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Originally Posted by Shap
Great Question! And Great to see you here!
I don't have any hard data on this but I think long term competing on price when nothing else changes is not the best strategy. What I mean when nothing else changes is the exact same product being offered at a different price. It would be one thing to offer your review site surfers a heavily discounted price for the past 30 days of updates and then an upgrade to get the entire site. I can see value in doing that. But simply offering a lower price to some affiliates and higher to others just to drive more members is a slippery slope to go down. We did it a little and I can't say there was much of a benefit to it. I will say for the review site there is probably a benefit. If you offer a price that is not available on Twistys.com and is lower than the listed price then surfers may learn they have to signup via your site to get the best price.
I tend to prefer keeping the monthly rate the same but heavily discounting long term members. 6 month and 12 month memberships. We always priced them a tad higher than what our average member was worth to us. So for Twistys each signup was worth $75 to us. That is to say every if we had 1000 joins those joins, would over the lifetime of them, bring in $75,000 revenue for Twistys. So knowing that we priced our 12 month offerings accordingly. I believe we had the at $99 for the year and would mail out an offer of $75 for a yearly membership. While $75/year is far less monthly than $24.95/month it still made sure that we were maintaining our average of $75 per member.
Let me know if that makes sense.
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Thanks for the replies

Very interesting insight and definitely has made me reconsider our way of using discounts.
It does indeed make sense that unless one of your trademarks is to offer discounts, they make most sense if you do them for a limited period, like a summer discount. And would probably work well for a limited area of the page as a sort of preview, like you mention.