Lauren Bateman (speaker) describes her music school's predictable recurring revenue — roughly $60,000–$80,000 per month — and outlines plans to introduce recurring revenue (a membership) into her online courses. She explains the limits of lower-priced music products and the need to pivot toward higher-priced, higher-level clients to grow the business.
Approximately $60,000–$80,000 per month.
The great thing is about the music school is it's a recurring revenue. I'm almost guaranteed 60, 70, $80,000 a month because of this recurring revenue. And it's like, how do we incorporate recurring revenue into the online business now? Hey, let's start a membership. Let's get people upping every year to have this community to get these behind the scenes, these bonus lessons, all these extras. Great. Now I've got these courses, I've got the recurring, but there's only so much I can charge a guitar person. I want to take my business to the next level and I understand that if I'm going to do that, I have to charge higher price and get a higher level client through the door. So now I'm starting to pivot into business because, you know, guitar is a hobby, people don't need it. And most people who take my course aren't going to become professional musicians.
