Why offer yearly pricing?

Offering a yearly pricing option alongside your monthly plan is a proven strategy to increase member retention and predictable revenue.

Benefits of yearly plans

Higher retention rates

Members who commit to an annual plan are significantly more likely to stay engaged with your community. The upfront commitment creates a psychological investment that encourages active participation throughout the year.

Predictable revenue

Annual subscriptions provide more stable, predictable income compared to monthly billing. This makes it easier to plan events, invest in your community, and grow sustainably.

Lower churn

Monthly subscribers are more likely to cancel on impulse or forget to update payment methods. Yearly members have already made a longer-term decision, reducing involuntary and voluntary churn.

Pricing your yearly plan

A common approach is to offer a discount equivalent to 1-2 months free when members pay annually. For example:

• Monthly: €10/month (€120/year)
• Yearly: €100/year (saves €20, or ~17%)

This gives members a clear incentive to choose the annual option while still providing you with upfront revenue.

Best practices

• Highlight the savings: Make sure members can easily see how much they save with yearly billing.
• Keep both options visible: Let members choose what works best for their situation.

Yearly pricing isn't right for every community, but for established memberships with consistent value, it's an effective way to build a more sustainable business.