Paddle worked closely with the MacPaw team to ensure that the shift to SaaS was a steady process, closely informed by customer feedback.
The first stage was to test the subscription model and ensure it was viable with a sufficient number of existing customers.
For a six-month period prior to the launch of CleanMyMac X, the first SaaS edition of the product, Paddle helped MacPaw to **A/B test** its pricing by channel and geography – working to identify the sweet spot that would maximize both the subscription cost and conversion rate.
Once this testing had been completed and CleanMyMac X was launched as a primarily SaaS product (with an option for one-off purchase), the focus shifted to maximizing retention of new subscription customers.
Paddle implemented its end-to-end Optimised Payment Acceptance via global infrastructure of banks, payment processors and card companies to maximize checkout and renewal payment acceptance in addition to other features as auto-updating of expired cards to ensure customers can continue to pay for their subscriptions. Intelligent Payment Dunning in order to maximize the rate of successful payments even if it failed initially. Email Dunning helps create and send optimized pre-billing and payment failure messages to customers.
Paddle has also supported MacPaw in transitioning how they set their financial targets and KPIs to be a better fit with SaaS. This included reducing the focus on checkout conversion rate and more emphasis on customer retention, monthly recurring revenue, and customer lifetime value.
Launching subscriptions also required a communications strategy to demonstrate the additional value customers receive under the subscription model - Quicker release cycles, improved customer experience, and more. This was paramount to not alienate their existing customer base.
Finally, Paddle is helping MacPaw to develop the next stage of its SaaS evolution: a ‘customer cabinet’ that provides a one-stop-shop for users to manage their subscription, add new licenses and access upgrades or other products. The hub is seen as an important enabler of both ongoing customer retention and future revenue growth.