Are lifetime plans a good idea?

Discussions
#1

I noticed the service “WaniKani” is offering lifetime plans at quite a steep discount. I think this is an interesting choice. Does anyone have any thoughts about it?

On one hand, this effectively caps the “lifetime value” of these customers. However this service (learning kanji) is really only meant to be used for a couple of years I suppose. You will definitely have gone through all of their levels if you keep at it for 2 years straight. So I guess it makes sense (their service is $8/mo so 8*24=$200).

If your business is essentially a course that can be completed in a certain amount of time a lifetime plan might make sense.

#2

I think you just answered your own question :smile:

Yes, if your user’s lifetime is essentially a limited time of using the product, it makes sense as it looks like added value to the user yet without additional resources from you.

I personally like the monthly route as it makes accounting much easier.

#3

Consider also that by making it “lifetime,” it may never be a good moment for the person to use your product (“I’ll use it later”). If they never use your product, sure you got paid, but until they get the outcome they wanted, they probably won’t be recommending you, or giving testimonials, or returning for your next product. Also, I only ever see blog posts from people complaining when a service shuts down or is acquired and “lifetime” is no longer honored.

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#4

It makes sense for a language system, as if they use it they’ll move beyond it, and if they may well want to come back later for a refresher - but will resent paying again.

Essentially there’s no real downside or expense, but it’s a solid selling point.

Would I recommend it for most services? Nope. No matter how confident you are now, you cannot be sure what will happen in the future, apart from still having an obligation to provide the service to people that paid for it.

AC