Field Report
Explore how ClickUp, a leading project management software company, implemented the Haggle method to optimise its pricing strategy, gain new insights, and drive growth. ClickUp recognised the importance of pricing and quantified buyer personas as key drivers of customer acquisition and retention, and they sought a unique experimentation approach to empower customers and personalise their pricing.
ClickUp offers a comprehensive suite of project management tools designed to enhance team collaboration and productivity. As the project management software market became increasingly competitive, ClickUp aimed to differentiate itself by implementing a dynamic and customer-centric pricing strategy.
The Haggle empowers your customers to negotiate the price and terms of their purchase. Instead of presenting just a fixed pricing model, this method gives customers a chance to present their own offer by asking them how much they are willing to pay and for how many users or units.
By providing customers with this level of control over the transaction, they are more likely to feel invested in the product or service and perceive greater value from the purchase. With this, you'll be able to tap into a broader audience that may have previously been untapped, while still remaining within a viable profit range.
The Haggle method empowers ClickUp to optimise their pricing strategy and effectively convert their target market. It ensures they capture maximum value without leaving money on the table, while also allowing customers to feel like they've secured a great deal through negotiations.
ClickUp embraced the Haggle method as a way to involve customers in the pricing process and create a sense of ownership over the value they received.
Instead of just presenting their pricing plan tiers, ClickUp introduced a "Make a Deal" feature, inviting potential customers to submit their desired price and the number of users they needed for their teams.
When customers clicked this feature, they were presented with a form to specify their desired pricing and feature preferences. The form allowed customers to choose the specific paid plan they wanted to make a deal on, indicate the number of team members they need, and select their preferred payment frequency, whether monthly or yearly. Customers were also given the opportunity to provide additional information or specific requirements they had for their desired plan.
By implementing the Haggle method, ClickUp achieved several benefits. First and foremost, it allowed ClickUp to learn more about their customers and identify specific buyer personas and their willingness to pay. Capturing these early insights are by far the most important lessons learned.
Secondly, it opened the door for ClickUp to reach a wider audience, such as individuals and smaller teams that might have been deterred by fixed pricing tiers. It allowed customers to feel a sense of control and customisation over their pricing, leading to increased customer satisfaction and conversion. Lastly, the Haggle method fostered a spirit of collaboration and dialogue with customers, strengthening the customer-product relationship.
However, implementing the Haggle method also presented some challenges. ClickUp needed to carefully balance revenue considerations and ensure that the negotiated prices were within acceptable ranges. They also needed to manage the expectations of customers who might submit unrealistic or overly discounted offers. For those customers that complained, ClickUp offered 3 free months to apologise for not meeting expectations. But the lessons learnt far outweighed the cost of giving temporary free access to those customers.
Implementing the Haggle method provided ClickUp with invaluable insights into customer preferences and willingness to pay, enabling targeted quantified buyer persona strategies. Moreover, it eliminated barriers for individuals and smaller teams who may have been deterred by fixed pricing tiers, resulting in increased satisfaction and conversion rates.
ClickUp's commitment to meeting customer needs through a unique pricing structure that aligned with customer preferences and dynamic buyer personas set them apart. By utilising the Haggle method, they were ready to optimise, test their pricing strategy and drive new growth.
Discover the power of the Haggle method and more by unlocking a world of possibilities with our Cultivate Methods Database. Access the full range of methods to gain valuable insights, enhance customer satisfaction, and propel your ideas forward.
This field report marks the beginning of an exciting series that delves into the realm of real-world experimentation. Through a collection of in-depth field reports, we explore how industry leaders employ experimentation and innovative methods to validate and propel the growth of their products. You’ll will gain inspiration and ideas on how to implement these very same techniques within your own startup or organisation.
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