Pricing Page Teardown - Miro's Pricing Strategy Unmasked
Patrick Campbell delves into Miro's background, critically analyzes its pricing page, and offers key takeaways on its freemium model, education plan, add-ons, and the importance of price localization.
This episode might reference ProfitWell and ProfitWell Recur. Some information may be out of date.
Overview of Miro
Miro is a board collaboration tool that is designed to enhance productivity and foster innovation among distributed teams. This online whiteboard platform allows teams to collaborate effectively anytime, anywhere. Miro has raised an impressive $476 million, indicating its strong position in the market. However, as with many thriving companies, there are aspects of Miro’s pricing strategy that require fine-tuning.
Background of Miro
Founded in 2011 by Andrey Khusid and Oleg Shardin, Miro emerged from the recognition of a need for a simple, unified visual collaboration tool. The platform is essentially a blank canvas that can be employed for a plethora of purposes such as brainstorming sessions, project planning, and design iterations. Miro’s toolkit is extensive, featuring sticky notes, freeform pens, shapes, pre-made templates, and the capacity to embed various media types. Moreover, it seamlessly integrates with a wide array of productivity tools including Google Suite, Microsoft Teams, Slack, and Jira. This makes it an effortless addition to existing workflows.
Reaction to Miro's Pricing Page
Upon examining Miro's pricing page, we find a great product slightly marred by its presentation. While Miro's landing page stands out with its unique positioning — boasting that 99% of the Fortune 100 are customers — the pricing page doesn't quite hit the mark. One key strength worth mentioning, however, is Miro's freemium plan.
Takeaways
Freemium
- Miro's primary offer is its freemium plan. Despite the limitations that come with this plan — one workspace with three editable boards — it serves a strategic purpose. It falls into the category of a "faux free trial", which provides enough access to reach the "aha moment" before introducing limitations that nudge users towards upgrading. It is a brilliant acquisition strategy, but it could be further improved by removing some feature restrictions.
Education Plan
- Miro has made a smart move by offering a substantial freemium plan to students and educators. This "start young" strategy fosters familiarity and loyalty among users who will likely continue to use the tool after graduation. It's a model that other paradigm-shifting products could potentially emulate to cultivate future customers.
Add-Ons
- The downside of Miro's pricing strategy lies in its scarcity of add-ons. Considering Miro's extensive customer base, this presents a significant missed opportunity. By introducing more add-ons — such as priority support — Miro could significantly increase its expansion revenue.
Localization
- Another area for improvement is price localization. Currently, Miro's pricing doesn't reflect the regional variations in currency or purchasing power. Correcting this could result in a revenue per customer uplift of about 30%.
Recap
Miro's product is impressive, and its freemium and education plans are examples of excellent strategy execution. However, there's room for improvement in the areas of add-ons and price localization. By addressing these, Miro could maximize its growth potential and better serve its global user base.
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