GTM Sauce

Sub Club by RevenueCat · 2024-07-10

Growing to $1M MRR with Paywall and Pricing Experiments — Francescu Santoni, Mojo

Mojo co-founder and CEO Francescu Santoni on pivoting from a hyped but low-retention YC-backed AR text app to Mojo, a social video editor launched on Product Hunt after two months with a subscription from day one (30 trials on day zero). Mojo reached over $1M MRR, 40M+ downloads and a team of 30. Covers the onboarding paywall, quarter-by-quarter paywall and price experiments run by one dedicated person (ARPU up ~50%), built-in virality from animated story posters, influencer seeding in Brazil, yearly-plan-driven UA payback and deliberately deferring CRM.

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10 tactics

Mojo · B2C · social video editing app

30 free trials on launch day, against a goal of one

After the pivot, took about two months (with two founders plus an intern) to build a glitchy alpha and launched it on Product Hunt. Added a subscription from day zero as the demand signal: $10/month (they had considered $1) with a 30-day free trial so nobody paid by accident. No onboarding paywall for the first few years, so trials reflected actual interest. Success bar set in advance: one trial from a country other than France.

Workedvalidationpaywall
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Still brings in most free trials today

After Apple's App Store team told them they were not pushing the paywall enough, the first paywall experiment moved the existing paywall, unchanged, to the end of onboarding. The team had resisted because users had not tried the app yet, but users get a free trial first.

Workedpaywallonboarding
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Many experiments run by one person; founder credits it for monetization gains

One dedicated monetization hire (Michal, data-minded, documents everything) owns paywall, pricing and onboarding experiments using Superwall and RevenueCat, borrowing a developer only when needed. One focus per quarter, in order: (1) paywall position, (2) totally different paywall concepts (video, minimal text, scrolling, trial reminder/timeline), (3) localized paywalls per country, (4) smaller changes within the winning paywall, (5) price tests.

Workedexperimentationpaywall
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Revenue per user up about 50%; lighter users churn more

Benchmarked prices of video and photo editing apps and chose to charge more than most, targeting prosumers such as small businesses and agencies (some users run agencies on Mojo with freelancers), since casual users give weak signal in a freemium app. Raised prices through tests; annual price now around $60-70. Accepts complaints in reviews and interviews from casual users.

Mixedpricingpositioning-niche
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Tested and rolled out; founder says the effect was positive, no numbers

Noticed Turkish inflation had eroded the local price point. The monetization lead tested a +100% price in Turkey and then rolled it out.

Workedpricinglocalization
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Grew to several hundred thousand dollars a month with $0 on ads

Mojo invented animated posters in Instagram stories, a format that did not exist. When viewers saw an ordinary person post one, they asked in DMs how it was made and users recommended the app, with no referral mechanism. Advice: make the app's output visible and distinctive rather than bolting on share cards or referral features later.

Workedproduct-viralityword-of-mouth
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Unprofitable at first; Brazil took off weeks later and is now a top 3-5 country

Before shifting to using creator content as ads, paid influencers to post on their own accounts in several countries, including Brazil.

Mixedinfluencermarket-selection
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Skips LTV prediction entirely; no results reported

With SKAdNetwork limiting attribution, the UA lead (running Apple Search Ads, Meta and TikTok on an ROI basis) gave up on predicted LTV and instead pushed the yearly plan so cohorts pay back in roughly 30 days.

Unknownanalytics-attributionpricing
Sub Club by RevenueCat · 2024-07-10

Split everything by country and by platform (iOS/Android). Day to day, attribute trial starts to the same week's ad spend. For longer-term budget allocation, use blended cohorts: users acquired by a period's spend, per country and platform. RevenueCat is one source of new-user data. Planned next: a hybrid rule that re-counts users inactive for about 30 days as new, since heavy spend re-acquires past users.

Unknownanalytics-attribution
Sub Club by RevenueCat · 2024-07-10

Mojo · B2C · social video editing app

Reached $1M+ monthly revenue without CRM; expected gain was single digits

Deliberately postponed CRM (lifecycle messaging) even past $1M MRR: the top five languages cover no more than two thirds of users, so localized CRM would take a lot of effort for an expected single-digit growth gain. Put the effort into monetization experiments and AI video features instead; plans to add some CRM later.

Unknownteam-processemail
Sub Club by RevenueCat · 2024-07-10

Numbers mentioned

WhoMetricValueContextWhen
MojomrrUSD 1M/month
approximate
Over $1M MRR; host relays figure the guest shared in prep
Mojodownloads40M downloads
approximate
Over 40 million
Mojoteam size30 people
approximate
Mojo founders' augmented reality 3D text app (pre-pivot)downloadshundreds of thousands in a few months
approximate
Mojotime to milestone2 months
approximate
Time from pivot to first (alpha) version launched on Product Hunt; 'two full months, a bit more'
MojopriceUSD 10/monthLaunch subscription price, with a 30-day free trial; founders had considered $1/month
Mojotrial starts30 trials/day
approximate
Launch day (day zero) trial starts; the founders' success bar was one trial from an unknown country
Mojosharemost of the trials
estimate
Share of trial starts coming from the onboarding paywall, still today
Mojoshare33%
approximate
US share of revenue (number one country)
MojopriceUSD 60–70/year
approximate
Annual price as quoted by users complaining in interviews and App Store reviews
Mojoarpu+50%
approximate
ARPU increase from price increases and testing (transcribed as 'IRP')
Mojoprice+100%
approximate
Price increase in Turkey to account for inflation, tested then rolled out
Mojoteam size1 peoplePeople dedicated to monetization (paywalls, pricing, onboarding experiments); borrows a developer occasionally
Mojoad spendUSD 0No acquisition spend until revenue reached several hundred thousand dollars per month; growth came from shared outputs
Mojomrrseveral hundred thousand dollars
approximate
Revenue level reached with zero acquisition spend
Mojorank3–5
approximate
Brazil's rank among Mojo's countries today, after an unprofitable influencer campaign seeded it
Mojopayback period30 days
goal
Target payback on paid UA cohorts, enabled by pushing the yearly plan
Mojoshare67%
approximate
Top five languages combined account for no more than two thirds of the user base
Mojogrowth ratesingle digit
estimate
Expected growth from adding CRM, given language fragmentation