User Acquisition and Revenue Growth Through Targeted Optimization

Through targeted product optimization, strategic feature segmentation, and data-driven A/B testing, Innovecs helped a leading SaaS platform expand its user base, boost free-to-paid conversions, and achieve record-breaking revenue growth.
High Tech

Challenge

The product needed to expand its user base and increase revenue conversion rates from free to paid tiers, with only 2.3% of free users converting to paid subscriptions and user acquisition costs increasing by 40% year-over-year.

Solution

  • Implemented technological hypotheses for user acquisition and strategically extracted individual services from the main product to attract new user segments.

  • Optimized the user journey and conversion funnel through A/B testing 15 different conversion flows.

  • Identified key friction points and implemented targeted improvements.

Technologies Used

Amplitude
Customer.io
Google Analytics
Intercom
LaunchDarkly
Mixpanel
Optimizely
PayPal
React
Segment
Stripe
Vue.js

Results

45%
user base growth
196%
improvement of free-to-paid conversion rate (increased to 6.8%)
28% decrease
in user acquisition costs
80% increase
in monthly recurring revenue over 12 months

Business Value

  • Expanded Market Reach

    Attracts new audience segments through targeted acquisition strategies and feature segmentation.

  • Improved Conversion Rates

    Increases the percentage of free users upgrading to paid plans by optimizing conversion flows and removing friction points.

  • Reduced Acquisition Costs

    Makes user acquisition more cost-efficient through data-driven targeting and onboarding improvements.

  • Stronger Revenue Streams

    Enhances recurring revenue potential with seamless payment integrations and better monetization strategies.

  • Data-Driven Growth

    Empowers continuous optimization by leveraging advanced analytics and controlled experimentation.

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Karyna Prykhodko Innovecs
Karyna Prykhodko
Delivery Manager
User acquisition costs go high and revenue drops?

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