Business model - Freemium - Conversion
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Average Conversion Rate for SaaS Free Trials | Sixteen Ventures
There are some fundamental problems with “average conversion rate” which is why people rarely like my standard answer of: “It depends” or my more direct answer of “why, so you can be average?” Or if you have a 25% conversion rate, maybe 5% is what we’ll shoot for because we want more cold traffic coming through and will expect a lower rate for a little bit until we figure things out, right? The number that Joe’s SaaS company is getting vs.
As many of you know I run a weekly webcast called This Week in VC that’s getting between 25-35,000 weekly views across ThisWeekIn.com, YouTube & mostly iTunes. Yesterday’s show floored me. I consider Gregg Spiridellis a good friend.
Want to know why charging $12 / year converts higher than $9.99?
Sun, 08 Nov 2009 00:46:19 “ Priced and Unpriced Online Markets ” by Harvard Business School professor Benjamin Edelman. Discusses tradeoffs in market such as email, IP addresses, search and dial-up Internet. “Reminiscent of the old adage about losing money on every unit but making it up in volume, online markets challenge norms about who should pay, when, and why.” I found this typically academic: dated, dry and pretty unilluminating. But it got published in The Journal of Economic Perspectives .
Freemium math: what's the right conversion percentage?
Business model - Freemium - Conversion - Techniques