Pricing Models and Customer Uptake Split Discussion

The speaker discusses different pricing models, suggesting an annual and lifetime license approach for certain services, emphasizing the value of upfront fees with ongoing access. They point out the need to continually add new content for subscription-based services. The speaker differentiates between services that involve time (like coaching) which are suitable for monthly fees, and others that could benefit from a one-time payment structure. They mention that some customers prefer higher upfront prices to avoid subscription models. Additionally, they highlight the importance of managing product capacity and ensuring a balance between demand and supply. The speaker also talks about a credit-based access model where customers have limited time with the speaker, noting that people may underutilize such offerings. They touch on the concept of customers gravitating towards the highest pricing tier rather than the middle option. The discussion also covers the split between standard and VIP services, with the speaker sharing a 15% uptake for the VIP tier and noting that having a high-tier option can increase the average order value. Lastly, the conversation delves into the psychological aspect of decision-making between various pricing options to influence customer behavior positively.