I have seen multiple posts on Indiehacker discussing AppSumo's model or about the Lifetime deals in general. There are many SaaS founders who find this model fundamentally faulty and suggest to avoid going this route.
As a user, I personally like the LTD concept but only if used responsibly from both the sides ( Deal vendor and founder ).
I am a deal addict and have purchased more than 300 lifetime SaaS deals. While I confess that I haven't used even 25% of them efficiently but I am happy that more than 90% of them are still working and some of them are now highly sustainable and popular in the SaaS market with regular paying customers.
But this is the first time, I am seeing an independent SaaS founder running a lifetime deal so successfully without any third party vendor.
I am talking about Pabbly Connect, a very recently launched Automation tool ( read Zapier alternative ). In fact, I had shared a detailed post about the lifetime deal structure, stacking and pricing plans, etc. here under 'No Code' category on IH
With this launch, they are offering a lifetime deal on their automation tool which starts for a $79 one-time fee and comes with features - 2500 tasks, Unlimited Workflows, Instant Webhooks, Multi-step Calls
Unlimited Premium Apps, Formatters, Filters, Path Routers, and 5 Minute Interval.
On 5h June 2020, they made a post in the Facebook group, disclosing that they are about to reach $100K sales in just 7 days. Here is the screenshot.
Yesterday, they went a step further and created a live counter on Google sheet which will show the number of deals sold and left for the Pabbly Connect in the real-time.
At the time of writing this post, this is the counter stats -
You can check the live sheet yourself here
This translates to more than $110K in sales in less than 2 weeks without any third party vendor. But how?
Here are the steps, that I believe made this all possible -
During this deal, in April 2018, they created a Facebook group and also launched a new lifetime deal for their other product called 'Pabbly Subscription'
They also launched Pabbly Subscription lifetime deal with another vendor called DealMirror. With the help of Siftery Deals and DealMirror, they were getting new sales plus multiple new members for the Facebook community as well.
The Facebook community was created to cater to the whole lifetime deal community and SaaS marketers, not just their own tools.
So, the new members were also coming from direct Facebook searches from users looking for LTD and SaaS marketing groups.
The community gradually expanded up to 2000+ members in two years.
They started talking about Pabbly Connect and giving 'feature' teasers for the last few months. While there were multiple alternatives to their past products like Formget and Pabbly Subscription, there was literally no alternative to Zapier with a lifetime deal offering. This created a sense of curiosity in all the community members who were otherwise inactive in the group.
The initial deal terms were not so lucrative. So, the members started discussing and requesting to increase the limits. This organically created many new discussion threads in multiple other LTD communities and hence more curiosity.
They changed the deal terms with more generous limits which made already interested users happier and hence one more wave of discussions everywhere. This is where I also got interested in this tool and started testing it for various of my use case.
Well, no marketing can do any good for long if the product isn't good. Pabbly Connect literally works the way it should work. Initially, it was difficult to get started since there is no written docs or support guide. But, as I watched some video tutorials and few support conversations, I got the flow. It was indeed easy and fast to create workflows with triggers and actions. Of course, there are only limited integrations currently and there are some bugs and missing features. but LTD users are usually ready for these hiccups and wait for the platform to get mature.
Since they already had thousands of existing users and affiliates for Formget and Pabbly Subscriptions. It was easier for them to connect the existing affiliates with this new unique tool as well. This helped them to reach the larger relevant audience in less span of time.
With a unique product like this, the buyers do want to promote and make others buy it too, even organically, as they think it will increase the chance of sustainability of the tool. More people = More Accountability for the Pabbly Team
There might be some other factors as well but this is all that I can think of, as of now.
Can this be done for Any SaaS tool?
Not any, but if your SaaS tool is unique in offering, it's easier to get word-of-mouth publicity even without associating with any big vendors.
But yes, It needs time and effort to build an independent community where you own the rights to drive discussions and topics like Pabbly did in this case.
Feel free to share your thoughts or let me know if there is any other product or example which did better than this by offering a lifetime subscription independently.
Cheers.
This is a nice analysis, but if I understood it correctly they made 110k in less than 2 weeks by hustling for two years and building a community around it.
Seems like it
And by costing them money each year forever to support those people.
So far I have to say (just in case others try to sign up for the non-lifetime subscription) that the customer support is pretty shit since I bought the lifetime license. They say they'll get back to you in 12 hours and after a week I haven't heard anything. Also, every single email they have sent to me comes from a noreply@ email address - talk about bad form! And to give you another indication of how they run the show, their web chat window keeps closing itself down - so not sure there's much quality control or customer centricity going on over there - and all because I'm trying to create a ticket to see why their custom REST webhooks doesn't support "X-Hook-Secret" which essentially breaks the support for many apps :)
This is weird and must be addressed. They seem quite active in their Facebook group - https://www.facebook.com/groups/formget.deals/
While there is a 60-days refund period but I would recommend you to post this ( not just the issue but also the issue with how the support tickets are handled ) in their Facebook group so that others can also be aware of this.
Interesting read. Thank you for sharing. Gives some ideas about pricing strategies. Cheers!
Great piece @nanowhiz. Just shows the power of perceived value by the consumer.
"Lifetime" access is a powerful statement and when you couple that with an irresistible deal it seems to be a recipe for success.
Thank you for the appreciation @gordon .
Yes. In fact, Even Zapier has initially launched a lifetime deal on AppSumo to gain market exposure. :)
Great write up, thanks for sharing!
Why's the post filled with affiliate urls? If you're going to inject it and mask it with bitLY, why not let users here know?
I created my own zapier
Just checked out their site, but I think the big downside here is that we cannot trial the system before deciding to purchase the LTD. You HAVE to purchase, then refund if it is not suitable.
I want to try it with a third party API that is not listed on their list of integrations (actually, our own SaaS API), but I don't want to have to purchase one code then go through the refund road if it doesn't work for me. For a technical product like this, I think that is a red flag. Not to mention that their payment gateway rating will be taking a hit from all the high number of refund requests that will be coming through.
We went through the AppSumo LTD road with our own SaaS recently (long story coming soon), but we still offered our usual trial period for users who wanted to 'kick the tyres' before committing to our product.
Hey @Devan , I am aware of your SaaS - HR Partner. It's robust and solid. ( I am a buyer, but not a frequent user though )
In case, those third-party has webhook , you can surely create Trigger within a minute. To create actions, you might need more API features and all.
The best approach would be to join their official FB group and raise your question.
Yes. They don't have an open Trial offer but in the Facebook group, everybody gets a trial whoever ask for it.
They are giving 60 days no question asked refund guarantee.
That is cool Nitesh - thanks for your reply. I will join the FB group and ask about a trial. If we can get an integration happening with Pabbly, then we are happy to offer it as an option for our customers because we are getting a lot of enquiries about no-code API integration these days.
Thank you Nitesh for sharing Pabbly Connect with the IndieHackers community.
@Devan We can certainly integrate with other SaaS applications that are good. I will love to connect with you. Send me a request on FB.
https://www.facebook.com/neeraj.aggrawal
Thanks Neeraj - will do!
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You have not read the article, and commenting based on title and assumption, are you?
They did not go through Sumo.
Yes. It's the independent lifetime deal launched by the team itself. So, no middleman or other vendors as such.
However, they do have affiliate program where they share 20% revenue.
Also, just FYI, AppSumo charge is a minimum 50%, but in few cases :) They generally charge 70% as per multiple online articles.
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I think it bears the same risk as any other company. My office is littered with hardware devices I bought which no longer work because the companies behind them have gone. Whether it is subscription or LTD, the risk is pretty much the same. I have had subscriptions with companies that have ceased to exist just as quickly as lifetime deals I've bought.
In days when even Fortune 500 companies can disappear in a short space of time, there is some questionability around the term 'lifetime deal'. Whose lifetime? You the user? The company offering the deal? The founder of that company? Does the contract end if the original company is bought by another? All valid questions, but I don't think there is a clear definition anywhere.
We recently went through the LTD thing with our own SaaS, and everyone who bought the deal was set up in our system as having their subscription expire on the 31st of December 2099. And guess what? We actually got customers emailing us asking what happens after that date? I am normally pretty good at looking ahead at where my business will be in 2 to 3 years, but 80 years is a bit of a stretch...
Thats the risk
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No need to write it, it’s statutory for Limited Liability companies. It might be nice to write it though.
IANAL
It’s also common sense. Buying a product from a business carries risk regardless. Using a credit card mitigated some of that risk. If they go bust the next day your CC might be able to refund you. If they go bust in 2022 you might be SOL.
This is why some people shy away from free or cheap offerings.