Why Lowering Your Price Won't Fix Subscription Churn
Subscription Prescription | Weekly Doses to Boost Ecommerce RevenueShow Notes
SpaceGoods does 80% of their business on subscription and their #1 churn reason is cost. So they tested making the subscription 25% cheaper. It didn't move the needle at all.
In this episode, I sit down with Bea Le Coultre, Retention & CRM Manager at SpaceGoods, to talk about what actually drives subscription retention. We cover how they coach customers through their first two weeks, why matching the right product to the right buyer matters more than discounts, and the surprising experiment that boosted retention by 20%+ without changing the price.
What we cover: • Why 80% of SpaceGoods revenue comes from subscriptions (and how they built that) • How ads overpromising on benefits creates downstream churn • The "starter kit" strategy for converting first-time buyers into subscribers • Why the first two weeks are make-or-break for retention • How product usage coaching (time of day, preparation method) impacts reorder rates • Using post-purchase surveys to segment by pain point • Billing reminder testing with Zamo and Klaviyo • The price reduction experiment that proved discounts don't fix churn • How asking subscribers to set a 90-day goal boosted retention 20%+
Guest: Beatrice Le Coultre LinkedIn: https://www.linkedin.com/in/beatricelecoultre/ Website: https://spacegoods.com
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