I have been thinking about how to order your pricing in a subscription model.
These last couple of months i have been reading; " Influence The psychology of persuasion."
One of the models that the author adressess is reciprocity.
He states that the compliance rate of the rejection- then- retreat technique is very significant.
As an example; if we ask on a campus if a student would be willing to go to the zoo with youth juvineles every week for a year 83% would say no. But if we back off after this question and ask them to at least go once, 50% would say yes. While if we would just ask them to go once, the compliance rate is only 25%. So, by asking a more and then backing off you get your compliance rate to increase with 100%.
This principle is caused by a combination of the reciprocity tendency and the contrast misreaction tendency.
Now to the marketing part; i am wondering, why are all subscription models priced like this;
free - $ 100 - $ 1000 ( from cheap to expensive).
Wouldn't it make more sense to go from expensive to cheap ( $ 1000 - $100 - free).
By doing so people will make a concession and take the second option.
Does anybody have any experience with this?