Reduce Price Without Angering Past/Present Members

hey man,

a way that you could achieve this would be to create an extra "inner circle area", where only your 97/mo people have access to. This could be as simple as a weekly or monthly conference call with you.

so now you can charge the 40 bucks for the membership but your higher paying people still feel like they are getting something more for what they are paying for.

alternatively, you could just let them start paying less. That will really raise your good will with them.


Hope this helps man. Good luck.



Kam

Thanks for the advice, Kam! Very interesting it's just that the inner circle wouldn't really apply in this case.

By the way, how to regulate 'inner circle' as some people may not utilize it much (no problem there) while others may try to vigorously turn it into 1 on 1 consultation and take up the whole discussion?

there should be something special that past/current members get that differs them from the one that get discount. Like bonus videos or special webinars with you or something similar.'
You can group them to VIP member and regular member with different benefits.
Hope it helps

I would avoid lowering the price! Why do you want to do that if you're doing good?
You might try a limited time 'discount' or 'special offer' but remember that at a lower price point you will have to make 2-3 times more sales plus the quality of the customers will be lower, which means more refunds...
You can run a test but I'd stick with your original price or even a higher one!
Good luck!
Art

I doubt very seriously I would do this. If I could figure out a way to essentially rebrand the same content on a different domain that would be an option. Essentially giving you two sites with different price points. Lots of business have been doing this for years both offline and online.

Can you lower the cost of the people who are currently members?

Hey junkofdavid2,

I tell you man, If I were doing the conference call for an inner circle type situation, I would limit time per call so that you can help as many as possible. You could say 10 minutes per.

Also I would record the calls so that you could put those in your inner circle area for all the 97/mo members who could not make the discussion but they would still like the ability to listen to it later.


Another thing that I did not mention. I would keep that 97/mo price point and ADD the 40/mo as well. Now you have two options when you visit the site.

When you happen to release content for the 40/mo members you can always reference things that are happening in the inner circle.


There are a lot of ways you could do it man. Alot of it is about positioning. I think it is cool if you add the 40/mo on instead of doing away with the 97/mo option. Now you're people have the option to switch to the 40/mo option or stay on for the elite membership.


You're current members will appreciate the cheaper option and the added value option of a "call". You can position it as a way to make your site more accessible for everyone.


Good luck man. I love membership sites!


Kam

Thanks guys.

Why thinking of lowering it? (Or perhaps just testing it)

A split test by Russel Brunson showed that $47 price point sells 4X as much as $97 so if true, that could double my bottomline. Of course I have to test it but I'm more concerned about current members getting angry during:

1) the testing process, and
2) after testing if I so decide to go with $47 or $39

Cheers!

The price change, if you do it, starts on a given day and not one minute sooner. The refund requests, if they come, shouldn't be honored if the changeover date is made clear.

Help them see that they only have to pay half of what they did before so the change is a benefit to them - not something to be angry about.

Why would they request a refund for paying less in the future?

Mark

Some may be past customers who already used the service at $97 and already cancelled their accounts after they're done with business school exams... then they see their friends signing up at $47 >.<

They may ask for back refunds >.<

Yes, just have 2 membership levels, and unlock less content to those people who pay less.

For example:

Starter Level ($39.99/m)
>Get's access to 50% of the content that the premium level gets access to

The question is why would you want to reduce the price? Why don't you come up with another product so that you have another upsell? I feel perhaps that is what you are wanting. Maybe you could do something similar as with the membership price but with less on offer-hence cheaper....I would not devalue your existing membership for the $97.00 I would come up with something that offers the value of $47.00...just get more creative...you know there are all kinds of people with all kinds of circumstances and wallets so you can cater for the differences but if the $97.00 is working I would leave it alone.

Can you do an initial discount and after the discount period is over, the price increases to your current rate? You can offer this discount to your current customers if they request it. This prevents you from offering the discount to all customers unless requested and prevents you from alienating those who notice the price difference.

Are you lowering your price because you think it's too high? Sometimes it takes a while to find the right price point for your service/product. I agree with others that recommend keeping the higher price point. If you don't think you offer that much value, it's time to update your content or provide more of it.

If you absolutely have to lower prices, an alternative I see would be to offer existing members a couple months of free service. Your income would drop dramatically for a couple months, but you could retain those customers.