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[-] JasSmith@kbin.social 2 points 1 year ago

I work in a position responsible for decisions like this. They do AB tests to determine if the price change results in an excessive loss of subscribers. Usually the calculation is: if(profit increase > loss from churn); proceed. They only exact price increases if their tests indicate they won't lose too many subscribers compared to the increase in revenue. That's why these price increases happen little by little.

this post was submitted on 20 Jul 2023
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