Video Business Academy started at $4K and grew to $7K. Clients spent up to $50K in total, across the offers that came after.

None of that came from renewing the same program at the same price. Each next offer had its own price, set by what it delivered. The logic below has no price list, because every offer is different.

What decides the renewal price?

What the client buys next. Once someone hits the promised goal, they feel done and want the next chapter. You cannot sell them the same thing again, so there is nothing to renew at the old price.

So the first question is where the client stands on the board: past the final milestone, close to it, or behind. The answer picks the offer. The offer picks the price.

Where the client standsWhat they buyPrice against the first programWhy
Hit the goalThe next problem, solvedHigher, priced on the bigger resultA bigger result, from a team they know works
Wants a second runThe same path, for a bigger goalLevel or higherSame problem, bigger target
Close, needs more timeAn extensionPriced for the time it addsIt finishes the first promise; it makes no new one
BehindNo renewal offer yetNoneA price will not move them; the next milestone will
Wants the same access for lessUsually nothingLowerIt rarely sells, and it competes with the main offer
The direction of a renewal price, by where the client stands. Every offer is different, so the table gives the direction, never a figure. · Source: The back-end offer ladder

When should a renewal cost more?

When it solves a bigger problem. At Video Business Academy the first offer took a videographer to a first $10K month. The next one took them from $10K to $25K, a second offer with a bigger result.

A higher price holds on the back end for two reasons. The client already knows your delivery works, because they got the result. And a back-end sale carries no ad cost, so every one of those sales is margin.

At Acquisition Ace, a premium version of the main offer at almost double the price sold over 1,000 times in a little under a year. It cost nothing extra to fulfil. The idea came from asking clients what they wished the offer helped them with.

Result from a named client with written permission. Typical clients of this cohort saw a range of outcomes; nothing here is a guarantee. How we handle claims.

When is the same price right?

For a resell. The client wants to run the whole path again at the next level, with the same team. Same problem, bigger goal, so the price stays level or rises with the goal.

The same price for the same access is a different case. A client who paid high ticket and finished does not want to pay again for what they already have. People who paid a lot to get in prefer another high-ticket offer.

The worst upsell or extension is $97 a month for the same thing they already have. People who paid a lot to get in prefer to buy another high-ticket offer. It rarely sells, so I do not do it; I build a real next package instead. And a discount to keep a client makes no sense.
Diego Miescher
Founder

When should a renewal cost less?

Almost never as a discount. A cheaper renewal for the same program tells the client the first price was wrong. It also makes nobody more likely to finish.

An extension is the one smaller purchase that makes sense. The client is close to the goal and needs a bit more time. They pay for that time, and the promise stays the same.

A client who is behind is not a pricing question. They are overdue on a stage, and the fix is a check-in and the next milestone. Offer the next thing once they are moving again.

When do you bring up the price?

At least 60 days before the program ends. Later than that, you have missed the extensions and the resells. The client should hear about the next step long before the last call.

The price goes in the same conversation as the result. Name what they reached, name the next gap, then make the offer and say the price once. The renewal call script has the wording.

Watch out. Do not change the price of a program for clients already inside it. Any change that affects the client causes chaos, even a good one. New prices go to new offers.

Further reading: The back-end offer ladder: upsell, resell, extension, downsell, continuity · The renewal call script for coaching programs

This week. List every client whose program ends in the next 90 days. Next to each, write hit, again, close or behind. Set the direction of the price for each word, and leave 'behind' blank until they are moving.