How Momentum Labs grows

From 2015-2016, rather than build from scratch against incumbents, Momentum Labs bought apps with proven product-market fit that ranked 3rd, 4th or 5th in their category, aiming to move each up two or three spots. The logic: category share is a power law (#1 ~45%, #2 ~25%, #3 ~15%, #4 ~7%), so each spot roughly doubles revenue. They judge success on stable grossing-chart position, not bought download rank. Paid 'fair prices for great businesses'; stopped buying at end of 2019 when prices rose.

None of the guest's apps has ever offered a free trial; Healthi has a free tier and a paid Pro plan. His reasons: a card-upfront trial creates two moments of pause (entering the card, then deciding at day 7/14) and takes something away, while freemium lets users hit the upgrade screen from a positive experience with a clear free limit. He advises A/B testing which features sit behind the paywall ('put this feature on the side of the paywall, now move it free').

When Momentum Labs acquires an app, it does a lot of ASO work and cleanup up front, then deliberately barely touches it afterwards, prioritizing longevity and consistency of ranking performance.