Retest higher prices you once rejected; double the yearly price if it breaks even

David BernardYeah, absolutely. So I know you've done some price testing in the in the past. Explain some of the price testing that led up to this. Kind of the the lessons you learned as you tried these other prices.

Patrick RillsWe didn't come about keeping the price at $40 lightly over those years. We have been testing constantly up and down the demand curve. We've tested everything from, over the years, from $5 a year to $120 a year. And usually what you find is that when you raise the price, conversions go down, and when you lower the price, conversions go up of course. But usually, it doesn't net out. Like we felt like, at $40, with the sale system that we had, we were at a pretty good equilibrium. Like we couldn't figure out a pricing structure that could beat it consistently. However, in late 2024, we started price testing again as, you know, phones are getting more expensive, our competitors are getting a lot more expensive. And so we decided to test it again, like maybe they're on to something. And when we tested it, for the for the first time it broke even. So I'd say like the the net, the net broke even. That was quite a surprise for us because that had never happened before. And so we tested it again on iOS and on Android, on different cohorts of users, new users, existing users, reactivated users. We kept getting similar results. We felt pretty confident that raising the price, we were not going to lose any money. If this is really going to unlock paid acquisition and some other things, such as the marginal cost of AI features for us, then why not do it? It gives our marketing team so much more room to operate.

David BernardSince you did these experiments way back in 2024, and you didn't fully adopt that new price until 2026, I imagine you have a lot of data to be able to look at retention. One of the things about increasing price is that in RevenueCat's data that we share in the report, we do see higher retention at lower prices. Now, that's not always going to be the case. You know, sometimes higher-priced products do retain better, but just in general, we do see …

David BernardRight.

Patrick Rillsusually when you release something out in the wild, it's like a little bit different, but so far, it has held up to our experiment results. And that that is a credit to our growth marketing team and our product team. They really tested this rigorously, really analyzed the data. And so so far, it's been holding up very, very well. Uh we're very excited about it.

David BernardAwesome. Well, I think that's a great place to wrap up. Uh anything you wanted to share as we wrap up? Uh I'll put a a link to uh Lose It! and your LinkedIn in the show notes, but anything else you want to shout out as we wrap up?