From a MicroConf-Talk by Rob Walling, Co-Founder of Drip. The links should take you directly to the relevant parts in the video.
His assumptions: Free trials with credit card up-front.
- Visitor/Trial conversion rate: 0.7-2.0% (depends on price point)
- Trial/Paid conversion rate: 40%-60% (lower if no credit card up-front)
- First 60⁄90 day churn: 20-40%
- Post 60⁄90 day churn: 4-7%
- Invent a category. Great, if you have a giant marketing budget or a lot of time. Not an option for bootstrappers or if time is important.
- ▶️ Take a position in a category
- Compare features. (Avoid this.)