Monthy based or yearly subscription on Products?

Abhishek Dutta
19 replies
which ones sell more and how do you keep the recurring revenue on monthly plans?

Replies

Veeresh Devireddy
If there is a good discount then I would go for yearly or try for a month.
Share
Business Marketing with Nika
minimalist phone: creating folders
minimalist phone: creating folders
I think that both plans are good but it depends on the perspective. I would buy monthly just to "test" the product. If I am satisfied, I do not have a problem to purchase extended version.
Share
Quico Benford
Adding value consistently helps me keep monthly plans, but yearly plans sell more when discounts are clear.
Share
Mitchell Benn
Offering a big savings boost makes yearly plans a hit. For monthly, I focus on delivering steady value.
DINOM OFFICIAL
I like the flexibility of monthly subscriptions; it's less risky upfront. But yearly plans are tempting with the discount. Good customer service and a product I actually use are more important than the subscription type. I'll choose what fits my budget and the value I get.
Share
Liam Patrick Sullivan
I prefer monthly subscriptions for SaaS products. It gives me the flexibility to test out the product without a long-term commitment. If I find the product valuable after a month or two, I'm happy to switch to an annual plan for the discount. The key is ensuring the product delivers enough value to justify the ongoing subscription, whether monthly or yearly.
Daniel James Harris
I believe it depends on your product and target customers. For lower-priced products or ones people may want to try out first, monthly can work well to lower commitment. For higher-value products people tend to use long-term, annual pricing with a discount can incentivize people to go all-in. Many SaaS companies offer both - e.g. $10/month or $100/year. Letting customers choose their preferred option maximizes your potential customer base.
Share
Tom Nick
Bundling perks with yearly plans works well for me, and monthly subscribers stay longer when I connect often.
Share
Evak Chan
If the product is new to the market, monthly subscription typically attract more users because of their lower upfront costs and minimal commitment. However, for well-established products, yearly subscriptions often dominate.
Share
Egor Slyusarchuk
To some degree, the concept of subscriptions is built around the idea of earning money from users who pay but either don’t use the product or use it infrequently. As a user, I would prefer to pay only for what I consume and not commit to any subscriptions. However, as a product manager, my main question is: what can I afford to do? If I can implement a six-month or annual subscription without causing a decline in the user base, I will go for it. This approach allows me to predict revenue and expenses more accurately and ensures smoother business growth.
Share
Sonu Goswami
@abhishek_ux If a product offers a 15-day free trial followed by only a yearly subscription, it targets long-term commitment and offers savings with the yearly plan.
Morgan Harriss
Do you think those extra benefits help drive more sales
Share
Dua Afzal
I’ve always wondered if people find monthly plans easier to commit to. It feels like less of a risk compared to a yearly plan
Share
Talbot Wilhite
In my experience, people seem to go for monthly plans when they’re testing out a product
Ashish Parmar
Most people start with the monthly plan for a month to see if it suits their needs. If they find it useful, they switch to the yearly plan.
Share
Gabriel Luke
Yearly subscriptions bring me stability, but monthly plans need constant touchpoints to keep users happy.
Share
Saturnina Brigante
Monthly subscriptions tend to be more popular because they give customers flexibility, especially with products they might use often
Share
Yanina Marchione
If I am running a service or digital product monthly plans are usually more successful.
Share
Kajal Kumari
A monthly plan usually appeals to people who want a flexible risk-free way to try out products without a big commitment.
Share