+30% Revenue Growth by Introducing a New Subscription Model
When growth stalls, sometimes the answer isn’t in marketing — it’s in pricing. Here’s how a single pricing experiment reshaped revenue strategy for one of TomTom’s core products.
Challenge
TomTom’s Truck Navigation app faced stagnant revenue and high churn. The existing subscription options didn’t align with user value perception or cash flow preferences. The challenge: find a pricing structure that drives both conversion and retention.
Results
+30% revenue increase in Truck Navigation vertical
Higher retention rates among annual subscribers
Lower acquisition costs through improved conversion efficiency
Insights that informed new product pricing architecture
+30%
Truck revenue increase
25%
Increase in user retention
84%
Increase in time spent on website
Process
Research & Analysis: We conducted user interviews, surveys, and analyzed in-app analytics to understand the pain points and user needs. We also studied competitor apps and industry trends to gather insights
Information Architecture: Based on the research findings, we restructured the app's navigation and content, prioritizing features and information according to user needs.
Wireframing & Prototyping: We designed low-fidelity wireframes to visualize the new layout and navigation, iteratively refining them based on user feedback. Afterward, we built a high-fidelity, interactive prototype to test the design.
Usability Testing: We conducted usability tests with a diverse group of users to validate the design and identify areas for improvement. Based on the feedback, we made necessary adjustments to the design.
Visual Design & Style Guide: We developed a cohesive visual language, including color schemes, typography, and iconography, ensuring consistency throughout the app. We also created a style guide to maintain design consistency in future updates.
Conclusion
The success of the 12-month subscription experiment proved that pricing is one of the most powerful growth levers. By validating assumptions with data, we unlocked both short-term revenue and long-term strategic flexibility.




