Founder Playbook

Pricing
if you have one subscription tier at one price there's two buckets of users that don't get their needs met there are users who just can't afford the price... and then the other thing that people don't think about enough is that there's a whole bunch of people that are willing to pay $50 or $60 so you're leaving money on the table on both sides of that subscription

Single Subscription Tier Leaves Money On Both Ends Of The Demand Curve

Ravi built a demand-curve framework at Tinder showing that a single subscription price always under-serves two groups: those who cannot hit the price and those willing to pay far more. The fix is a staircase of two to three subscription tiers — Plus, Gold, Platinum at Tinder — that meets each user where their willingness to pay actually sits. This model is now standard in gaming and dating alike.


R
Ravi Mehta
TinderFormer CPO at Tinder; scaled to $1B+ revenue with tiered pricing and consumables
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How Tinder Captures More Value With Tiered Pricing and Consumables — Ravi Mehta· 0:06
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