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x2 Free-to-Paid Conversion

The Challenge

B2C, Generative AI

A generative AI tool with trial motion had strong activation but weak conversion. Users loved the product, they just weren't paying for it.

Results

→ 2× increase in free-to-paid conversion

→ +33% increase in ARPU

→ +24% month-over-month revenue growth

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1. Found the real usage pattern

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2. Ran financial analysis to design the pricing

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3. Redesigned the model to match behavior

→ Identified the core activation metric (what "active use" actually meant)

→ Ran the interview and discovered that users had a project-based, not daily-use, pattern

 Broke down current revenue: ARPU, conversion rate, CAC

→ Modeled usage-based pricing tiers against our cost structure

→ Found the package sizes that matched natural usage patterns while improving unit economics

→ Created the package selection UI and pricing page

→ Designed when and where to surface upgrade prompts (right after high-value sessions)

→ Built the purchase flow for one-time top-ups

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Case Studies

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24% increase in trial-to-paid conversion
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x5 MRR Growth from PLG  Motion
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