How Subscription Models Shift Pricing Power

Pricing Power Podcast with Fexingo: How Businesses Set Prices, Raise Margins, and Win Customers · Oct 16, 2026 · 11m · transcript

Most consumers think of subscriptions as a convenience, but for businesses, they are a masterclass in pricing power. In this episode, Lucas and Luna dissect how companies like Adobe, Microsoft, and Netflix transitioned from one-time product sales to recurring revenue models. We look at the specific margin improvements these shifts unlocked, the concept of 'switching costs' that lock customers in, and why this model is currently facing headwinds in late 2026. We also explore the counter-trend of 'de-subscription,' where brands are offering flexible, non-recurring options to…