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She turned down $500k a year in brand deals to build trust. Result? A trial CVR of 68%.

Blog post from RevenueCat

Post Details
Company
Date Published
Author
David Barnard
Word Count
788
Language
English
Hacker News Points
-
Summary

Nancy Anderson, founder of the Natal App, achieved a significant increase in subscription rates by removing the free trial from the monthly option, a decision inspired by a Sub Club podcast episode. This move, which led to a 2,000% rise in monthly subscriptions, aligns with her belief that building trust before the paywall eliminates the need for trials. Despite having a premium price point of $25 a month, Natal boasts a 68% trial conversion rate, significantly higher than the industry average, which Anderson attributes to trust developed through personalized customer engagement. Anderson emphasizes the importance of addressing every user inquiry with real experts, a costly but crucial investment that contributes to the app's success, including a 20% ARR growth in Q1. Additionally, Natal's acceptance of Health Savings Account (HSA) payments has unlocked a new audience, allowing users to leverage pre-tax dollars for programs that qualify as corrective exercise. This strategic move offers a substantial growth opportunity by reducing out-of-pocket costs for users and capitalizing on the end-of-year HSA spending deadline.