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10 Comments

Can you share your experiences & learnings from offering a Free Tier?

We are on the verge of offering a free tier at Kno but we've never offered a free tier before and we'd really like to hear what experiences others have had - the good, the bad and the ugly please! Thanks in advance, Peter and Richard.

on November 18, 2019
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    Free tier is good to get many signups.
    However, it's also meaning you need to give support.
    Better is to display that in free plan, the support is not as reactive as paid plan.
    With a free plan + great followup sequences, you can get ore paid users

    1. 1

      This is an excellent point and one I had not considered. Thank you. We would still want to support all users but the reality of the cost of doing that would mean you would naturally have to give priority to paying users. Perhaps we come up with a sliding scale of support. Now you come to mention it, we're using an email campaign manager to do a weekly newsletter and they have a similar arrangement. Thanks again.

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        We are running many SAAS, signup followup sequence is the key

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          Ok, cool, do you automate this at all?

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            Yes, all is automated with custom made script (triggered with cron job)
            But many email plateform (mailijet,..) can also make the job, but it'll cost $$ and time to integrate

            1. 1

              I'll need to get creative then! :-) Thanks again for your insights.

  2. 1

    I'm also in the API business.

    In my case, a free plan definitely helped. I try to see it as a way for a customer to try the product then move on to one of the paid plans.

    A few things:

    • Do not make free tier too generous. It'll be misused.
    • Enough number of requests for potenial customer to try the product.
    • No soft limit to the number of requests. Hard limit is must. Otherwise, It'll be misused especially if you decide not to ask for credit card.

    These are some experince I had on top of my mind.

    1. 1

      Hi Onar, thank you for your insights. This makes a lot of sense. It seems a fine balance between creating a no-risk signup so there are no hurdles to a user having a go but at the same time not devaluing your offering.

      I see OOPSpam's free tier is really small relative to your PRO subscription. Do you find the free tier allows you to start a meaningful conversation with the new user?

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        Yes,
        For almost all my customers 30 requests were enough to test it. In my case, the sole purpose of a free plan is to try and see if that is what you want. It's not meant to be used in a production.

        1. 2

          Understood. Makes good sense. And nicer than offering a time limited trial because someone might sign up today and come back in 6 month's time only to find they can't access anything because the free trial is up.