Offering a free trial is a great way to entice potential customers to try your software product. This shouldn’t be surprising. After all, consumers are often willing to try something with no strings attached.
But what happens after the initial 14 or 30 day trial period? 90 day averageEnd-to-end conversion rateFor SaaS companies, this has fallen to between 0.6% and 2%, which whatsapp marketing service is not an encouraging outlook. It’s only natural that you’d want to convert more free trial users into long-term subscribers .
Now, according to the data, how quickly free trial users convert to paying customers depends on several factors:
- Your business model (B2C vs. B2B).
- The type of free trial you offer (opt-in vs. opt-out).
- Service fees after the trial period ends.
For example, B2B customers are much less likely to convert free trial users into paying customers. In some ways, this shouldn’t come as a shock, especially since the B2B buyer’s journey is often long, complex, and reliant on the buyer’s judgment.Six to ten decision makers.
Likewise, opt-in and opt-out free trials also produce different results. On the one hand, opt-in offers attract a wider audience because they allow users to test the software product with little risk.
On the other hand, opt-out registration video recording it among various ensures a higher probability of conversion of free subscriptions to paid subscriptions. Of course, there’s always the option of lowering your price.
However, this won’t do you any good in the long run (other than making your KPIs look more impressive).
Choose the right trial type for your business (and learn how to promote the benefits you offer)
Before you start thinking about how to convert more customers from free to premium users, you have to decide one crucial thing: the type of trial that’s best for your business.
Generally speaking, most subscription-based businesses offer three free trial models:
- Opt-in trials allow new potential customers to try the software without providing credit card information. Check out the Chanty sign-up page to see this model in action.
- Opting out of trials also provides access to all software features, but with one condition – subscribers provide payment information. After the subscription period ends, they are automatically converted to paying customers (see how Spotify informs this on the relevant landing page) and can choose not to continue using the software.
- This freemium model is free forever. However, there are some limitations on the features that subscribers can access. Generally, the idea is to gate advanced and valuable software features, which is ultimately what users demand from the software and what drives conversions. To see how this works in real life, check out this plan comparison page:MailChimp.
Now, the best way to choose between these resource data three models is to look at the size of your audience.
If you are a professional that meets certain needs, you can allow yourself to adopt an opt-out model.
However, if your software solution serves a diverse and broad audience, then the opt-in model should ensure better results. In this case, focus on generating high traffic (Content Marketing, for example) and aim for a moderate conversion rate. To start, 2% to 5% is fine.