Study: -40% decrease in sales (easy trap)

You know this general rule: "The lower is friction - the higher are conversions."
MECLABS decreased friction on a checkout page and their sales decreased by 40%.

Here's what they did...

1. They had 3 different subscription lengths (1 month, 6 months, annual). The majority chose a monthly plan.

2. So they decided to only offer a monthly plan = eliminate one step = make the checkout process easier.

Result: 40% decrease in sales.

Why?

It turned out they broke 2 important rules:

1. Psychological reactance.
When we feel that someone tries to force us to do something ("Do this one thing"), we often respond in such a way that will re-assert that freedom ("I have choice, I won't do this"). In that case, leave the checkout.

2. Anchor pricing.
When you see only one price you have no idea whether it's good or bad.
But when you have 3 prices, you are able to compare them and choose the best.

Source: conversion.com


Cheers,
Charlie Patel ;)



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