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AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Subscription apps fundamentals,
challenges & opportunities
@thomasbcn
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: Gadget360
Apple services’ growth driver
“Subscription model is a better way to go.
Subscription pricing is a better model,
the one where the customers are comfortable with.”
☺ the “only” way to lower the store fee down to 15% (after 12m)
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: AppAnnie, SensorTower , Appsflyer
Subscriptions : 96% of non-gaming store revenue
“In 2019, the share of apps measuring
subscriptions rose by nearly another 2x, with
a 150% increase in subscription revenue”
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Youtube & Tinder the biggest subs apps
Source: SensorTower
Note: Netflix, Spotify, others don’t charge in-app anymore
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: Nate Weiner
Retention
Subscriptions align user & developer interests
Provide continuous value to keep your subscribers alive
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Retention
Mechanics & tactics vary a lot by subcategories
• Content
• Motivation
• Utilities
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Retention
Segment by subscription status & re-engage your users accordingly
Free users ≠ Trialists ≠ Paying users
What experience do you provide to non-subscribers?
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Trials, refunds, renewals: Subscriptions funnels are complex
Warning: Benchmarks are scarce and mostly unreliable:
metrics vary vastly across duration, pricepoints, trial period, countries, OS, channels
Source: RevenueCat
Activation & Monetization
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: Eric Seufert
Monetization
LTV & payback models differ from ads & IAP
How valid are your models post Covid-19?
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Monetization
Iterate on your paywall (and how/when users reach it)
Source: Michal Langmajer
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Monetization
“Aggressive in-app communications might have a negative effect on your user retention,
even though it slightly increases the conversion to trial”, Michal Langmajer
Source: Michal Langmajer
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: Jakub Chour/Phiture
Monetization
Warning: pricing tests & personalization also raise data complexity
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: subclub.app revenue.cat
Monetization data
Store data is messy. So is building your own
“I wrote my own sub receipt
verification code server API things and
it slowly fails to handle more and
more subscribers, it was hell.
I discovered RevenueCat and we
immediately made hot switch”,
CoachGuitar CTO
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: Appfollow
Acquisition
Organic/ASO challenges
• Limited virality
• Free users retention
• Bad reviews…
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Source: Singular, SubClub.app
Acquisition
Paid UA challenges
• Communicate carefully
• Early data can be misleading
• VO rarely a good fit
AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020
Next : ask me anything
@thomasbcn

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Subscription Apps - @Thomasbcn at AGS

  • 1. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Subscription apps fundamentals, challenges & opportunities @thomasbcn
  • 2. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: Gadget360 Apple services’ growth driver “Subscription model is a better way to go. Subscription pricing is a better model, the one where the customers are comfortable with.” ☺ the “only” way to lower the store fee down to 15% (after 12m)
  • 3. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: AppAnnie, SensorTower , Appsflyer Subscriptions : 96% of non-gaming store revenue “In 2019, the share of apps measuring subscriptions rose by nearly another 2x, with a 150% increase in subscription revenue”
  • 4. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Youtube & Tinder the biggest subs apps Source: SensorTower Note: Netflix, Spotify, others don’t charge in-app anymore
  • 5. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: Nate Weiner Retention Subscriptions align user & developer interests Provide continuous value to keep your subscribers alive
  • 6. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Retention Mechanics & tactics vary a lot by subcategories • Content • Motivation • Utilities
  • 7. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Retention Segment by subscription status & re-engage your users accordingly Free users ≠ Trialists ≠ Paying users What experience do you provide to non-subscribers?
  • 8. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Trials, refunds, renewals: Subscriptions funnels are complex Warning: Benchmarks are scarce and mostly unreliable: metrics vary vastly across duration, pricepoints, trial period, countries, OS, channels Source: RevenueCat Activation & Monetization
  • 9. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: Eric Seufert Monetization LTV & payback models differ from ads & IAP How valid are your models post Covid-19?
  • 10. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Monetization Iterate on your paywall (and how/when users reach it) Source: Michal Langmajer
  • 11. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Monetization “Aggressive in-app communications might have a negative effect on your user retention, even though it slightly increases the conversion to trial”, Michal Langmajer Source: Michal Langmajer
  • 12. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: Jakub Chour/Phiture Monetization Warning: pricing tests & personalization also raise data complexity
  • 13. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: subclub.app revenue.cat Monetization data Store data is messy. So is building your own “I wrote my own sub receipt verification code server API things and it slowly fails to handle more and more subscribers, it was hell. I discovered RevenueCat and we immediately made hot switch”, CoachGuitar CTO
  • 14. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: Appfollow Acquisition Organic/ASO challenges • Limited virality • Free users retention • Bad reviews…
  • 15. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Source: Singular, SubClub.app Acquisition Paid UA challenges • Communicate carefully • Early data can be misleading • VO rarely a good fit
  • 16. AGS Virtual Summit Berlin – Subs apps @thomasbcn © 2020 Next : ask me anything @thomasbcn