Active Trials
Active Trials give you an overview of new customers who are currently in their trial period. This metric helps you understand how many potential customers are engaged with your product and the potential revenue they represent.
What are Active Trials?
Active Trials represent the number of new customers who are currently in their trial period. This includes the total value of active subscriptions that are currently on trial. Monitoring active trials helps you gauge the effectiveness of your trial offerings and predict future conversions. Here’s what is included:
- Active: The total value of active subscriptions that are currently on trial. This indicates the potential revenue if these trials convert to paid subscriptions.
- Canceled: The total value of trials that have been canceled. This helps you understand the monetary impact of trials that did not convert.
- Conversion rate: The percentage of new customers that are still in their trial period. It’s calculated by dividing the number of active trials by the total number of trials started, then multiplying by 100.
Active Trial Rate = (Number of Active Trials) / (Total Number of Trials Started) * 100
Why are Active Trials important?
Active Trials are important because they help you understand how many potential customers are engaged with your product and the potential revenue they represent. Here’s why this metric matters:
- Customer engagement insight: Monitoring active trials helps you gauge the level of interest and engagement from new customers.
- Revenue potential: The total value of active trials indicates the potential future revenue if these trials convert to paid subscriptions.
- Performance tracking: Understanding the active trial rate helps you track the effectiveness of your trial offerings and onboarding process.
- Customer feedback: Analyzing cancellations during the trial period can provide valuable feedback for improving your product or trial experience.
Actions you can take with active trials insights
- Enhance trial experience: Use feedback from active trial users to improve the trial experience, ensuring that it clearly demonstrates the value of your product.
- Optimize onboarding: Ensure that your onboarding process is smooth and helps trial users quickly understand how to use your product effectively.
- Engage with trial users: Regularly engage with trial users through emails, tutorials, or support to help them make the most of the trial period.
- Monitor and adjust: Regularly monitor your active trial rate and make necessary adjustments to your trial offerings and marketing strategies.
By understanding and regularly monitoring your Active Trials, you can gain valuable insights into how effectively your trials are engaging potential customers. This metric helps you make informed decisions that drive growth, improve customer acquisition, and ensure long-term success for your business.