Media Mecca
About
A startup launched a media application two years ago, employing a freemium model to attract a substantial user base. Presently, they aim to augment the app's features by introducing a premium version, enabling them to generate revenue.
Goal(s)
During the sign-up process, provide users with the option to subscribe to our premium product, granting them immediate access to its comprehensive range of benefits.
Offer returning free users the opportunity to upgrade to paid subscriptions during sign-in and while using the product, unlocking exclusive features and maximizing the value of our services.
Designer Role
Project Plan
A project plan was developed for a three-week redesign initiative.
Competitive Analysis
Typically, applications experience a conversion rate of 0.5% to 2.0% from free to premium users.
However, there is one company that stands head and shoulders above the rest.
Spotify’s Premium Conversion Reigns: 27% of Users
Spotify's premium service generates 88% of their revenue and contributes to 95% of their gross profit.
Strategies for Converting Free Users to Premium
Charge for ad removal: Users prefer an ad-free experience and are willing to pay for it.
Create desire for premium content: Limit access to certain features to motivate users to upgrade.
Use time-limited offers: Generate urgency with limited-time promotions or free trial periods.
Offer exclusive paid content: Reward paid users with exclusive content or in-app currency.
Design
User Flows
1.
New users will be greeted with an enticing offer to upgrade to premium, providing them with 30 days of free access. This offer will be prominently displayed on the first screen before the onboarding process.
2.
Returning users will find a prominent call-to-action button on the login page, allowing them to easily initiate their free trial.
3.
Users will encounter multiple opportunities to upgrade within the app, as a distinct premium icon will always be prominently displayed on the navigation bar, clearly distinguishing it from other options. Furthermore, intermittent media ads will be strategically placed, offering users a chance to upgrade and enticing them to do so.
Low Fidelity Wireframes
Drawing from extensive research and taking inspiration from successful strategies employed by Spotify, I developed the following design. Throughout the process, I kept the company's goals at the forefront of my mind to ensure alignment and effectiveness.
Remote Usability Testing
In the initial round of testing, I conducted five remote usability tests. Users were given specific tasks and asked to articulate their thought processes aloud as they completed them. This approach provided valuable insights into the user experience and allowed for iterative improvements.
Key Findings
The first page of the application was described as "aggressive, in your face, and straight to the point." However, some users felt that they had seen similar designs in other applications and were not enticed by it.
Users expressed confusion about the purpose of the application from the first page and emphasized the need for clear information about what MEDIA MECCA actually is.
The availability of a discounted rate for college students was appreciated by users.
The majority of users noticed the premium subscription icon on the navigation bar, indicating its prominent placement.
Users had mixed feelings about pop-up premium ads, with some finding them disruptive while others accepted them.
Transforming Findings into Meaningful Solutions
With the interviewees' feedback in mind, I proceeded to implement edits and improvements, as exemplified below:
I refined the initial screen to create a more welcoming and modern appearance, moving away from an assertive and aggressive style. To enhance clarity, I added a descriptive headline that clearly communicates the purpose and essence of MEDIA MECCA. Furthermore, I reorganized the text to improve readability and comprehension.
High Fidelity Screens
Validate: Round 2
In the second round of testing, I conducted an additional set of five remote usability tests. Users were given specific tasks and asked to verbally share their thoughts and insights as they completed the tasks. This approach allowed for further evaluation of the user experience and provided valuable feedback for further refinements.
Key Findings
Users encountered difficulty in editing their favorite artists, movies, or books during the onboarding process.
Users were unaware of the number of steps required to complete the onboarding process.
Returning users signing in did not have an immediate opportunity to upgrade until they were already signed in and on the home page.
Minor UI issues were observed, such as inconsistencies between sharp and rounded edges.
UI issues were present with the green fill over selected artists, movies, and books.
Final edits
To enhance usability, several improvements were implemented based on user feedback. These included addressing the issue of users not recognizing that "Shrek" was already selected, adding a progress indicator and a back button during onboarding. Additionally, the crucial issue of returning users not being able to upgrade until after logging in has been resolved, aligning with the startup company's goals.
Resulting Product
The final product is the result of comprehensive research, drawing inspiration from Spotify, and carefully considering user feedback and the company's objectives.
Conclusion
Recap:
Startups commonly focus on growing their user base before introducing premium subscription options. However, converting users to paying subscribers can be challenging, with a success rate ranging from 0.5% to 2%. Spotify, on the other hand, has achieved remarkable success, converting 27% of its users to premium subscribers and generating 95% of its gross revenue from subscriptions. Media Mecca aims to employ similar strategies to entice users to upgrade to our premium subscription.
Lessons Learned
During the free-to-paid conversion process, I recognized the significance of aligning design decisions with the company's goals. In the second round of usability testing, it became evident that returning users lacked an opportunity to upgrade on the sign-in page, highlighting the importance of addressing all aspects of the company's requirements. Furthermore, I discovered that employing an "in-your-face" or aggressive approach to premium conversion, exemplified by Spotify's use of pop-up ads and an assertive first page, can yield positive results.
In the future, Media Mecca could extend the prototype to encompass literature and movie media types. Simultaneously, the company will conduct tests to determine the optimal frequency and placement of ads, aiming to maximize conversions.