken on our end to ensure a steady flow of profits in the future.

We have always worked in a transparent manner, which is why I hope you understand this drastic measure that needs to be taken by our company. We promise to not compromise on the quality of our products and provide you with the best services in this domain. Please feel free to raise any concerns you might have.

Looking forward to doing successful business with you in the years to come.

Thank you

Rajesh Kumar
CEO

Email Format

If you wish to inform the via mail then follow the sample given below

To: hsj@email.com

From: uauh@email.com

Subject: Increase in-service rate

You have always been a faithful client of our company. Our partnership over the last three years has been nothing less than profitable.

Which is why I feel it is necessary to inform you that with the value of the dollar increasing against Naira, the overall cost of production and procurement has increased by 10% Due to this reason we have to levy a service increase rate of 10% on all our clients. This is a necessary measure that needs to be taken on our end to ensure a steady flow of profits in the future.

We have always worked in a transparent manner, which is why I hope you understand this drastic measure that needs to be taken by our company. We promise to not compromise on the quality of our products and provide you with the best services in this domain. Please feel free to raise any concerns you might have.

Looking forward to doing successful business with you in the years to come.

Thank you

Rajesh Kumar
CEO

Related Letters:

  1. Cancel a Service Contract
  2. Customer Follow-up (Hotel Service)
  3. Domestic Services (Promotional Letter)
  4. Invoice for Services Rendered Letter

Filed Under: Service Letter Tagged With: New Letters

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