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0;text-align:center;-webkit-text-decoration:none;text-decoration:none}#amp-mobile-version-switcher>a:active,#amp-mobile-version-switcher>a:focus,#amp-mobile-version-switcher>a:hover{-webkit-text-decoration:underline;text-decoration:underline}</style> <style type="text/css" id="wp-custom-css"> /* You can add your own CSS here. Click the help icon above to learn more. */ </style> </head> <body class="post-template-default single single-post postid-1544 single-format-standard custom-background custom-header header-full-width content-sidebar"><div id="wrap"><div id="header"><div class="wrap"><div id="title-area"><p id="title"><a href="https://sixteenventures.com/">Customer-centric Growth by Lincoln Murphy</a></p><p id="description">Growth-oriented Customer Success</p></div></div></div><div id="subnav"><div class="wrap"><ul id="menu-page-menu" class="menu genesis-nav-menu menu-secondary"><li id="menu-item-2604" class="menu-item menu-item-type-custom menu-item-object-custom menu-item-home menu-item-2604"><a href="http://sixteenventures.com">Customer Success Articles</a></li> <li id="menu-item-8249" class="menu-item menu-item-type-custom menu-item-object-custom menu-item-8249"><a target="_blank" href="https://www.impactdemy.com/collections?ref=58b2b0">2024 CSM and Head of CS Training</a></li> <li id="menu-item-55" class="menu-item menu-item-type-post_type menu-item-object-page menu-item-55"><a rel="author" href="https://sixteenventures.com/lincoln-murphy-strategic-consultant">Customer Success Consulting</a></li> <li id="menu-item-8433" class="menu-item menu-item-type-custom menu-item-object-custom menu-item-8433"><a target="_blank" href="https://www.impactdemy.com/pages/impact-weekly-podcast">Customer Success Podcast</a></li> <li id="menu-item-8900" class="menu-item menu-item-type-custom menu-item-object-custom menu-item-8900"><a target="_blank" href="https://www.impactdemy.com/courses/fundamentals?ref=58b2b0">Free CS Fundamentals Course</a></li> </ul></div></div><div id="inner"><div class="wrap"><div id="content-sidebar-wrap"><div id="content" class="hfeed"><div class="post-1544 post type-post status-publish format-standard hentry category-conversion-rate-optimization-2 category-customer-acquisition category-free-trials category-growth-hacking category-marketing tag-app-store tag-apps tag-b2b tag-b2c tag-churn tag-cloud tag-cloud-computing tag-clv tag-continuity tag-conversion-rate-optimization tag-copywriting tag-cro tag-cta tag-design tag-form tag-free-trial tag-free-trials-2 tag-freemium-2 tag-funnel tag-iphone tag-landing-page tag-marketing-2 tag-metrics tag-price-testing tag-pricing-page tag-pricing-strategy-2 tag-psychology tag-saas tag-sales tag-sales-copy tag-sales-process tag-signup tag-software-as-a-service tag-startup tag-transparent-pricing tag-value-pricing tag-web-app tag-webapp entry"><h1 class="entry-title">SaaS Conversion Rate: A Simple Trick to DOUBLE Your Revenue</h1> <div class="post-info"><span class="date published time" title="2012-04-15T20:51:56-05:00">April 15, 2012</span> Article by <strong><a href="https://sixteenventures.com/lincoln-murphy-strategic-consultant" target="_blank">Lincoln Murphy</a></strong> </div><div class="entry-content"><p>When your Free Trial fails to convert customers, it drives down your SaaS conversion rate by doing exactly what it was designed to do.</p> <p>Think about that for a second.</p> <p>There I was working on a ‘Optimizing SaaS Conversions’ presentation and I wrote this statement:</p> <p><em><strong>For many SaaS & Web App vendors, 100% of sales come through your Free Trial.</strong></em></p> <p>Which took me down this path…</p> <p>But what if <em><strong>ONLY</strong></em> 10% of the people that enter your Free Trial convert to customers?</p> <p>That means that 90% of the people that enter your Free Trial leave and don’t become customers!</p> <p>This isn’t very complicated math, but I think that means <span style="background-color: #ffff00;"><em><strong>ONLY</strong></em> 10 out of every 100 people that enter your Free Trial become a customer</span>.</p> <p>But again, <em><strong>FULLY</strong></em> 100% of your sales are from people that went through your Free Trial and converted.</p> <p>Oddly, your attention and dollars go to getting more people into your Free Trial through advertising, content marketing, outbound and inbound sales, affiliate programs, marketplaces, or more likely… adding features because that’ll get’em!</p> <h2>SaaS Conversion Rate Trick</h2> <p>This makes no sense when you consider this little “trick.”</p> <p>If 100% of your customers come through the Free Trial, but your Free Trial is squeezing out 90% of the potential customers, and you were able to take your Free Trial from converting <em><strong>ONLY</strong></em> 10% to converting <em><strong>JUST</strong></em> 20% of the prospects to paying customers…</p> <p><span style="background-color: #ffff00;"><em><strong>YOU’LL DOUBLE YOUR REVENUE!</strong></em></span></p> <p>In fact, a company I helped recently with their SaaS conversion rate – <a href="http://projectbubble.com/" target="_blank">Project Bubble</a> – did just that when they increased free-to-paid conversions from their Free Trial by 240% in JUST 30 days and more than <em><strong>DOUBLED REVENUE!</strong></em></p> <p>Oh, and just like Project Bubble, if you optimize your Free Trial conversion process, you’ll double your revenue without spending a dime more on getting or buying additional site traffic, making more sales calls, etc… the potential customers are <em><strong>ALREADY IN YOUR FUNNEL</strong></em>… you’re just not converting them!</p> <p>So focusing some attention on improving your Free Trial conversion rate is a quick way to Double Revenue while cutting Customer Acquisition Costs by 50%, too. (if you spent $10 to get 10 prospects, and 1 converted, that is $10 CAC. If you get 2 conversions, that is $5 CAC.)</p> <p>Not bad, huh?</p> <h2>Let’s Optimize your SaaS Sales Funnel</h2> <p>For immediate consultation and advice on optimizing your Sales Funnel by improving Free Trial conversions, schedule a 60-minute meeting with me <a href="https://calendly.com/lincolnmurphy/clarity" target="_blank">via Clarity</a>. If you feel a more involved engagement is required for me to help you, <a href="mailto:lincoln.murphy@sixteenventures.com">email me</a> with the specifics of your situation (as much detail as you’re comfortable giving) and we’ll setup a meeting to work through the particulars.</p> <p>– <a href="mailto:lincoln.murphy@sixteenventures.com">Lincoln</a></p> </div><div class="author-box"><div><img alt='' src='https://secure.gravatar.com/avatar/3334de1f544b64f1d1b3383098d14892?s=80&d=mm&r=g' srcset='https://secure.gravatar.com/avatar/3334de1f544b64f1d1b3383098d14892?s=160&d=mm&r=g 2x' class='avatar avatar-80 photo' height='80' width='80' decoding='async'/> <strong>About Lincoln Murphy</strong><br /><p>I invented Customer Success. I focus primarily on Customer Engagement. <a href="https://sixteenventures.com/lincoln-murphy-strategic-consultant">Learn more about me here.</a></p> </div></div><div class="after-post widget-area"> <div id="recent-posts-3" class="widget widget_recent_entries"><div class="widget-wrap"> <h4 class="widget-title widgettitle">You should read these articles, too…</h4> <ul> <li> <a href="https://sixteenventures.com/true-cost-of-meetings">The True Cost of Meetings in Customer Success Management</a> </li> <li> <a href="https://sixteenventures.com/meetings-as-a-metric">Meetings as a Customer Success Metric: The Misguided Path</a> </li> <li> <a href="https://sixteenventures.com/no-goals-no-customer-success">No Goals, No Customer Success: Unlocking the Power of the Goal Discovery Framework</a> </li> <li> <a href="https://sixteenventures.com/revenue-roadblocks">Revenue Roadblocks: How We’re Sabotaging Our Own Growth</a> </li> <li> <a href="https://sixteenventures.com/bad-fit-vs-good-fit-customers">Good Fit vs. Bad Fit vs. Ideal Customers: The Key to Unlocking Sustainable Growth</a> </li> </ul> </div></div></div></div></div><div id="sidebar" class="sidebar widget-area"><div id="custom_html-2" class="widget_text widget widget_custom_html"><div class="widget_text widget-wrap"><div class="textwidget custom-html-widget"><div id="enews-ext-2" class="widget enews-widget"> <div class="widget-wrap"> <div class="enews"> <h4 class="widget-title widgettitle">Join the other 53,897 folks who get my emails and…</h4> <div style="text-align:left"> <ul> <li>Get the latest on <strong>ChatGPT, AI, & Prompt Engineering</strong></li> <li>Stay updated on <strong>Customer Success</strong> & <strong>RevOps</strong></li> <li>Take your <strong>Growth Strategy</strong> to the next level</li> <li>Learn about <strong>Psychology, Engagement, and More</strong>!</li> </ul> </div>  <form id="ck_subscribe_form" class="ck_subscribe_form" action="https://app.convertkit.com/landing_pages/256863/subscribe" data-remote="true"> <input type="hidden" value="{"form_style":"naked","embed_style":"inline","embed_trigger":"scroll_percentage","scroll_percentage":"70","delay_seconds":"10","display_position":"br","display_devices":"all","days_no_show":"15","converted_behavior":"show"}" id="ck_form_options"> <input type="hidden" name="id" value="256863" id="landing_page_id"> <input type="hidden" name="ck_form_recaptcha" value="" id="ck_form_recaptcha"> <div class="ck_errorArea"> <div id="ck_error_msg" style="display:none"> <p>There was an error submitting your subscription. 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