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