Subscriber Yield Management Grows Long-Term Consumer Revenue
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Companies with subscribers can apply different pricing across customers to a degree not possible in many industries because they have one-to-one relationships with each customer. This one-to-one communication enables personalization and customization of the relationship between customer and company across many dimensions, pricing included.
Other industries, such as consumer packaged goods, have prices that are observed by everyone in the market, and publishers also face this issue when they are acquiring new customers. Having multiple acquisition prices in the market may cause confusion or channel conflict, but renewal pricing can be done individually with each customer because the renewal price communication is not public.
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