Price Raises Require Careful Strategy

Subscription-based businesses should approach price increases with caution, ideally implementing small, consistent raises annually to align with inflation. This strategy helps maintain subscriber loyalty, as they are likely to view their subscription as a utility. However, any price hike can prompt subscribers to reevaluate their value, shifting their mindset from member to consumer. Therefore, businesses must ensure they offer clear value or valid reasons for price changes, as otherwise, they risk losing subscribers who may reconsider their commitment.