Adding a shorter subscription option can actually increase purchases of your yearly plan. This counterintuitive pricing strategy can simultaneously increase conversion rates and average revenue per user through effective price anchoring.
"Not only did this increase subscription by 111%, but it also increased the amount of people that purchase the highest price. So we had people buying the yearly product more than when the only option was a yearly product, which is amazing, right? Increase ARPU, increase revenue, increase, etc., etc., just with like one simple change."
Unlocking Subscription Growth: A Data-Driven Approach at 21:55 · Featured in Growth Gems #127
This can depend on the app vertical, but it’s one of the reasons the “Blinkist timeline” was not always a win (at least when defaulting to yearly).

