How Customizable Trial Periods Can Drive Conversions for Your SaaS Business

Introduction

As the famous quote by Albert Einstein goes, “The definition of insanity is doing the same thing over and over again and expecting different results.” When it comes to SaaS, offering a generic, one-size-fits-all trial period may lead to disappointing results. Research shows that trial conversion rates can vary significantly based on how the trial experience is structured, ranging anywhere from 25% to 60%. A traditional trial approach simply doesn’t cut it anymore. Customizable trial periods, however, offer users control and the flexibility to experience your product on their own terms, significantly boosting conversion rates and user satisfaction. Here’s how customizable trial periods can drive SaaS conversions, and the essential steps for implementing them successfully.

1. The Power of Customizable Trial Periods

Customizable trial periods allow SaaS businesses to meet the diverse needs of their audience. A blanket trial period might not be ideal for everyone—some users may only need a short time to decide if a tool works for them, while others may require more in-depth exploration. Customizing the trial based on user preferences—such as trial length or feature access—enables you to give them exactly what they need, increasing the likelihood that they will convert to paid users.

In fact, research by Epsilon revealed that 80% of consumers are more likely to make a purchase when brands offer personalized experiences. This statistic is especially relevant in SaaS, where users are evaluating whether your product aligns with their needs and goals. By offering them control over their trial experience, you build trust and engagement.

For instance, HubSpot CRM provides a tailored trial experience, offering different guidance based on the user’s business size and needs. As a result, users feel more comfortable and are more likely to sign up for a full subscription. This approach drives an increase in trial-to-paid conversion rates as users engage more deeply with the product.

2. Benefits of Customizable Trials in SaaS

Customizable trial periods offer several benefits that can enhance both user experience and your SaaS conversion rates.

• Increased Engagement: When users feel they have control over their trial experience, whether through customizing the length of the trial or the features they wish to explore, they are more likely to engage deeply with the product. Engaged users are significantly more likely to convert. Research from Totango shows that engaged trial users are 4 times more likely to become paying customers compared to disengaged users.
• User-Centric Experience: Customization helps meet users where they are in their decision-making process. For example, if your product has multiple features, giving users the option to explore only the features most relevant to them can help reduce overwhelm and focus their attention on the product’s core value.
• Higher Conversion Rates: A customized SaaS trial period can shorten the decision-making process for users. Instead of wasting time on unnecessary features or facing trial expirations too soon, users can explore the product at their own pace and convert when they are ready. Intercom, for example, saw a 30% increase in conversion rates after offering trials where users could select their preferred features.

3. Types of Customizable Trial Periods

There’s no one-size-fits-all solution when it comes to customizable trials. The most effective trials will be those that reflect the needs and preferences of your target audience. Here are some examples of trial structures that work:

• Time-Based Trials: Offer users the ability to select the length of their trial, such as 7 days for smaller businesses or 30 days for larger enterprises. This model allows you to cater to different user segments and their specific evaluation timelines. For instance, FreshBooks offers an extended trial for enterprises, giving them more time to explore the software’s deeper capabilities.
• Feature-Limited Trials: Some users may only need access to a subset of your product during their trial. By limiting the number of features, you can ensure that users engage with the core functionality without feeling overwhelmed. A great example of this is Canva, which allows users to access a basic version for free but encourages them to upgrade for additional features like advanced templates, storage, and tools.
• Usage-Based Trials: Instead of a time-based or feature-limited model, offer users a trial based on usage limits. For example, allow users to create a set number of documents, projects, or transactions during the trial period. Dropbox uses this model effectively, giving users free storage space, and as they reach their limit, they are prompted to upgrade for more space.

Customizable trial periods require careful planning and execution. Here’s how you can implement them in your SaaS business:

• Implementing Trial PeriodsStep 1: Gather User Insights

Understanding your users is crucial when designing a customizable trial. What features are they most likely to use? How long do they need to explore your product? This data can be gathered through customer surveys, feedback forms, and analyzing how users currently interact with your trial offering. Use tools like Hotjar or Google Analytics to gather user behavior data and pinpoint which features are most engaging.

For example, Dropbox conducted in-depth research on the varying needs of individual users versus larger teams, which led to them offering different trial durations and onboarding experiences based on company size.

• Step 2: Track User Engagement

Once you’ve set up a customizable trial, monitor how users are interacting with your product. If engagement is high but conversion is low, it may indicate that your trial period is too short or the features available don’t align with user needs. Mixpanel or Amplitude can track user actions, providing valuable data on where users drop off in the trial phase.

For instance, if you notice that users who sign up for a 30-day trial are highly engaged for the first week but disengage later, you can adjust your approach by offering them additional features or personalized follow-up content at key points during the trial.

• Step 3: Personalize Onboarding and Support

Custom onboarding is key for ensuring that trial users understand the value of your product quickly. Offer tailored resources, such as walkthroughs, videos, or even live chats with support teams, based on the trial type chosen. Slack provides a great example of this, where enterprise clients get dedicated onboarding and support, ensuring that users fully integrate the product into their daily operations.

• Step 4: Communicate Trial Expiry and Offer Upgrades

As the trial period nears its end, send timely and personalized reminders that encourage users to convert. Highlight how the product can solve their pain points or showcase additional features they haven’t fully explored yet. Offer a discount or bonus feature as a limited-time incentive. Adobe does this effectively by offering discounts to users as their trial period ends, ensuring they’re more likely to convert.

• Step 5: Offer Post-Trial Incentives

Sometimes, users need that extra nudge to convert. Offering discounts or additional perks, such as free premium features for the first month, can make a significant difference. For example, FreshBooks gives users a 20% discount on their first three months if they convert within 24 hours of the trial ending. This urgency tactic can be highly effective in increasing conversion rates.

5. Overcoming Common Challenges

While customizable trials are an excellent strategy, they come with challenges. For instance, a diverse set of trials might overwhelm users, making it harder for them to decide which one suits them best. To mitigate this, you can simplify the decision-making process by guiding users to the right trial based on their profile or usage history.

Another challenge is preventing free riders. You can address this by requiring payment information upfront (with a clear indication that they can cancel anytime) or limiting the trial to one per account.

Lastly, managing a large number of trial types can create support challenges. Invest in an efficient self-service help center, chatbots, or FAQs that address specific trial-related questions. This minimizes the strain on your support team and empowers users to find answers on their own.

6. Real-World Impact: Case Studies

Dropbox’s customizable trials for larger teams resulted in a 32% higher conversion rate. By offering flexible trial options tailored to users’ needs, they saw better engagement and, ultimately, more users upgrading to paid plans.

Similarly, Intercom increased its conversion rate by 30% after allowing users to choose which features they wanted to explore during their trial. Users who felt their needs were met were far more likely to continue with the product.

Conclusion

Customizable trial periods are an incredibly effective way to increase conversion rates in your SaaS business. By offering personalized experiences that allow users to tailor the trial to their needs, you foster deeper engagement, trust, and long-term loyalty. Start by gathering user insights, tracking engagement, and continuously refining your approach. The key is to align your trial offerings with user needs to ensure that you’re not just attracting trial users, but converting them into loyal, paying customers.

Ready to see how customizable trials can boost your SaaS conversions? Schedule a demo with MYFUNDBOX today and discover how our tailored subscription billing and management solutions can take your business to the next level. Don’t miss out on unlocking the full potential of your product!