Hello Friends 👋🏾,
One of the interesting thing about doing what I do, is I get to see many companies relearn the same lessons.
Generally this is fun (& validating) to see. It is even more so when three of the biggest companies a learning the chops of a new industry.
Today, I want to talk about how Uber, Snapchat and Walmart learned the power of preselecting annual plans through experiments they ran in the past 90 days
Experiments
Uber One: in November 2023, Uber one tested making annual the default preselected plan. The experiment won 🕺💃.
Snapchat+ On the opposite end of the spectrum, in September 2023 Snapchat+ experimented with replacing the default annual plan with a discounted monthly plan. The experiment lost and they reverted back to having annual be the default.
Walmart+ independently also came to the same realization, that preselecting the annual plan is much better for their business. Here is the experiment they ran in October.
Annual plans FTW,Ali Abouelatta