Simplified Pricing, Better Conversion

We had 6 options for a user to choose from whenever they want to upgrade to one of our paid plans. We had two types of plans based on usage (silver and gold) and three types of subscriptions (monthly, half-yearly and yearly). This led to a lot of cognitive load / decision paradox to a potential premium customer. We also got this feedback when we attended a SaaS conference back in Jan (https://www.indiehackers.com/post/learnings-from-saasboomi-f23bdbff0d).

So we worked on simplifying it. Using data from our current subscriptions, we brought the number of options down from 6 to 2. We now have only one premium plan and two types of subscriptions (monthly and yearly).

In the process, we also took a piece of common advice seen in many of the IH posts - to double our pricing.

We launched this last week and have received payments from one customer for the yearly plan and two customers for monthly plans. The time to convert has also gone down. This makes us believe that the decision of increasing prices was a step in the right direction. Thank you fellow IH'ers for giving us the courage to do so by sharing your stories! 🙌

One thought that we have in mind is that we might lose out on some customers who are price-sensitive and therefore, would not convert on higher pricing. What are your thoughts on this? Did you ever have to lower your prices again after increasing it?