Hey Canva, AI isn’t a valid reason to increase your prices by 300%

In a highly controversial move, the design platform Canva announced that it would be increasing its subscription pricing structure. Known for being an accessible, beginner-friendly tool compared to graphic design software favourites like Adobe and Figma, the costly increase is a disappointing evolution set to alienate its current users and further deter the professional design community.

The increase comes as a result of Canva's AI feature development – an "expanded product experience” which the company sees as justification for its painful 300% price increase. While the move is only set to affect Canva Teams users, it's a painful blow for small businesses that rely on the platform's accessible suite of tools.

Canva price increase is one of the biggest increases I have ever seen YoY. pic.twitter.com/8MOEYMcRm3August 30, 2024

Announcing the price hike in an email to Canva Team users, the company states that from December, subscriptions will go from $119.99 per year to $500 per year (although the price varies according to the number of users within the Team membership). Presumably, to soften the blow, a 40% discount will be offered for the first 12 months, reducing the price to a cool $300. "This change helps us continue building awesome products like our Visual Suite, Magic Studio, Brand Tools, and other highly requested features," Canva claims.

A minimum of three users are required per Canva Teams subscription, costing $10 per month per user. This brings the lowest total annual cost to $300. In Australia, Canva Teams will increase to $13.50 per month, per user. Annually, it will be $135 per user, costing $405 per year in total.

Loyal customers were understandably unhappy with the news, with many taking to X to share their frustration. "Canva's value is in two areas -- quick basic editing of images, and their vast template library for everything else. It's the software everyone wanted from Adobe: basics plus starter templates. AI doesn't value add to what was already there," web design teacher Jen Kramer says. "They just don’t get that we don’t want huge numbers of new features - we just want it to work and for price rises to be fair," another X user added.

Canva's value is in two areas -- quick basic editing of images, and their vast template library for everything else. It's the software everyone wanted from Adobe: basics plus starter templates. AI doesn't value add to what was already there.https://t.co/pYrU0wPKPiSeptember 3, 2024

Massive price hike from @canva, hitting everyone who has ever shared a folder with anyone, which they now have interpreted as meaning you have a ‘Team’. They just don’t get that we don’t want huge numbers of new features - we just want it to work and for price rises to be fair. pic.twitter.com/y3n08gf38zAugust 30, 2024

I wonder whether @canva management was drunk or high when they decided to increase the pricing. %133 increase is absolutely insane. Already cancelled it.Bye Canva!!!August 30, 2024

It seems Canva is undergoing a metamorphosis that nobody asked for, judging by its recent brand glow-up aimed at a wider corporate audience. While it's natural that the company would want to expand, its simple and accessible platform is its strongest appeal against pricier competitors, and its AI tools are simply not enough to justify such an extreme price increase.

Until wider development is unveiled, Canva will be suspended in an identity crisis of its own creation – too juvenile for its pricing yet desperate to match the heights of its competitors.

This article has been amended to provide additional context on Canva's pricing structure. Find out more about Canva's subscription pricing here.