Over the weekend, PowerWeek.com switched from Freemium pricing to a Free Trial model. The change was motivated by 3 factors.
- We looked at our user base and saw that lots of people signup and then never return. So we were emailing them every day for the rest of their lives? Not good.
- Most of our user community is trying to make a change in their work habits. They want to get more done. If PowerWeek is free, then we reduce the commitment and initiative to really try our dogma.
- Our users are business people who can benefit economically from adopting PowerWeek and promoting that others in their downline do the same. By leading with a “free” promise, it becomes hard to see the product as something you pay to leverage.
Freemium is great for advertising driving websites. We are the opposite. Our users unanimously told us to NOT start using advertising to pay for the operation.
The experiment has begun. We had an 8% conversion rate from Freemium (which is killer, we know), but we think we can do even better! To read more about our user-driven decision, check out our press release.