Fascinating marketing example I saw the other day when it came to a subscription services. There is this one company that has a free plan where anyone can sign up and use its basic service for free. The other premium plan costs about $12 a month where for the most part the basic service can be adequate as is. Now here is the interesting part as based on statistics it seems like the system on the site is designed to give accounts of a certain age a promotional offer where they can sign up for a lifetime subscription of sort for about $50.
That sounds like a steal doesn’t it? A service that would normally cost about $12 a month get reduced to $50 for a lifetime subscription? How can you say no? So many people of course sign up. The funny thing is when people sign up they realize there is actually a higher tier plan that offers more stuff. With that realization many people then feel a little played as they thought they got the best that the company had to offer.
It’s fascinating to see how well their marketing tactic works where initially they don’t really present the true top tier plan while at the same time using the monthly subscription more as a sales pitch to sell what they really want to sell. If someone happens to actually get the monthly subscription then all the better for them. I guess that’s why at times using a variety of choices to in a sense suggest great value to people can convince them to buy exactly what you want them to buy.