There’s an array of strategies that businesses can use to attract and convert potential users, one being trials. In this article, we talk about the ways trials help with acquiring customers, and specifically compare how Stripe, Chargebee, and Recurly approach trials.
Trials: A Gateway to Customer Acquisition
Trials play a crucial role in customer acquisition strategy for several reasons:
- Risk Reduction: Trials allow potential customers to test a product or service before making a financial commitment, reducing the perceived risk of the purchase and potentially increasing the likelihood of conversion. This is especially important for new or unfamiliar products, where customers may be hesitant to spend money without first trying the product.
- Product Familiarity: Trials provide an opportunity for users to become familiar with a product, leading to better user engagement and satisfaction once the user becomes a paying customer. This is particularly true for complex or feature-rich products, where users may need more time to explore all the capabilities and understand how to use them effectively.
- Data Collection: Trials enable businesses to collect data on user behavior and preferences, which can be used to improve the product and tailor marketing efforts. This data can be extremely valuable in identifying patterns and trends in user behavior, as well as understanding what features or aspects of the product are most appealing to potential customers.
- Conversion Optimization: Trials can be used as a tool for conversion optimization. By analyzing trial user behavior, businesses can identify bottlenecks in the conversion process and make necessary adjustments. This can include everything from simplifying the signup process to improving product messaging and communication during the trial period.
Comparing Trial Offerings of Stripe, Chargebee, and Recurly
Stripe provides a clear end behavior for trials, allowing for cancellation, pause, or invoice creation. This provides more flexibility for customers and can help increase conversion rates.
However, Stripe does have some limitations when it comes to trial offerings. For example, it does not support trial starts or trials for add-ons. Additionally, for paid trials, Stripe requires an invoice to be created, which can be an extra step that some customers may find inconvenient.
Chargebee's trial offering provides more flexibility when it comes to trial start and end dates, as it uses a timestamp to determine these values. This makes it easier to set up custom trial periods that suit your particular business needs. Additionally, Chargebee supports trials for add-ons, which can be useful for businesses that offer multiple products or services.
However, Chargebee can be more complicated to set up than some other platforms, particularly for non-free trials. Additionally, the webhook content for Chargebee is unknown, which can make it harder to integrate with other tools and services.
Recurly's trial offering is designed to be as simple and straightforward as possible. Additionally, Recurly automatically converts the trial to a paid subscription and notifies the customer accordingly.
However, Recurly does have some limitations when it comes to trial offerings. For example, it does not support trials for add-ons or allow free trials for products with a paid trial as default.
Each platform has its unique strengths and weaknesses when it comes to trial offerings. It's important to consider these factors when choosing a platform that best suits your customer acquisition strategy.
Additionally, it's worth noting that there are many other factors to consider when selecting a platform, such as pricing, features, and integrations. By taking the time to carefully evaluate your options, you can find a platform that meets your needs and helps you achieve your goals.