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Moving an app to subscriptions — existing users, segmentation and who should subscribe

Dan Burcaw's (Nami ML, Feb 2022) advice for switching to subscriptions — grandfather existing buyers with lifetime access, target the model at new users, accept that subscription isn't for every cohort (lifetime, one-time "appetizers", ads), and tie behaviour cohorts to acquisition channels; plus Visualizee's one-time → monthly switch.

Updated 2026-10-24·2 sources·monetizationsubscriptionsbusiness-modellifetime-purchasesegmentation

Moving an app to subscriptions

Main source is from February 2022 (Storemaven podcast). The principles are durable; the platform context (custom product pages “launched a month ago”, IDFA loss) is dated.

TL;DR

  • Already in market? Be generous to existing users: give one-time buyers what they think they bought (lifetime access), let others keep going, and sell subscriptions to new users only — otherwise you spend brand currency on customer service and backlash.1
  • New app? Just start with a price and plan mix and treat it as the beginning of learning, not the end.2
  • Why subscriptions: consumers are used to them, Apple/Google encourage them (editorial matters), and outside games one-time IAP doesn’t recur — subscriptions fund ongoing development and reveal dissatisfaction early via churn.34
  • Subscription isn’t for everyone: offer lifetime to people who want to pay once, small one-time “appetizers” as a step up, or ad-supported access for cohorts you want but won’t monetise — it’s market segmentation, not tricking users.56
  • Visualizee’s switch from one-time payments to monthly subscriptions, together with a simpler UI, took it from ~$150 to ~$10K/month; Piotr’s lesson: charge subscriptions from day one.78

Details

Find who fits (Dan Burcaw). Combine behavioural cohorts (e.g. a casual user who opens once a month — decide whether to serve them at all) with the channels that bring each cohort. You may welcome casual users organically but not pay to acquire them.910

Optimising for the wrong group. Host Esther Schatz: in slots games, “free coins” messaging always lifts conversion, but those users leave when the coins run out — an A/B winner that loses money later. Define who you’re testing for before testing.11

Hard trial fits motivated categories. In fitness, a download implies internal drive to change, so a trial wall right away aligns with the user (8fit’s early paywall filtered for committed users); a weather or food app lacks that motivation.1213

Ask, don’t only track. Without IDFA, ask subscribers how they found you (common in SaaS sign-ups); right after purchase users are willing to share.14

Disagreements / caveats

See also

Footnotes

  1. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 34:56 — Dan Burcaw ↩

  2. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 36:13 — Dan Burcaw ↩

  3. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 12:51 — Dan Burcaw ↩

  4. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 14:23 — Dan Burcaw ↩

  5. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 15:44 — Dan Burcaw ↩

  6. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 17:09 — Dan Burcaw ↩

  7. I was stuck at $100 for 2 years until I made one change. Now my app makes $10K/month @ 07:12 — Piotr (Visualizee) ↩

  8. I was stuck at $100 for 2 years until I made one change. Now my app makes $10K/month @ 08:03 — Piotr (Visualizee) ↩

  9. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 17:59 — Dan Burcaw ↩

  10. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 18:53 — Dan Burcaw ↩

  11. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 20:24 — Esther Schatz ↩

  12. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 27:37 — Esther Schatz ↩

  13. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 29:09 — Dan Burcaw ↩

  14. Why and How to Develop Subscription-Based Apps with Dan Burcaw of Nami ML @ 23:18 — Dan Burcaw ↩