written by Tom Chedham


In today’s competitive business landscape, companies are constantly seeking ways to boost their revenues and profitability. One common strategy is to increase prices. However, there’s another approach that can be more customer-centric and ultimately more profitable: launching an opt-out product. In this blog post, we will explore why giving customers the choice to opt out of a new product or service can be a smarter move than implementing a price increase.

  1. Enhancing Customer Satisfaction

One of the primary reasons why launching an opt-out product is preferable to a price increase is the positive impact on customer satisfaction. When a company raises prices, customers often feel like they’re getting less value for their money, leading to frustration and potential attrition. In contrast, introducing an opt-out product allows customers to choose whether they want the additional features or services, making them feel in control of their purchasing decisions. This sense of autonomy can significantly enhance customer satisfaction.

  1. Reducing Customer Churn

Price increases can lead to customer churn, as some customers may decide to seek cheaper alternatives or cut back on their usage of the product or service. On the other hand, launching an opt-out product can help retain customers by giving them options to customize their experience. Customers who value the additional features or services will happily opt in, while those who don’t need them can continue with their existing plan without feeling the financial burden of a price hike.

  1. Generating Incremental Revenue

Introducing an opt-out product can open up new revenue streams for your business without alienating existing customers. By providing value-added features or services as part of the new product, you can capture a segment of your customer base willing to pay for those enhancements. This incremental revenue can be substantial, especially if you’ve carefully designed the opt-out product to meet specific customer needs or desires.

  1. Improving Perceived Value

Customers often make purchasing decisions based on the perceived value they receive from a product or service. Launching an opt-out product allows you to enhance this perception by offering a broader range of choices and customization. Customers who choose to opt in will appreciate the additional value, while those who opt out won’t feel that they’re paying more for the same offering, as they’re not forced into the higher-priced option.

  1. Maintaining Competitive Edge

In a competitive marketplace, raising prices can make your product or service less attractive compared to alternatives. Launching an opt-out product, on the other hand, allows you to stay competitive by offering additional features or services that differentiate your offering from others in the market. This can help you maintain or even grow your market share while avoiding the negative connotations often associated with price increases.


While price increases may seem like a straightforward way to boost revenue, they often come at the cost of customer satisfaction, loyalty, and competitive positioning. Launching an opt-out product provides a more customer-centric approach, allowing your customers to choose whether they want the added benefits, and it can lead to increased satisfaction, reduced churn, incremental revenue, improved perceived value, and a stronger competitive edge.

Ultimately, the power of choice can be a potent tool in the hands of businesses looking to grow sustainably while keeping their customers happy. By embracing this strategy, you can achieve better financial results without compromising the trust and loyalty of your customer base.

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