MagWeb.com Poll 2002

Thoughts About Price Increase

by Russ Lockwood
CEO, MagWeb.com

It's difficult to keep pricing the same for 6 years. Although we've tinkered with prices under 1 year in membership length, we've kept the $59.95 for 12-month MagWeb.com membership the same since Jan 1, 1997. We run a frugal ship. We caught a break in telecom to some extent, however: software, hardware, accounting, banking, marketing, public relations, credit card, legal services, royalties, convention, and other expenses have all increased. We're a small company, but a company nonetheless with all those expenses. Eventually, we'd like to add salaries to do even more. But one step at a time.

As you can tell from most of these comments and the poll data, our decision to raise prices after all these years doesn't come as much of a surprise. Ultimately, market forces will prevail. If I raise it too high, few will subscribe and MagWeb.com goes under quickly. Charge too little, and we suffer a long slow decline of cash flow.

So, we decided to ask. Now, I'd like to point out that I can't recall any company asking its customers about a price rise. Certainly, the CEO of Nabisco hasn't asked my opinion on the price of Oreos or Saltines or anything else they make. Then again, MagWeb.com is not just any company. We try to run it the way we like to be treated if we were a customer. We certainly took what members said into account. See the poll for the raw numbers and see below for specific comments in itallics.

Thoughts About the Price Increase

I'd rather prices didn't go up, but as long as MAGWEB returns good value for the money, I would continue to subscribe

Any increase in price should reflect additional facilities within the site, not further magazines and articles.

PLEASE no annoying pop-up ads. Anything but that.

Would prefer advertising to defray cost, Would renew but over $100 is a NO-NO

I only join every other year, so it matters not.

Everything goes up except the stock market. Unless your increase is really outragous, it's still a bargain.

As a charter member, it wouldn't apply to me, but I think it is probably well past time to raise subscription rates -- small regular increases go down easier than less frequent large jumps.

It is always a question of value -- as a charter member I guess I am somewhat safe, but I don't want to see MagWeb go away. You gotta do what you gotta do...

Do not significantly raise non-yearly pricing: weekly, monthly, etc.

I'm a charter member and sure do expect to stay on that deal. Also, advertising is so seldom relevant to those of us living outside the US. You could do more in the SHOP department. I'm interested in buying 'Sword & the Flame.'

Them's the breaks

At the moment, I would buy one wargaming Napoleonic mag per month and an occasional second. I already subscribe to Lone Warrior, although it is on Magweb, so I would think it would be a mistake to increase the cost to much beyond $100.00 or $1 per magazine.

DO WHAT YOU MUST TO KEEP IT UP AND RUNNING FOR THE LONG TERM.

Be careful about raising the price. I have by now read most of what interest me. At the current level it is expensive, but acceptable. A price increase whould require you to add lot more back issues and new magazines.

When it is not cost effective I will quit.

I don't like it, of course. I have been with MagWeb for awhile, and I would prefer to avoid another price increase.

I only plan on being a member a few months at a time.

I would pay a slight increase if it meant no ads.

You could set up packages like cable i.e. core mags, multi topic like Courier Mwan PW review, then have package Napoleonic, ACW, WWII Roleplaying for add'l cost.

Current pricing seems very fair. Since I just joined, I will be watching to see new content added over time, but it appears that happens quite regularly and thus I can read mags I cannot find otherwise.

I realize this is not a "non-profit" enterprise. I feel you should measure your price against costs and effects on membership. Magweb is an EXCELLENT value at its current price.

I'm willing to keep paying as long as new content is added.

That's life though when one has read and loaded all he likes, prices can come into consideration for the few new stuff coming in, compared with staying...

No, hope you can maintain a reasonable price for a reasonable following, but this is a hobby, not a staple so some increases are forseeable...

As long as it is support with content, and kept adding content, it will be more acceptable.

Do it ... you can't run and expand a business without income. Raise pricing based on need, not inflation or similar factors.

Reasonable considering value for money and the rate of inflation.

I have not been using it as much as I have in the past and raising the price too much will force me away.

Sad, but inevitable

None

I guess it's inevitable, but COLOR PIX of toys and battles and uniforms and maps would be cool.

Eventually, everything increases in price. It isn't fair to assume a company can continue to provide the smae level of service at the same price.

I'm a charter member, so it doesn't really matter to me.

You have to face econmic reality, like everyone else.

Due to some magazines posting slow, I'm debating not renewing but subsribing directly to the magazines in question. The problem is the yearly "hit". Follow the trend of some chat sites and offer shorter terms: 3 months, 6 months, 1 year...

I find MagWeb to be a fine investment, certainly less than hard copy subs. Like most folks, I like to get the most for the least, but know costs do go up. I'll accepy an increase, especially as I'd rather pay more than put up with advertsing.

With our Canadian dollar so low any increase will cause me to rethink my membership.

You do a service to readers and to the journals and societies that get income via royalties. Raise prices to ensure you stay viable but do not raise too much. Growth should come through new members.

It will probably result in my dropping of my subscription. As it is, its value to me is marginal at best and increasing its cost would make it very hard to justify. If it's a choice between books for the kids or magweb, magweb loses.

Don't jack up the price too much or you may lose subscribers.

Like most increases, unless there is a comparative rise in quality commensurate with increase a small increase -- 10% -- to maintain profit is OK anymore then I want more too.

Inflation sucks, but whatta ya gonna do?

One thing to keep in mind, times are still hard for many people. Many economist say recovery is still 2 years away.

Nail the newbies, I won't tell!

Understandable, albeit painful

Everything else is, why not here too?

Understandable, given economic pressures. So long as the increase is reasonable, I cannot see any serious objection from most people.

You've held the line while increasing content, you should increase price.

Like anyone else, I am not happy about paying more for something I enjoy, but since I do enjoy Magweb's service and have just renewed so will not have to pay more for another year...I guess I will live with it.

I'm a charter member. Don't price yourself out of business. I hate the crap ads on yahoo and no longer access the e-groups. If I see one more pop-up.....

I understand the reasoning, I think that members would expect more service in the form of new magazines or articles.

Too great an increase will drive people away. I like to browse the articles, but sometimes I may go months without using MagWeb, which is why comparing this to HBO is like comparing apples to oranges.

It's the economy . . .

MagWeb is a terrific bargain at the current rates, but it obviously has to raise prices to be commercially viable. You have to be careful not to raise prices so much that you scare folks off.

Inflation happens. It is all a question of value for the money.

No ads is a definite plus. I'll pay more, you have to make a living too, but ads would reduce the value for price paid.

Well, you can't keep prices low forever...

As long as the increase does not exceed 25%, I would remain a subscriber as your service is great even though I look at only a few of the articles.

You should make the payments monthly and if the content continues to deteriorate at the present rate I can opt out when I reckon you are never going to recuperate.

If ads help keep costs down, then I prefer the ads to the price increase.

You must do what you need to stay in business. Ads do not hurt, but pop-ups are just annoying. I will never buy anything from a pop up.

Do accept ads related with the hobby only please. I found them useful in glossy mags.

Do what you have to do. Capitalism sucks, but it beats the alternatives...

Everything else goes up, why shouldn't MagWeb?

Keep it at the present rate whatever you do. Paid sites have destroyed the web.

Pricing has a greater effect on non-US members and is already "expensive" by Australian standards. I appreciate the number of articles etc you have but many of the magazines are totally of no interest to me e.g. science fiction/fantasy.

I hate to see the price increase, but I understand it.

Increase membership not the price. I know you are trying and nobody expects you to lose money.

It's unfortunate, but its unrealistic to expect the price to stay the same forever -- pricing has to keep up with rising costs.

I don't know what your situation is, but I would say raise the price to what is needed to keep Magweb going, and ensure decent salaries to the workers.

Drop the increase and add adverts to archive. Adverts are everywhere these days. If they don't like they don't look at them. Big deal...

No

No one like price increases but you need to be able to continue your fine service. Its an expense verses revenue verses membership.

You gotta do what you gotta do.

It's probably in line with inflation

Not that cheap now.

I don't mind an increase, as long as it is fair -- nothing like doubling. Also, I'm not interested in every magazine. Think about subscription to indiviual magazines.

The current price is near the top of my "reasonable" pricing bracket. There's only a half dozen or so publications I'm mainly interested in -- browsing the others is fun, but not vital -- so I count your content by how often those are updated.

Ads are better than price increases. Price increase is better than unhappy MagWeb owners or no MagWeb.

I think that it is probably long overdue. MagWeb is the best value in the market for the historical market.

I'd like plenty of time before sub runs out, to be informed of what is planned for sure and when the sub runs out, so I don't let it lapse and have to pay more.

It's totally understandable and hopefully will allow you a nice return on your time and money investment.

If I don't lose my job, I'll always be a member.

In the real world, it's inevitable.

What is the difference between a charter member and me?

Charter Member...I like the Pioneer idea but if you jump too much higher you might not get too many NEW members. Offer multi people deals to save some dollars and maybe stop sharing...might lose a little if friends are currently paying full price...

I'm a Charter member, so Q27 doesn't really apply.

I wonder if you could hook up with manufacturers of figures and offer a special price to gamers who are members to Magweb, with Magweb gettin a slice of the pie.

Acceptable for the value given

If the price increases will I still renew my subscription

Increased fees should optionally be paid by installments -- I would be reluctant to find $120 as a lump sum.

I'd rather prices didn't go up, but as long as MAGWEB returns good value for the money, I would continue to subscribe.

Run a sliding scale of discounts dependent on length of memberships - akin to no claims bonus's for insurance.

I would rather see advertising than a price increase. Just no pop-up windows -- I hate those! Sidebars is fine - but nothing that moves.

Reasonable

I vote for tapping ad revenues first, then a membership fee increase if needed to cover shortfalls.

Do what you have to to stay online.

Every business has to increase its pricing structure, we just need to have a feel for how much and why.

I would encourage advertising--you've got make some $$$, Russ.

The current price level -- or about that -- is fine for the service you provide. But after more than two years I do not use it often enough to pay much more for it. Unless you expand the number of boardgaming magazines.

As long as the level of services and growth is supported. You haven't reached my "Breaking Point" yet. How about Quarterly automatic billing for long term subscribers. It's a little easier on cash flow.

The increase in royalty costs should, theoretically, be balanced by a corresponding increase in subscriptions. If you aren't experiencing the latter I suggest that a significant rate hike will stiffle growth rather than enourage it.

If you are going to give us a better service, I can live with it.

Tricky question...it's like asking if I like to pay taxes -- of course not. Explain in detail reasons why the unit cost per member has to be increased -- the site has grown but I guess also the number of subscribers.

Keep as low as can be kept without sacrificing quality

A Magweb's gotta do what a Magweb's gotta do....

For those who are continuous full year members, the increase should be minimal. If there is a spike in renewal price, there is a point where I would start to consider just ending it and buying mags I find interesting.

I think Magweb is currently a reasonable priced resource, however from a personal point of view I cannot sustain my membership if the increase is more than above the rate of price inflation. If it is a rise of above that then I will question my continuing.

Sad but seemingly unavoidable.

Already a Charter member

The price of MagWeb.com will remain almost the same (we raised it 5 cents) for the 1 week and 1 month memberships, and rise for the 3-month, 6-month, and 12-month memberships in 2003:

    1 week Quickie Peek: $10
    1 month Take a Look: $20
    3 month Trial Period: $40
    6 month Attack Run: $60
    12 month Super Value: $75
      NJ residents will add 6% sales tax

A modest rise will help MagWeb.com continue to grow.

War, Warfare, and MagWeb.com

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