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Home » Canva Faces Backlash Over 300% Price Hikes for Business Subscriptions

Canva Faces Backlash Over 300% Price Hikes for Business Subscriptions

Canva’s spokesperson, Louisa Green, defended the decision by pointing to the platform’s expanded offerings

Joan Aimuengheuwa by Joan Aimuengheuwa
September 4, 2024
in Apps
0
Canva Faces Backlash Over 300% Price Hikes for Business Subscriptions
Source: Pexels/Jovan Vasiljević

Source: Pexels/Jovan Vasiljević

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Canva, the widely-used graphic design platform, has increased its subscription prices for certain customers, who have shown high levels of dissatisfaction. 

The price hike will primarily affect users of the Canva Teams subscription, a service designed for businesses that allow multiple users to collaborate on projects. 

The company is attributing these changes to the expansion of its product offerings, particularly the integration of advanced tools.

For some users in the United States, the cost of a Canva Teams plan, previously priced at $120 per year for up to five users, is poised to soar to $500 annually. 

While a 40% discount will be applied for the first year, reducing the fee to $300, this still represents a substantial increase. Australian customers are also facing abrupt hikes, with the previous flat fee of $39.99 AUD per month for five users being replaced by a per-user charge of $13.50 AUD. This change could lead to a rise in costs by more than 68% for some teams.

This change will particularly impact those customers who had been enjoying lower legacy pricing, as Canva had earlier revised its pricing structure for new subscribers without notifying existing users. 

Starting in September, existing Canva Teams subscribers will be transitioned to the new pricing model, which requires a minimum of three users per team and charges $10 per user per month.

Canva’s spokesperson, Louisa Green, defended the decision by pointing to the platform’s expanded offerings. “Our suite of products has significantly evolved, with the launch of new tools like the Visual Suite and Magic Studio,” Green noted in a statement, highlighting the value these additions bring to the platform. 

She also explained that the original pricing had remained unchanged for four years and was due for an update to align with the platform’s enhanced capabilities.

Despite these explanations, the Canva price hike announcement has not been well received. The changes were communicated primarily through emails to affected customers, rather than through a public announcement, which has led to displeasure among users. 

Many have expressed their dissatisfaction online, with some stating their intention to cancel their subscriptions and switch to other design platforms, such as Adobe.

This latest price adjustment is a departure from Canva’s original positioning as a cost-effective alternative to more expensive design software. 

It also comes in the wake of the company’s acquisition of Serif, the firm behind the Affinity suite of creative tools, for a reported sum of several hundred million British pounds. 

These developments are taking place as Canva prepares for a potential public listing in the United States by 2026.

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