Last updated: June 26, 2024
The following report shares data gathered between 2018-2023 from 80+ SaaS clients we worked with who offered their product through a freemium model. We first provide industry-wide averages for freemium conversion rates. We present both visitor to freemium conversion rates (the percentage of website visitors who sign up for free version of the software), and freemium to paid conversion rates (the percentage of free users who later purchase the full product). We then present average conversion rates for various types of freemium offerings and contrast them to free trial conversion rates.
Our findings are below:
Freemium Conversion Rates by SaaS Industry
| Industry | Visitor to Freemium | Freemium to Paid |
| Advertising/AdTech | 13.9% | 3.6% |
| Agriculture/AgTech | 11.9% | 4.5% |
| Communications | 12.1% | 3.5% |
| CRM | 12.8% | 3.4% |
| Cybersecurity | 11.9% | 3.3% |
| Education/EdTech | 13.9% | 2.6% |
| Enterprise | 11.8% | 3.4% |
| ERP | 14% | 4.8% |
| Financial/Fintech | 13.5% | 3.7% |
| Healthcare/MedTech | 15.3% | 4.0% |
| HR | 13.1% | 3.6% |
| IoT | 15.5% | 4.1% |
| Legal/LegalTech | 13.8% | 5.7% |
| Real Estate/PropTech | 12.2% | 3.4% |
| RegTech | 14.2% | 5.8% |
Saas Free Trial vs Freemium Conversion Rates
| Freemium Model | Description | Type | Conversion Rate |
| Traditional Freemium | Free-forever software that can function on its own, but has significantly limited features compared to the paid product. | Visitor to Freemium | 13.7% |
| Freemium to Paid | 3.7% | ||
| Land & Expand | Software that is free for individuals to acquire, but which requires a paid plan to use at an organization level. | Visitor to Freemium | 14.5% |
| Freemium to Paid | 3.0% | ||
| Freeware 2.0 | Free-forever, fully functional product with optional add-ons. | Visitor to Freemium | 13.2% |
| Freemium to Paid | 3.3% | ||
| Free Trial Type | Description | Type | Conversion Rate |
| Opt-In Free Trials | Opt-in free trials have higher visitor to trial conversion rates, as they don’t require visitors to input payment information before downloading. | Visitor to Free Trial | 7.8% |
| Free Trail to Paid | 17.8% | ||
| Opt-Out Free Trials | Opt-out free trials automatically convert users to paid subscriptions once the trial period ends. | Visitor to Free Trial | 2.4% |
| Free Trail to Paid | 49.9% |
Further Reading
For further reading, see our previous reports on SaaS metrics:
- SaaS Free Trial Conversion Rate Benchmarks
- B2B SaaS Funnel Conversion Benchmarks
- B2B SaaS Marketing KPIs: Behind the Numbers
- SaaS Benchmarks: 2025 Report
- The SaaS LTV to CAC Ratio
If you’d like to request a PDF copy of this report, reach out here.
