Hard Lessons Learned in the Land of the Free(mium)

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SaaS cardless free trials

Freemium has become a massively popular business model in SaaS in the last few years.

While it can look like the secret ingredient to success for many businesses, it doesn’t work for everyone. 

In this post, we’ll share how the team at Qwilr tried freemium, what happened, and what they learned.  

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Spreading Good Cheer Through Subscriptions This Holiday Season

That time of year is approaching, when sleigh bells are rung, dreidels spun—and retailers look forward to making their revenue numbers for the year. 

For retailers and shoppers alike, the holiday season officially kicks off on Black Friday followed by Cyber Monday, an even more popular shopping day. Last year, 67 million shoppers stole time away from work to make a dent in their holiday gift list on Cyber Monday. Overall, online purchases account for around 20% of holiday sales. 

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Recurly’s Promotional Toolkit Supports Subscriber Acquisition and Retention

Subscription businesses, like any other business, need to continually attract new customers—and of course, keep their existing customers happy. When businesses exceed all expectations, they may find themselves lauded in the trade press over these results, as AMC Theaters and Spotify were recently. AMC’s Stubs A-List movie ticket subscription service reported signing up over 900,000 subscribers last quarter, just 100,000 short of its one-year goal. Spotify reported reaching 108 million premium subscribers in Q2, representing a 31% increase year-over-year. 

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Winning Strategies for Subscriber Acquisition

The best things in life are free, or so the saying goes. In subscription commerce, free trial subscriptions are a proven customer acquisition tool. By letting prospective subscribers sample your product or service, they can experience your offering before deciding whether or not to subscribe. Offering free trials is particularly popular with digital goods, such as streaming video services, SaaS solutions, or other services accessed via the internet. But many businesses that ship physical goods to subscribers, such as “box of the month” businesses, also provide prospects with a free trial experience before asking them to commit.

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“No Credit Card Required” -- Increase Sign-Ups With Cardless Free Trials

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New Features cardless free trials

In marketing, making it as easy as possible for your prospects to test out your product or service can be a winning strategy. For subscription businesses, a free trial subscription is one way to do that. Customers get a taste of what you provide without having to commit to anything. However, having to enter payment information for something that’s free can add unnecessary friction, making your prospects less likely to sign up. A lost prospect is a lost opportunity to acquire a new customer.  

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