Growth March 27, 2020

Drop in Conversion with a Fourth Pricing Tier

Gregg Blanchard @greggblanchard

When we went from three plans to four, the percentage of people who clicked on either "sign up" or "free 10-day trial" dropped by 50%. It's a small sample, but before we wait any longer for the data to fill in I wanted to share our stats and see if it's a fluke or if anyone else had seen anything similar before?

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    Like you say it could have been a number of factors, but for me certainly choice paralysis would be one, as it's making the decision harder. Interesting though, thanks for sharing. Would be interesting to see if your numbers go back again if you change back to the three tiers.

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      Thanks, Jamie. I tend to agree on the paralysis one. We've switched it back, but with COVID-19 most numbers are down quite a bit the last two weeks so will be tougher to compare.

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        I wrote a more detailed and in-depth analysis here:

        But one thing I want to call out is that it's dangerous to revert the change without having a good hypothesis for why the drop in conversions happened. For instance, if it was due to having an influx of sign-ups from a different audience due to the award they won (a "one" time event), reverting and seeing the numbers go back to normal -- perhaps due to acquiring users from the same audiences as before might lead you to the wrong conclusion. That is, the addition of the fourth column was the issue and not that they happened to have an outlier group of more tire kickers than normal.

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          Absolutely, though I think "dangerous" is a bit dramatic. Based on your feedback and other feedback I've received, it was a fluke which means conversions were probably not impacted (at least significantly). So reverting back didn't change conversions in the end, it just helped me a feel a bit better while I dug into what might have happened.

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