4. Revenue  >  Send An Expiry Warning

Send an expiry warning to reduce SaaS churn

Notifying users when their trial is about to expire will remind and motivate them to upgrade. The purpose of expiry warning is to nudge users so they don’t churn and continue using your software.

●●● FUNCTIONALITY

Squarespace

SquareSpace let users extend their trial in the warning email and also tells them what benefit they will get if they choose to upgrade.

Dropbox

Dropbox sends a short warning email to its users that reminds them, tells the benefit of upgrading, and offers multiple plans.

CloudApp

CloudApp has an amazing expiry warning email template that’s extremely personalized and relevant to user behavior.

How to use the technique

  • Send personalized warnings. The best expiry warnings are the ones that are highly personalized. Refer to usage data, pain points, challenges, how the app has been used so far, and relevant information in an email to boost engagement. Refer to our free churn optimization framework for more help.
  • Craft awesome email copy. Create a great email copy. The way how you craft copy is critical for conversions and reducing churn. Keep it short and relevant. Use small paragraphs, bullets, and subheadings. Use interactive media.
  • Tell users how much time they have to upgrade their account. Let them know what will happen if they will fail to upgrade.
  • Add a clear CTA. It is essential to have a clear and descriptive CTA in expiry warning emails. Explain how they can upgrade and continue using the app.
  • Share the benefits of upgrading the plan. An expiry warning doesn’t just have to be a warning rather it needs to explain benefits they have been enjoying and the benefits they will enjoy with a premium plan. Explain the difference between free and premium plan. This works best to minimize churn.
  • Provide help. Not all users are ready to upgrade while others are not sure whether they need to upgrade. Add customer support phone numbers and emails, and invite users to contact you for help.
  • Track conversions. Create multiple expiry warning templates and copies. Send on different timings. Monitor success rate and conversion rate. And select the best-performing sequence and template. Read more on the science of testing and tracking in our free ebook

Mistakes to avoid

  • Not highlighting app benefits. An expiry warning shouldn’t just be a warning email. Use it to pitch your premium plan. Explain the benefits. Make users realize that switching to premium is the best way to move forward.
  • Not extending the trial. What you do if users don’t convert? Don’t let them walk away just like that. Not offering trial extension is a big mistake that makes users churn. Offer an extension. Let them stay with you for a few more days. Try changing their mind during the extension period.

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Research evidence

Listrak analyzed email campaigns of over 950 retailers in a study to track open rates, click through rates, conversions, and revenue per email. Replenishment emails had the highest open rate (53.6%) which was the highest open rate for all the triggered email campaigns analyzed in the study. This shows the importance of sending expiry emails to users.

54%

This is an open rate of replenishment emails whic his the highest in comparison with other email types.


Related techniques SEE ALL THE TECHNIQUES >

Implement with our proven SaaS Churn Optimization Framework

Download a PDF with an exact process we use with our SaaS clients to research, define optimization opportunities and test.