Internet Software Services
Meebox (now UnoEuro) provided web hosting and cloud hosting to private customers, entrepreneurs, and small businesses in Denmark.
The company used VWO to test its pricing page.
The objective of this campaign was to increase overall revenue for the business.
Meebox wanted to increase its revenue. Its original pricing page had basic information like cost per month, space, bandwidth, and domains, but did not mention discounts.
This is what the original page looked like:
Team Meebox wanted to test the hypothesis that offering discounts would increase the number of people who sign up. The team created a variation page that offered discounts to customers who locked in for a 2-year period.
This was the variation:
The variation was A/B tested against the original by using VWO. Discounts ranged from 20% to 40% for the highest plan.
The variation with price discounts increased revenue as well as the average order value (AOV) and the number of people who signed up. Here were the test results:
121.56% increase in revenue (98% chance to beat original)
46.24% increase in the average order value
51.85% increase in conversions (customers/visitors-to-page)
The key takeaway is to ensure that discounts to customers also enable your business to derive value. In this case, Meebox tied users to their service for 2 years by offering the discounts. It’s common knowledge that retaining existing customers is far easier than acquiring new ones. Such a lock-in also allows Meebox at least 24 months in which to cross-sell, up-sell, and promote additional services.
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