Start simple with pricing, but leave room for flexibility

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Start simple with pricing, but leave room for flexibility

Pricing can be hugely stressful for any executive or entrepreneur, but it's especially daunting in the membership economy. Here's why, most membership economy businesses use a subscription model, meaning the members pay the same amount on a fixed schedule in exchange for access to a set of products and services, often unlimited access, but how can you set that fixed price when you don't know how much your members will consume? And even more challenging, when different members are consuming at different rates. If I order once a week from Amazon and you order once a month, is it fair that we pay the same amount to Amazon Prime? When pricing subscriptions, I want you to keep a couple of things in mind.

First, price so that everyone gets more value than they pay for. In other words, let's say you and I are both at the all you can eat buffet. I eat twice as much as you, but we both really enjoyed our meals and still thought the price was fair. In the end, we're both happy and the restaurant profited from both of us.

Source: https://www.linkedin.com/learning/creating-a-membership-based-business/start-simple-with-pricing-but-leave-room-for-flexibility