4 builders who never spoke to each other

Announce the increase and let the deadline sell

Publishing the new number while honouring the old one for a couple of weeks converts the rise itself into a promotion, and the days before it lands reliably produce a rush of purchases. Give existing customers real notice, months rather than days, and an escape hatch such as locking the old rate by prepaying. Two refinements from operators who did it badly first: raise on existing accounts rather than new ones only, and leave out the customers who have clearly forgotten they are subscribed, because the letter just reminds them to cancel.

The method

1. 01

   Announce a price increase before it takes effect, because the warning itself pulls forward a run of purchases.

2. 02

   Announce a price increase before it takes effect: the deadline itself produces a rush of purchases at the old price.

3. 03

   Launch a price increase as a sale: publish the new higher prices but honor the old ones for a couple of weeks, which converts the increase itself into a promotion.

4. 04

   When you raise prices, offer your existing blog readers a coupon at the old rate so the increase does not read as a penalty to your audience.

5. 05

   Raise prices with long notice and a visible escape hatch: give six months, let anyone lock the old rate by prepaying, and state in the announcement that anyone who would struggle with the increase should come and talk to you.

What it returned

• $195

  Communicating a Pegasus price hike produced a flurry of sales, after which Zue doubled the price to $195 and still made a sale within a week

• $200

  Zue saw a large spike in Pegasus sales in the days between announcing the increase from $200 to $300 and the new price going live.

• Zue's Pegasus pricing overhaul raised prices while keeping the old ones live for about two weeks, and those two weeks were the product's most profitable period outside Black Friday.

• Zue invited readers to contact him for a coupon at the pre-increase Pegasus price.

Sources

• The ultimate guide to structuring your coworking space membershipsAlex Hillman · dangerouslyawesome.com · You can raise your membership rates, just don't be a jerk about it. · 2015-10-01
• How To Tell Your Clients You're Raising Your Rates - Double Your FreelancingBrennan Dunn · doubleyourfreelancing.com · How To Tell Your Clients You’re Raising Your Rates · 2016-05-12
• Johannes Radig — Traveling the World and Raising Prices – The Bootstrapped FounderJohannes Radig · thebootstrappedfounder.com · 2024-03-27
• AI is Eating my LifeCory Zue · coryzue.com · Pegasus · 2023-04-21
• What goes up...Cory Zue · coryzue.com · Pegasus Update · 2020-07-01
• A Great Month (while the world burned)Cory Zue · coryzue.com · Pricing · 2020-06-02
• My Icarus JourneyCory Zue · coryzue.com · 2019-10-01