Subscription-based media companies, including streaming services and digital content platforms, have revolutionized the media industry by adopting business models that focus on profitability and continuous revenue streams. This research paper examines the strategies these companies employ to price their subscription models to maximize revenue and enhance customer satisfaction. This paper delves into the complexities and considerations that influence these decisions by analyzing pricing strategies such as tiered pricing and freemium models. Additionally, the study explores quantitative data from industry reports and company financials are used to provide a comprehensive analysis, with a focus on churn rate, engagement, price elasticity, and average revenue per user (ARPU).
Sadwal et al. (Sat,) studied this question.