Pricing done well. The story of Netflix.

Netflix is everywhere today, but that wasn’t always the case. At one point, they were the new kid on the block and the incumbents weren’t taking them seriously – much to their own demise.

Netflix has experienced continued success throughout the course of their company’s journey which has required them to reinvent who they are a few times.

A critical key to their success was making sure their pricing was always on point. They’ve always seemed to strike a great balance to stay in enough homes to grow like a weed over years and years.

Even when they have raised their prices, they did so to stay ahead of where they knew the market was going. They also made these changes at the right time.

So while Netflix has gone from mailing DVDs to streaming to producing their own content, they’ve continually beat the existing solutions to promote customer growth AND raised their prices several times throughout this journey.

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Product pricing when done well, can be a beautiful thing to watch.

Take a page out of their book for your product. Consistently beat the existing solution and look for opportunities to charge what I call is a “take my money!” price.

You’ll be glad you did.

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