Mojo · B2C · social media video maker
Use a long scrolling paywall with reviews and a free vs pro comparison in Japan
New revenue +20% in Japan; failed in the US, where a clean video paywall won
What they did
What happened
In their words
How Mojo Increased ARPU 60% In Just Five Months – Michal Parizek, Mojo
David BarnardWere there any surprising results, like something that worked incredibly well in Brazil but was terrible in the US, or something amazing in Europe that failed in Latin America?
Michal ParizekMaybe one surprising thing was something what we've tested particularly in Asia. It was actually in Japan. It was a long scrolling paywall with a lot of information. There was lots of social proof or reviews. There was a clear comparison between the free tier and the pro tier, and that design actually worked incredibly well in Japan, driving, I think, 20% lift in new revenue. But actually the same design failed in the US. Actually in the US, more easy to read or more cleaner design with a slider and the videos in the background, and just very punchy messages work much better actually than the very in-depth and very descriptive design for Asia.
David BarnardYeah, that's fascinating. I did want to talk now about placements. So of course as with most subscription apps these days, Mojo does show a paywall on onboarding, but I was surprised to see the stats that only 50%, and I say only 50% because in the RevenueCat data we see more like 80% of payers across the entire subscription industry happen in that first day. So what else have you done to drive those conversions after that initial onboarding?
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More from this episode
- Show only the yearly plan first; tuck monthly behind a 'view all plans' buttonYearly plan uptake up ~15-20 points; one of three tests behind a 60% ARPU lift
- Show the yearly plan as about $10 a month next to the $25 monthly planNew revenue +10% in the US and +30-40% in Brazil and Mexico
- Price below the US-equivalent in Brazil and Mexico instead of just converting currencyLower prices won; part of the 60% ARPU lift, no separate number
- Judge every paywall and price test on revenue per user in the first 7 daysChosen to shorten payback and fund more ad spend; worked well per guest
- Check 7-day cancellations before keeping a higher price that won on early revenueRejected a winning higher price after a yearlong model showed lost long-term revenue
- Retest each winning paywall in every key market before rolling it outSeveral winners shipped only in some markets; ARPU of new cohorts kept rising
- Show free users a paywall when they open the app, at most once a week~15% of new revenue from existing users; no complaints in reviews or support
- Keep lots of features and content free on purposeOnly ~50% of payers convert on day one vs ~80% industry-wide
- Run separate paywall tests at once in US, Europe and Latin America every week or twoSignificant results in 1-2 weeks per bucket; enabled the 60% ARPU lift in five months
Tags: paywall-design, social-proof, long-paywall, japan