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Planner 5D case study: how to increase ARPU by 25%

Planner 5D: how we increased ARPU by 25% We all want to earn more. When developing a new application, whether it's a game or a SaaS-service, you set a goal to get more money. And analytics - is the tool.

We all want to earn more. When developing a new application, whether it's a game or a SaaS-service, you set a goal to get more money. And analytics (especially in the case of mobile and web applications) - is a tool that serves this purpose. Therefore in devtodev we strive not only to integrate a new customer, but also help him to increase the financial performance.

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We want to tell you about one of these cases. We will speak about the service called Planner 5D, which lets you create detailed plans for the facilities and realistic interior design as a professional, without any special training.

We set a very simple goal: to increase ARPU (we are sure that you also want it). In fact, the increase in ARPU (assuming that the audience will remain the same) means an increase in income by the same percentage.

Say at once: we will not name specific values, except for the percentage growth. This data is under confidentiality.

 

First, the application was analyzed by the experts from devtodev, and the following features of the service were identified:

 

  1. The percentage of the paying users in the project is quite low by the standards of SaaS-services.

  2. What is more interesting, a high proportion of non-paying users visit the app regularly (once or more a day). Ie the proportion of those who could be monetized, is very high (from third to a half of all users).

  3. Lifetime of paying and non-paying users is about the same.

  4. Despite the significant difference in price, weekly, monthly and yearly subscriptions are purchased by about the same number of people.

  5. The project is connected to the social networks, however, it requires login and password to sign into each network.

 

The following recommendations were given on the basis of the identified features:

 

  1. Adjust the balance between premium and free versions of the application. Most users, even with a large number of sessions per day, prefer the free version - it is possible that the functional of the free version is too wide.

  2. Change the price of the weekly subscription, so that more people are able to see the benefits of the premium version.

  3. Introduce different promotions to convert non-paying users into paying users.

  4. Add the ability to automatically log in social networks.

  

 

Recommendations will stay recommendations, but the decision is always on the representatives of the service. What we decided to improve all in all:

 

  1. We reduced the amount of furniture in the catalog for the free version . In order to view the whole variety of the furniture, you need to buy the premium version.

  2. Weekly subscription was removed from the catalog, together with the two months subscription (only for the web version so far).

  3. The price for the monthly subscription was reduced.

  4. Discount coupons were released for the Android and web-versions of the service.

  5. Added the ability to automatically log in social networks (web-only version).

  6. We started to show ads to those users who didn't not purchase any subscriptions after three days of using the service.

 

The result was not long in coming:

ARPU increased by 25%. And we are sure that this is just the beginning.

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By this example, we want to show that the analytics should not be for the sake of analytics. Behind the graphs and numbers you may always find problems, bottlenecks and peculiarities of the service, and then work out recommendations how to eliminate these bottlenecks, solve problems and play on the peculiarities to eventually earn more money.

 

This is an important process that:

  • works;

  • should be constant.

We hope that our experience inspired you to the beginning of such changes. And if you have any questions or issues - I'll answer to any in the comments below!

 

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