GTM Sauce

Sub Club by RevenueCat · 2026-04-15

12 AI Growth Lessons for Subscription Apps – Phil Carter, Elemental Growth

Growth advisor Phil Carter (Elemental Growth) gives 12 AI-era lessons along his subscription value loop. Mostly secondhand examples: Tolan onboarding, Runna/Ladder personalization, Wispr Flow and Granola triggers, Gamma PLG and cheap LLMs, Runna at 400+ ad concepts/month, Photoroom leading ads with AI features to open emerging markets, Duolingo Max tiers. Hardest evidence: two anonymized clients, a multi-step paywall move to freemium (+75% LTV/user) and a failed freemium switch (-50%+ conversion).

Play the episode

15 tactics

Tolan · B2C · AI alien companion app

Advisor credits it as a big part of their success; no numbers

In the first minute or two, an 'oracle' asks the user questions about themselves; answers are used to match them with a Tolan that has its own personality, and the app explains why they were matched. The user is then quickly dropped into a voice-to-voice chat with the AI creature, which reacts to their answers in near real time. The match result is shown as a shareable personality-profile infographic.

Workedonboardingproduct-activation
Sub Club by RevenueCat · 2026-04-15

Tolan · B2C · AI alien companion app

Advisor calls it a viral artifact people share; no numbers

After the onboarding quiz matches the user with a Tolan, the app shows an infographic of the Tolan's personality profile and how it maps to the user's, designed to be shared.

Unknownproduct-viralityonboarding
Sub Club by RevenueCat · 2026-04-15

Runna · B2C · running training plan app

Won the race-training niche; later bought by Strava

Runna skipped the casual tracking market Strava owned and targeted runners training for a specific race (marathon, 10K) with a customized plan that adapts to logged runs. Ladder similarly mapped segments (home vs gym, men vs women), sized each pocket, recruited coaches/personalities to attract each one, and adjusts sets and weights from logged workouts (progressive overload). Onboarding quiz answers seed the personalization.

Workedpositioning-nicheproduct-activation
Sub Club by RevenueCat · 2026-04-15

Wispr Flow · B2C · voice dictation app

Guest now uses voice nearly as much as typing; no company numbers

Granola links to the user's calendar and sends a desktop/mobile notification before each meeting, which is useful on its own and reminds them to turn on AI notes. Wispr Flow keeps a small black sliver widget at the bottom of the laptop screen (press-and-hold Fn to dictate) that later became a Dynamic Island-like element popping up tips to deepen usage; on iOS it also ships a keyboard with a quick dictation button.

Workedretentionnotifications
Sub Club by RevenueCat · 2026-04-15

StudyFetch · B2C · AI study app for students

No results shared

StudyFetch ships many AI features for college students (lecture recording, turning handwritten or digital notes into outlines/takeaways, extracting key terms from an uploaded diagram). Phil recommends shipping monthly to daily and announcing each feature on TikTok, Instagram and Discord so shipping doubles as acquisition.

Unknownfeature-developmentorganic-short-video
Sub Club by RevenueCat · 2026-04-15

Runna · B2C · running training plan app

400+ concepts/month; said to lower CAC and speed up learning

Marketing team used AI tools (e.g. ElevenLabs for voice, video generators) to increase ad creative concepts from tens to 400+ per month, testing them on Meta and TikTok to find and double down on winners faster; learnings also feed product roadmap decisions.

Workedpaid-social
Sub Club by RevenueCat · 2026-04-15

Practitioner pattern · Phil Carter (Sells growth advisory services to consumer subscription apps (Elemental Growth); Tolan and StudyFetch are clients.)

Advisor's standing advice to clients; no numbers

Avoid fully AI-generated ads (e.g. Veo 3 generating person, voice and music end to end) because quality isn't fully convincing, fake testimonials break FTC rules, and consumers react badly when they detect AI. Instead shoot real people, then use ElevenLabs to translate one spokesperson into ~30 languages and Suno to layer multiple background tracks on one 30-second YouTube/TikTok ad to test which performs best.

Unknownpaid-sociallocalization
Sub Club by RevenueCat · 2026-04-15

Photoroom · B2C · AI photo editing app

Lower CAC, higher conversion; opened Mexico, Brazil and Indonesia

After launching AI background removal/replacement, Photoroom led its Meta and TikTok ad concepts with the AI feature, placed within the first six seconds of the ad. This lifted conversion enough to make paid acquisition work in cheaper-CPM emerging markets (Mexico, Brazil, Indonesia) that previously didn't pencil out.

Workedpaid-socialmarket-selection
Sub Club by RevenueCat · 2026-04-15

Gamma · AI presentation maker

Grew with very little paid acquisition; valued at $2B+

Every presentation/website made in Gamma is shared inside companies and at conferences (personal/social viral loops), and published 'gammas' get indexed by search engines and cited in ChatGPT/Claude answers (SEO/AEO), bringing in new users without ad spend.

Workedproduct-viralityseo
Sub Club by RevenueCat · 2026-04-15

Gamma · AI presentation maker

Profitable 6 months after launch; faster product and lower compute costs

In early versions of AI presentations, Gamma picked long-tail models (not always frontier OpenAI/Anthropic ones) where quality was good enough, gaining speed and much lower compute cost. Phil's rule: frontier models for bleeding-edge prosumer use where cost is no object; cheaper models for price-sensitive consumers, factoring in fast-falling model prices over 6-12 months.

Workedfeature-development
Sub Club by RevenueCat · 2026-04-15

Notion · notes and wiki workspace

Drove organic adoption of Notion AI and better new-user retention; no numbers

When launching Notion AI in 2023, Notion reused its early community playbook: early AI adopters on YouTube, TikTok, Instagram and Discord posted how they used Notion AI, shared templates and databases, and tips to get value out of it.

Workedcommunityinfluencer
Sub Club by RevenueCat · 2026-04-15

A consumer subscription app · B2C · Elemental Growth client

+75% LTV per user (other pricing changes made at the same time)

Replaced a single hard paywall with a multi-step paywall: the product is free forever, but users are invited to try the best version free for 7 days, then asked to keep paying for it. Rolled out with other pricing and packaging optimizations. Phil warns it only suits highly retentive products; hard paywall is right for most apps.

Workedpaywallpricing
Sub Club by RevenueCat · 2026-04-15

A consumer subscription app · B2C · Elemental Growth client

Subscriber conversion fell 50%+; reverted after a couple of weeks

Client attempted a shift from hard paywall to freemium; pulled back after a couple of weeks. Learnings are informing a planned second attempt.

Failedpaywall
Sub Club by RevenueCat · 2026-04-15

Basic plan gets non-AI features and a limited taste of AI; full/unlimited AI (e.g. Duolingo Max's voice role-play with Lily) requires a higher Pro/Max tier, to cover compute costs. Also seen at Perplexity, ChatGPT, Claude, ElevenLabs, Tolan.

Unknownpricing
Sub Club by RevenueCat · 2026-04-15

Tolan launched with a 7-day free trial and has adjusted trial length and its premium/free offering over time, to avoid free users running up compute costs and churning.

Unknownpaywallpricing
Sub Club by RevenueCat · 2026-04-15

Numbers mentioned

WhoMetricValueContextWhen
aggregateSubscription apps in RevenueCat's State of Subscription Apps report, 2023-2024share70–75%
approximate
Share of trial starts happening on day 0 (install day)
aggregateSubscription apps in RevenueCat's latest State of Subscription Apps reportshare80%
approximate
Share of trial starts happening on day 0; 'over 80%', almost 90% in some categories
aggregateSubscription apps in RevenueCat's State of Subscription Apps report: hard paywall vs freemiumltv5 x
approximate
Hard paywalls perform ~5x better than freemium (host cites as LTV/conversion); Phil confirms 'it does convert 5X better'
Runnacount400 creative concepts/month
approximate
Ad creative concepts produced per month by the marketing team using AI tools, up from 'tens' per month
GammavaluationUSD 2,000M
estimate
Series B from Andreessen Horowitz; 'north of' $2B
Gammatime to milestone6 months
approximate
From AI presentations launch (March 2023) to profitability
Cal AIpriceUSD 30/year
approximate
Annual subscription price; host credits the low entry price as part of its success
Elemental Growth client that moved from hard paywall to freemiumltv+75%LTV per user after moving from hard paywall to freemium with a multi-step paywall plus other pricing/packaging changes
Elemental Growth client whose freemium test failedconversion rate+-50%
approximate
Subscriber conversion after switching from hard paywall to freemium; 'more than a 50% reduction'; reverted after a couple of weeks