Subscription Pause vs Discount Comparison
Compare the revenue preservation and retention impact of offering an account pause versus a temporary discount in cancellation flows.
Calculated Results
Recommended Intervention
Discount
Discount Scenario Cash
$432.00
Pause Scenario Cash
$320.00
Discount preserves baseline cash flow during the critical retention period.
About this tool
When customers initiate a cancellation, founders typically weigh two primary intervention strategies: offering a temporary billing pause (e.g. 1 to 3 months at $0 while preserving data) or offering a temporary price discount (e.g. 30% off for 3 months). Choosing between these two mechanisms depends on the underlying driver of customer departure. A customer cancelling due to seasonal project completion or temporary medical leave will reject a 30% discount because they currently have zero use for the software; a pause offer perfectly addresses their situation. Conversely, an account that loves the product but is facing budget cutbacks will eagerly accept a temporary discount to preserve their daily workflow. This calculator models the revenue impact of both interventions over a customer lifecycle.
How It Works
- 1Input the subscriber's monthly plan price.
- 2Input proposed pause duration (e.g. 2 months).
- 3Input proposed discount parameters (e.g. 30% off for 2 months).
- 4Input the projected retained months following the intervention.
- 5Review the comparative revenue yield and strategic rationale for each option.
Formula & Math
Transparent LogicDiscount Revenue = (Discounted Price × Discount Months) + (Full Price × Retained Months); Pause Revenue = Full Price × Retained Months
Worked Practical Example
A $100/mo subscriber is considering cancellation. Option A: 2-month pause. Option B: 30% discount for 2 months. Both retain the customer for 4 months post-intervention.
Calculation / Steps
Pause Yield: ($0 × 2) + ($100 × 4) = $400. Discount Yield: ($70 × 2) + ($100 × 4) = $140 + $400 = $540. Difference = +$140 for Discount.
Expected Result
Discount yields $140 more cash during the initial phase while maintaining baseline subscription activity.
Frequently Asked Questions
When should an account pause be recommended over a discount?+
Pause should be the primary offer when users cite temporary project lulls, seasonal downtime, parental leave, or vacation.
What percentage of paused subscribers successfully un-pause?+
It varies by product and by how the pause ends. Pauses that resume automatically on a set date, with a reminder a few days before, give customers a clear moment to come back. Measure your own resume rate for each pause length and adjust the options you offer.
How does BoolBul handle pauses and discounts?+
BoolBul maps exit survey answers directly to the appropriate intervention: budget reasons trigger discounts, while seasonal reasons trigger pauses.
Automate retention on your cancel button
BoolBul intelligently routes customers to either pause or discount based on their survey answers, maximizing save rates and preserved revenue.
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