I recently signed up for an online course. I don’t often sign up for things because I hate having to remember when I signed up so I remember to cancel before I get charged again automatically whether I want to continue or not.
I know if I were a more organized person I would remember to maybe record things on my calendar and set up a reminder, but I’m not. Which brings me to my point.
I HATE auto-renew memberships. Not the kind where you can CHOOSE to auto-renew, but the kind where you have no choice. Is your product/service so questionable that your best business plan is to trick people into paying for it by forgetting to cancel? I’m sure that with the number of disorganized people like me out there it’s a viable practice but is that really the reputation you want?
Auto-renew is convenient, but shouldn’t be mandatory. If half your revenue comes from unintended renewals, you’re not providing a service, you’re basically a scam artist.
Even if you provide refunds, you’re still betting that a large portion of your customers won’t cancel in time to
qualify, or will cancel and not request one because it’s too much trouble.
If you offer a membership to anything, auto-renew should certainly be a choice. But if accidental renewals are the main way you make money, your product or service might need improvement. Just saying.