Free-trial conversion (opt-in vs opt-out)
CC requirement trades volume for far higher conversion.
- Formula
- Trials -> paid / trials started
- Unit
- %
- Models
- SaaS, Subscription
| opt-in (no credit card) good | 4%–6% | Kyle Poyar; First Page Sage |
| opt-in (no credit card) great | 10%–15% | Kyle Poyar; First Page Sage |
| opt-out (credit card required) good | 25%–35% | Kyle Poyar; First Page Sage |
| opt-out (credit card required) great | 50%–60% | Kyle Poyar; First Page Sage |
What it is
Free-trial conversion measures the percentage of free trial starters who convert to a paid subscription. The formula is trials converted to paid divided by total trials started. The opt-in vs. opt-out distinction (no credit card vs. credit card required at trial start) is essential context because the two mechanisms produce structurally different conversion rates and trial quality.
How to calculate it
Divide the number of trial users who converted to a paid plan by the number of users who started a trial in the same cohort, expressed as a percentage. Measure conversion within a defined window (e.g., within 30 days of trial end) to make cohorts comparable. Track both trial start volume and trial conversion rate separately, as changes in either metric have distinct product and marketing implications.
Why it matters
Trial conversion is the critical handoff from acquisition to revenue and directly determines how much of your acquisition spend translates into paying customers. The opt-in vs. opt-out design choice is a deliberate tradeoff: opt-out trials inflate conversion rates but also attract lower-intent users who forget to cancel, creating churn risk and potential refund exposure. Opt-in trials attract higher-intent users but require stronger product value delivery during the trial window to overcome conversion friction.
Benchmarks & pitfalls
According to Kyle Poyar and First Page Sage (2026), opt-in (no credit card) trial conversion benchmarks are 4–6% for "good" and 10–15% for "great." Opt-out (credit card required) trials convert at 25–35% good and 50–60% great — rates that appear dramatically higher but reflect a different user population and funnel design. The most important pitfall is comparing opt-in and opt-out conversion rates directly, as they are not measuring the same thing. Additionally, opt-out trial volume is inherently lower (credit card friction reduces trial starts), so headline trial-start growth and conversion rate should both be tracked to avoid a false sense of scale.