Show how much money customers are saving by choosing for an annual plan

Recently I listened to a talk by Jason Cohen, founder of WP Engine, about starting a self-funded business. One of his tips was to clearly show how much money customers would save by choosing their annual plan.

Jason added this trick to WP Engine and since then never removed it again (which probably means it’s working!)

To increase your annual sales, add the following copy to your price page.

• Annual discount applied!

• Billed at $X $Y/yr.

• You're saving $X by getting Y months free with annual prepay.

And, if you’re not offering annual pricing yet, what are you waiting for? Annual pricing is a great way to get some extra cash in the bank. Some companies also prefer to pay annually, because it gives them one invoice instead of twelve per year.