How to Sell Subscription Plans to Employers
Build recurring revenue with employer subscription plans.
What are employer subscription plans?
Employer subscription plans are recurring payment arrangements where employers pay a monthly or annual fee for ongoing access to your job board, rather than paying per posting. Subscriptions provide predictable revenue, deepen employer relationships, and increase lifetime value compared to one-time purchases.
Why subscriptions matter
Subscriptions transform your business model:
- Predictable revenue: Know what's coming each month
- Higher lifetime value: Subscribers stay longer than one-time buyers
- Deeper relationships: Regular employers become partners
- Lower churn: Committed employers keep posting
Subscription models
Unlimited posting plans
The most common subscription model:
Monthly plan ($299-$999/month)
- Unlimited job postings
- All features included
- Cancel anytime
Annual plan ($2,499-$9,999/year)
- Unlimited postings
- Discounted rate (typically 15-20% off monthly)
- Priority support
Tiered subscriptions
Offer different levels of service:
Starter ($199/month)
- 5 active job postings
- Basic features
- Email support
Professional ($399/month)
- 15 active job postings
- Featured placement
- Resume database access
- Priority support
Enterprise ($799/month)
- Unlimited postings
- All features
- Dedicated account manager
- Custom reporting
Credit-based subscriptions
Alternative to unlimited:
- Employers purchase posting credits
- Credits used as needed
- Unused credits roll over
- Encourages advance purchase
Pricing subscriptions
Calculate your value
Base subscription pricing on:
- Average postings per employer: If employers typically post 3 jobs/month at $200 each, a $500/month subscription offers savings
- Included features: Resume access, featured placements add value
- Competitor pricing: What do alternatives charge?
Annual discount strategy
Encourage annual commitments:
- Monthly: $399/month ($4,788/year)
- Annual: $3,499/year (27% savings)
The discount compensates for:
- Reduced churn
- Upfront cash flow
- Lower payment processing fees
Building subscription value
What to include
Make subscriptions compelling:
For job posting:
- Higher posting limits or unlimited
- Longer listing durations
- Priority placement
For recruitment:
- Resume database access
- Candidate alerts
- Application management tools
For branding:
- Featured company profile
- Sponsored content options
- Newsletter inclusion
What to reserve for upsells
Keep some features separate:
- One-time featured homepage placement
- Premium content sponsorships
- Recruitment services
Managing subscribers
Onboarding
Set subscribers up for success:
- Welcome email with quick-start guide
- Account setup assistance
- First posting review (if offered)
- Check-in after first week
Retention
Keep subscribers engaged:
- Monthly usage reports
- Performance analytics
- Feature announcements
- Renewal reminders
Handling cancellations
When subscribers want to cancel:
- Ask for feedback (optional survey)
- Offer alternatives (pause, downgrade)
- Process gracefully
- Keep the door open for return
Subscription metrics
Track these key indicators:
Monthly Recurring Revenue (MRR)
Total subscription revenue per month. The most important metric for subscription businesses.
Churn rate
Percentage of subscribers who cancel each month:
- Good: <5% monthly churn
- Concerning: >10% monthly churn
Lifetime Value (LTV)
Average revenue per subscriber over their entire relationship:
LTV = Average monthly revenue ÷ Monthly churn rate
Example: $399/month with 5% churn = $7,980 LTV
Customer Acquisition Cost (CAC)
Cost to acquire each new subscriber. LTV should be at least 3x CAC.
Transitioning to subscriptions
When to introduce subscriptions
Add subscriptions when you have:
- Employers who post repeatedly
- Proven job seeker traffic
- Features worth subscribing to
How to launch
- Identify repeat customers: They're your first targets
- Create compelling packages: Bundle existing features
- Offer founder pricing: Discount for early adopters
- Promote the value: Show the math on savings
Balancing with pay-per-post
Keep both options:
- New employers: Pay-per-post to test
- Regular employers: Subscriptions for value
- Occasional employers: Pay-per-post works fine
Common mistakes
Overcomplicating tiers
Too many options confuse customers. Start with 2-3 clear tiers.
Underpricing
Subscriptions should represent slight savings over pay-per-post, not massive discounts. You're selling convenience and commitment, not just volume.
Ignoring churn
A 10% monthly churn rate means replacing your entire subscriber base annually. Focus on retention, not just acquisition.
No onboarding
Subscribers who don't use the service churn. Help them succeed early.