Optimal Free Trial Duration for SaaS or Mobile App Subscriptions: The Importance of Time to Value (TTV)

Are you grappling with the question of how long your free trial should last for your SaaS or mobile app subscription?

Should you look at what others are doing and take an average?

Hold on!

That approach might not yield the best results. Instead, the key lies in understanding your product’s Time to Value (TTV) to determine the most effective free trial duration.

In this article, we’ll explore the concept of TTV and its significance in setting the perfect free trial period for your offering.

What is Time to Value (TTV)?

Time to Value (TTV) is the duration between the moment a user signs up or downloads your product and when they receive the full value of your offering.

It essentially measures the time it takes for a user to realize the benefits and experience the core value of your SaaS or mobile app.

The Importance of TTV in Free Trial Duration

Choosing the right free trial duration is crucial for customer acquisition and retention.

A trial period that is too short might not allow users enough time to grasp the true value of your product, resulting in missed conversion opportunities.

On the other hand, an excessively long trial could lead to users taking your product for granted or even losing interest before making a purchase.

Aligning Free Trial Duration with TTV

The secret to determining the ideal free trial duration lies in aligning it with your product’s Time to Value.

Here’s a practical approach to finding the right fit:

Measure Your TTV: Analyze user behavior and data to identify how long it takes, on average, for users to experience the full benefits of your product. Keep in mind that the TTV can vary across different user segments or features.

Set a Realistic Trial Period: Once you have a clear understanding of your TTV, you can confidently set a trial duration that gives users ample time to experience the core value of your offering. If your TTV is short (e.g., 5 to 10 minutes), a one-week trial might be sufficient. However, if your TTV extends to 15 days, it wouldn’t make sense to offer a free trial of fewer than 30 days.

Offer a Taste of Value: During the trial period, focus on delivering value quickly. Ensure that users can access key features and experience tangible benefits early on. This will engage users and motivate them to explore further, ultimately increasing the likelihood of conversion.

Monitor Conversion Rates: Keep a close eye on the conversion rates during the trial period. If you notice a significant drop-off before users reach the full value of your product, it might indicate that your trial duration needs adjustment.

Conclusion

In conclusion, determining the duration of your free trial for a SaaS or mobile app subscription is not a one-size-fits-all approach. Relying on industry averages may not align with the unique aspects of your product and its Time to Value. By understanding your TTV and basing your free trial duration on it, you can optimize customer acquisition, retention, and overall satisfaction. Offering users enough time to experience the full benefits of your product will increase the likelihood of converting trial users into loyal paying customers.

Remember, the goal is not just to entice users with a free trial but to provide them with a taste of the value you offer, making them eager to continue using your product beyond the trial period.