Stripe's Masterclass on how to Change Pricing Structure
Stripe recently changed their pricing structure for UK customers, and it highlights exactly what's great about Stripe, and gives a great example on how to communicate price changes to your customers.
Until recently, the UK pricing for Stripe payments followed a single pricing tier :
- 2.4% per transaction + 20p
From July 7th 2015, this is changing to be :
- 1.9% per transaction + 20p, for UK issued cards
- 2.9% per transaction + 20p, for international cards
This new pricing introduces a new tiered structure to the pricing, so depending on your business specifics, this might be great, or not so great. The actual pricing isn't what we're looking at here, it's how Stripe communicated it with their customers.
To notify their customers on this change, they sent out an email with the new pricing detailed. So far, so obvious. But they didn't stop there.
They did 2 brilliant things :
- Acknowledge this change isn't going to be beneficial for all, and give the option for staying on the grandfathered pricing structure.
- Calculate the specific difference these changed pricing tiers would have made if they were in place when your account was opened.
For our Stripe account where we mostly deal with international payments, it looked like this :
We've done the maths: if you had switched to the new rate when you started processing, your Stripe fees for that time would have been 21% higher.
You know your business best, and we realise there might still be reasons for you to choose the new rate.
And to make it perfectly clear :
Just to be clear, there's no action required. If you do nothing, you'll automatically stay on the current rate of 2.4% + 20p for all transactions
Perfect. Simple, clear, no questions. (For the record, we're staying on the grandfathered rates). As always, the current Stripe pricing is right here.
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