So RevenueCat (where I was fortunate enough to be the first investor) now is the embedded mobile subscription API for 30,000 (!) mobile apps, across 290,000,000 subscribers and $6.7 Billion in tracked revenue.
So they do have interesting data.
Their 2024 State of Subscription Apps Report is out, and here were my top learnings:
#1. 70% of Mobile Subscription Apps Now Offer Free Trials, At Least in Part. That’s way up from 60% in 2023.
PLG is a work-in-progress for many browser apps, but on mobile, you just have to move faster. We can see that in the push for even more free trials.
#2. Mobile Subscription Pricing is Flat, Not Up
This is interesting. I suspect it’s because of the huge friction in mobile of moving beyond organic price points like $9.99 a month. Organic price points almost seem to have evaporated for many browser-first apps, where everyone seems has tacked on another $1.50 or $2.50 a month to pricing, especially for the existing base.
#3. 85.1% of Business Mobile App Trials Start in the First 24 Hours
This is another area where mobile is way, way ahead of most browser-based apps. Too many of us settle for glacial times to deployment, and are too slow to onboard new customers. Do better here. In mobile, you have to, or folks are just on to the next app. No one outside of the enterprise wants to buy today and deploy next month.
#4. Conversions Are Down 3% From Last Year
Yes, it’s tougher out there. Maybe just a little tougher than last year, but tougher.
#5. 74% of Mobile Business Apps Renew. And the Top Mobile Apps See 4.5x Better Retention Than the Lowest Quartile.
The best mobile business apps see 74% renewal rates, vs. 63% or so for the median, and 48% or so more lower quartile. It really pays to lean in on retention, especially if you sell to SMBs. You really need to be in the upper quartile.
So much good stuff in here. You may not be mobile-first. But that doesn’t mean you can’t learn from our mobile-first brothers and sisters. It’s actually even harder over there. So in many ways, they have to be better. Especially in UI/UX, onboarding, and conversions.
The full report here:
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- Source: https://www.saastr.com/revenuecat-free-trials-are-way-up-pricing-is-stable-in-mobile-subscriptions/
