The Messy Monetization Test:

  • price testing analysis

  • revenue optimization

  • influencing leadership decisions

The pricing strategy that drives our business today came from your analysis during one of the messiest testing periods we’ve ever run.
— Client Stakeholder

I was brought in to analyze conversion rates across pricing experiments for a health tech startup's first revenue model, but discovered that sequential testing, mid-stream product changes, and incomplete churn data made clean analysis nearly impossible.

My role was to extract actionable insights from imperfect data, model tradeoffs between price points despite methodological limitations, and deliver pricing recommendations that leadership implemented with confidence, increasing customer LTV by 30%.

The Problem

The startup had operated as a free product for over two years before launching its first paid subscription model. Six months into monetization, leadership wanted to understand users' willingness to pay and optimize pricing across three subscription tiers: monthly, quarterly, and annual. I was tasked with analyzing conversion rates across 12 different price plans tested over 13 weeks to calculate customer acquisition costs and lifetime value. The challenge was that nothing about this testing was clean. Every price change happened sequentially rather than through A/B tests, making it nearly impossible to isolate causality. The onboarding flow changed twice during the testing period. Free trials were eliminated midway through. Each change introduced new variables that confounded the data. Churn data was incomplete because users hadn't stayed long enough to observe full retention cycles, forcing me to project lifetime value with partial information. Leadership acknowledged the situation was messy but needed to move forward, operating under the assumption that users acquired week-over-week were roughly comparable and that we could extract enough signal to make informed decisions.

The Solution

I segmented cohorts by entry date and subscription plan, treating each pricing period as a mini-experiment. I triangulated partial churn data by analyzing both cohort-based retention curves and average subscription lengths, then projected 12-month lifetime value using observed behavior and reasonable assumptions based on the six months of data available. Where product changes like free trial elimination showed no significant impact on conversion, I treated cohorts as comparable to maximize sample size and improve estimate reliability. I modeled tradeoffs between price, conversion rate, and retention across all 12 plans. The analysis revealed that $7.99/month had the highest conversion rate at approximately 6% but poor lifetime value, while $14.99/month offered the best balance of conversion and retention among top performers. I recommended $14.99/month, $29.99/quarter, and $89.99/year, prioritizing sustainable revenue over short-term signup rates. Leadership implemented the pricing structure, which remained in place for about a year and drove the business model until the company pivoted to a different approach. When presenting my findings, I walked leadership through my methodology, explained the tradeoffs, and framed the decision as a strategic choice about what mattered most to the business at this stage, ensuring they understood both the evidence and the limitations.

Core Skills Leveraged

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Analytical Engine

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Commercial Roadmap