495 - This Is The Worst Way to Handle a Membership Price Increase

At some point in every membership's journey, you'll have to decide whether to raise your price. That's a good thing! It means your membership has grown more valuable since you launched.

But there's a right way and a wrong way to do it, and this week I'm on my soapbox about the very, very wrong way. My video host took my annual renewal from about $900 to $4,500, with less than one months notice and a single email that was easy to miss...

If it isn't obvious to spot, I break down exactly what they got wrong, why I only raise prices for new members, and what you can take from it for your own membership.

If you're thinking about a price increase, please make sure you never handle it like this.

In this episode:Why considering raising your price is a healthy sign for your memberHow an upcoming price increase becomes one of the most profitable promotions you can runWhy legacy pricing is a silent retention tool that gives members more reasons to stayWhat Vimeo got wrong, and the communication, clarity, and fairness lessons you can applyWhere the line sits between a smart save offer at cancellation and rubbing it in

Want a clear plan for doing it the right way? Grab the free Member-Centric Guide to Raising Your Prices.

And if you'd like tailored advice and support on where the gaps in your membership business actually are, join Membership Academy here.

Key Quotes & Takeaways:"That price increase promotion is phenomenally successful. It's always one of the most profitable, the most successful types of promotions that I see other members in the academy running."

"Because if they do, they obviously lose that legacy pricing. So it becomes really good for member retention."

"When we're doing price increases, communication, clarity, fairness is absolutely paramount."

"Putting existing subscriber prices up should be the absolute last resort. It's unfair. It's difficult to do."

You might also find useful:The Hidden Costs of Legacy Pricing (And What to Do About It)Should You Increase the Price Existing Members are Paying?11 Signs That it's Time to Increase the Price of Your MembershipHow to Deal With Member Cancellations