Price Increase Letter to Customers: Format, Samples, Free Tool

A price increase letter to customers tells them what is changing, from which date and why, before they see the new price on an invoice. Keep it short and factual: the new prices or the percentage, the start date, one honest reason, what happens to open orders, and who to call. The free Price Increase Letter Generator writes it from those details in a professional, friendly or firm tone.

Most customers accept a fair increase. What they do not accept is a surprise. A good letter turns a price change into a planning notice, and many buyers will even place one more order at the old price.

What to include in a price increase letter

Every price increase letter needs the same five parts.

Part	What to write	Example
The change	Products and new prices, or the % change	Steel brackets SB-10 and SB-20 rise by 6%
Start date	The exact date the new prices apply	From 1 December 2026
Reason	One or two honest sentences	Higher steel and freight costs this year
Open orders	Whether confirmed orders keep the old price	Orders confirmed before 20 November keep current prices
Contact	A name, email or phone for questions	Your account manager, Sara, on +44 ...

Leave out long apologies, vague phrases such as "market conditions" with no detail, and anything you cannot keep, such as a promise that prices will never rise again.

How much notice should you give?

30 days is the common minimum for price increase notices. For contract customers and distributors, 60 to 90 days is kinder, because they have their own price lists and quotes to update.

• Check your contracts first. Supply and distribution agreements often set the notice period for price changes. The contract wins over any letter.
• Retail or one off buyers: 2 to 4 weeks is usually enough.
• Seasonal businesses: announce before the buying season, not in the middle of it.

If you also send quotes and proforma invoices, update your quotation format and proforma invoice from the start date so documents match the letter.

How to write a price increase letter (step by step)

1. List what changes. Which products or services, the old and new prices, or one percentage for the whole range.
2. Set the start date. Count back from it to make sure customers get your notice period.
3. Write the reason in one or two sentences. Raw materials, freight, energy, wages or the exchange rate. Customers accept a real cost better than an unexplained number.
4. Decide on open orders. Honouring confirmed orders at the old price is the simplest way to keep goodwill.
5. Add value if you have it. A new service level, faster delivery or a longer warranty softens the change. Do not invent one.
6. Thank the customer and give a contact. One sentence of thanks, then a named person.
7. Send it the right way. Key accounts get a personal letter or email from their account manager; everyone else gets the same text by email.

With the generator, open the page, keep Price increase letter selected, type your company, the customer and the details from steps 1 to 4, choose a tone and click write. Edit the draft, then copy it into an email or download it as a Word file.

Price increase letter samples

Short sample for B2B customers

Dear Northline Traders,

From 1 December 2026, prices for steel brackets SB-10 and SB-20 will increase by 6%, because steel and freight costs have risen this year. Orders confirmed before 20 November will be invoiced at current prices.

Thank you for your continued business. If you have any questions, please contact Sara on sara@acmemetal.example.

Kind regards, Acme Metal Works

Friendly sample for regular clients

Hi Maria,

A quick note before it shows up on an invoice: from 1 January our design retainer moves from 900 to 980 per month. It is our first change in two years and covers higher software and staff costs. Nothing changes for December.

Thanks for working with us, and just reply if you would like to talk it through.

Sample when a contract sets the notice

Dear Mr Khan,

As set out in clause 7 of our supply agreement, we are giving 60 days' notice of a price change. From 15 February, the price list attached will apply. Open purchase orders will be supplied at current prices.

Price increase letter or email?

Send an email for most customers: it is fast, and the date is recorded. Use a signed letter on your letterhead, or an email with a PDF attached, when the contract asks for written notice or the account is large. If you prefer an email format with a subject line, the AI email writer has a price increase notice type too.

Common mistakes to avoid

• Burying the number. Put the new price or percentage in the first paragraph.
• No date, or a date that is too close. Customers need time to adjust their own prices.
• Too many reasons. One clear reason reads as honest; five read as excuses.
• Different numbers in the letter and the price list. Check every figure before you send.
• Forgetting the sales team. Tell them first so they can answer calls the same day.

Write your letter in two minutes

Open the free Price Increase Letter Generator, add the products, new prices, start date and reason, and get a clear letter you can edit, copy or download. No sign up, and it never adds reasons or promises you did not give it.

Frequently asked questions

How do you write a price increase letter to customers?

State the change and the start date in the first paragraph, give one honest reason, say what happens to open orders, thank the customer and give a contact. Keep it under 200 words.

How much notice should I give for a price increase?

30 days is the usual minimum. Give contract customers and distributors 60 to 90 days, and always check your agreements, because many set the notice period for price changes.

Should I explain why prices are going up?

Yes, briefly. A real reason such as raw material, freight or currency costs is easier to accept than an unexplained increase. One or two sentences is enough.

Can I send a price increase notice by email?

Yes, email is the most common way. Use a signed letter or a PDF attachment when a contract asks for written notice or for your largest accounts.

Is the price increase letter generator free?

Yes. It is free with no sign up. You type the details, it writes the letter, and you can edit, copy, print or download it as a Word file.