Industry News

Price elasticity tests yield revenue opportunities for publishers

Mather Economics has completed renewal price tests with several publishers to measure digital-only subscriber price elasticity. To implement these tests, we selected representative samples of digital-only subscribers and moved each group to different renewal prices.

We observed these sample groups for several months and measured the level of stops, customer service calls, and natural attrition. Using these results, an optimal renewal price for the digital-only product was identified, and in most cases this recommended renewal price was higher than expected by publishers.

Read the full article from INMA: Price elasticity tests yield revenue opportunities for publishers