Letter to Our Customers May 2021
May 7, 2020
Dear C&F Customer,
We’d like to begin by thanking you for your support, patience, and loyalty, not only this past year with all its challenges, but for all the years you’ve been with us.
We are writing to inform you that we will be instituting an approximately 5% price increase across our product line beginning May 15, 2021. We will honor pricing on all orders we have received previously. For those of you that pre-booked with us earlier in the year, your pricing, promotions, and terms do not change. Thank you for your commitment to us.
As you all know, the past year has been challenging for all of us. At the start of 2020, with factories locking down, product delivery was our main concern. Then everything shutdown and we all had bigger problems. Fortunately, retail opened back up relatively quickly, and sales picked up. Unfortunately, that good news was tempered by the supply chain issues driven by production delays and container shortages. Those container shortages were particularly painful as they led to delivery delays and significant freight cost increases.
Understanding all the other challenges that you, our longtime customers were struggling with, we decided to absorb all those cost increases for the past year.
Coming into 2021, our shipping partners anticipated improvement by Q2. We chose to continue delaying any pricing changes with the expectation that while costs would be higher, they would still be manageable. We were able to hold pricing through the winter pre-booking season.
Unfortunately, not only has the situation not improved, but it has also gotten dramatically worse. Freight rates continue to rise at record breaking amounts each month. We are also seeing substantial increases in raw material and labor costs while factories are still dealing with shutdowns amid the ongoing health crisis. We are now anticipating this situation will continue through the rest of the year and likely into 2022.
Because this is no longer a short-term situation, we have taken this difficult decision to increase prices.
If you have any questions regarding accurate prices or anything else, please do not hesitate to contact us 888-889-9868, or via email at email@example.com.
We apologize for any disruption this may cause your business. We will continue to work every day to earn your business by providing excellent product at great prices. Thank you for your continued support of C&F. We truly appreciate you being part of the C&F Family.
Sincere thanks in advance for your understanding,
Your C&F Family