3min snip

Lenny's Podcast: Product | Growth | Career cover image

Elena Verna on how B2B growth is changing, product-led growth, product-led sales, why you should go freemium not trial, what features to make free, and much more

Lenny's Podcast: Product | Growth | Career

NOTE

Premium vs Trials: Understanding the Difference

Premium and trial models both allow for some free usage of a product, but trial adds a superficial time component on top of that usage. This can be problematic because the amount of time it takes for different users to try a product can vary greatly. Small startups may only need 24-48 hours, while large enterprises may need a month. If a trial is only seven days, it alienates large enterprises and only caters to small startups. This is why creating a superficial time component in trials is not a good measure of how long it will take to get value from the product. Instead, a usage-based premium model, like MongoDB's community cluster, allows users to play around with the product without time constraints. This type of premium model is more beneficial as it doesn't force users into a time-bound environment where time is not a relevant usage metric.

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