How should I price recurring or subscription service?
Short answer
Annual price divided into monthly payments, billed automatically, with a real discount vs one-off. Predictable revenue is worth a real number off.
Why monthly billing
Predictable cash flow. Customers stick longer when payment is automatic. You get to plan capacity instead of guessing whether anyone is calling.
What discount
10 to 20 percent off the one-off equivalent. Less than 10 and customers don't bite. More than 20 and you've cannibalized profitable one-off work. Test in your market.
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