Legacy Customer pricing is a practice where existing customers are allowed to retain their current payment structure even when pricing changes for new customers. While it may seem like a way to protect customer relationships during transitions, it has significant downsides. Here’s why:
- Transitional Revenues: When you Legacy Customer pricing, you miss the opportunity to increase revenue from existing customers. Instead, consider upgrading them to a new offer that provides additional value. Most customers are willing to pay a fair price if they understand the added benefits.
- Future Revenues: Legacy Customer pricing locks in old pricing mistakes. Customers who received substantial discounts in the past may now have access to a product with more features. Without a reset, this perpetuates an unfair price, jeopardizing your future revenue stream.
Market Fairness Pricing offers better alternatives:
- Upgrade Legacy Customers: Transition existing customers to a new pricing plan that aligns with the value they receive.
- Communicate Value: Help customers understand the added value of any price adjustments.
- Correct Past Mistakes: Use pricing changes as an opportunity to rectify old pricing errors.
- Avoid Anchoring: Prevent customers from being anchored to outdated prices.
- Fairness and Transparency: Prioritize fairness and transparent communication during transitions.
Remember, change can be challenging, but thoughtful pricing adjustments benefit both your business and your customers. 🚀
Anyone who had received a pricing outside of what is listed on our website please be aware starting September 2025 you will no longer receive a specialized price! Though we appreciate your business, and we hope these changes will not affect your continued support. We are changing a few things with Vroom Grooms LLC due to Growth, Demand, and Cost. We hope you understand!