Why OfficeDrop Went Freemium… and how Mobile Apps forced their hand

Was OfficeDrop forced into Freemium at phone-point?

Healy Jones, VP Marketing at OfficeDrop, told me exactly how leveraging mobile apps made Freemium the right strategy for them.

Do you prefer to listen on the go? Download the .mp3 audio file (33.7MB) here.


Wistia has kindly donated business video hosting to me, which pretty much makes them awesome!

If you aren’t familiar with OfficeDrop, it is a really cool SaaS startup out of Boston that started out with the ethos of “web only”… no installed software.

Healy (@healyhoops on Twitter) goes into great detail about how they eventually started to use installed software on PCs and Macs to extend their cloud service – they have to integrate with peripherals like document scanners – and then moved into mobile device-native apps.

And that was what CHANGED EVERYTHING!

They realized mobile apps weren’t just an extension of the product functionality, but also a distribution channel to new customers.

While that sounds great, what they found forced them to make some massive changes… including adopting the Freemium model.

Healy also goes into detail on how they avoid commoditization in their pricing – especially around storage – and the surprising results they saw when they added a Free plan to their pricing page… it was not what they expected to happen.

Then we round out this amazingly awesome and mind-blowing conversation with some ideas on how to fire up your Free Trial conversion rates.

This is an awesome interview that you will learn a SUPER HUGE TON from and I can’t wait for you to watch it.

Tell me and Healy what you think in the comments…

About Lincoln Murphy

I am a Customer Success-driven Growth Consultant. I wrote the Customer Success book which you can buy at Amazon. If you need help growing your SaaS, request at least a 15-minute call with me via Clarity. Be sure to join my mailing list - I send awesome stuff to the list every week or so. Also, connect with me on LinkedIn or follow me on Twitter.

Comments

  1. Tying in mobile to existing SaaS solutions sounds like a smart way to provide additional value for customers as well as an additional distribution channel. Great move!

    • Thanks for the comment, Dan… you’re right, but there is a lot to be cautious about, too, as Healy mentions in the video. There is a right way and a wrong way to do native apps for SaaS vendors and this video covers both. – Lincoln

  2. Really nice video interview. We’ve gone back and forth about how to support freemium on our SAAS based product at well. For us the trick is really where to see the “paywall” levels, so that users just get a taste of immediate value, but to unlock the rest they quickly upgrade. As mentioned, you have to make your decisions from a data-driven perspective, so study your numbers (LVC, CPA), etc…

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