BotTrigger Trade Alert: $WIX bought the July 19th, 2019 $130 / $140 vertical call spread @ $4.20 for a 5% allocation.
How the subscription game works for growth companies...Netflix use to charge you $7.99 ...12 years later they now charge $15.99 for their HD plan. Feb 1, 2017 Shopify increased their subscription fee for their Merchant plus customers & sent out an email to all their merchants that said something like this: "Unless you are earning $800,000 per month, the monthly cost of Plus will increase to a minimum $2,000. Beyond that $800,000, you will be charged .25% of your monthly sales, up to $40,000." Venmo use to charge you $0 for transfer fees, then they rolled out a $.25 cent transfer fee years later, & just 8 months later from there they now charge $1.25 for a transfer fee to go immediately to your d-card vs a free 2 to 3-day wait period for an ACH transfer. Just today, I got an email from Wix, the website provider used by BotTrigger that announced in increase in their annual plan. My point is...these companies start by offering you a low starting price, PRIORITIZE GROWTH OVER REVENUE at the beginning and just BUILD THEIR CUSTOMER BASE AND FOCUS ON GROWTH GROWTH GROWTH. Then increase in price roll-outs start once their customers are dependent / hooked (not a bad thing) on their platforms/service/content. Mind you, that when Shopify sent out that email on Feb 1, 2017...the stock went full retard to the upside, increasing in share price 150% over the next 230 days. Netflix behaved very similarly with each price increase. The street loves it.
Take a look @ $SHOP Shopify's performance when it broke out after increasing their fee model: