Trial vs. Refund: What Should I choose for my AI App?

Hi Product Hunt community! 👋

I’m currently in the process of finalizing the offer strategy for a new product, and I need your input. Specifically, I’m torn between offering a trial period versus a refund policy for customers. I’d love to hear your thoughts on both options.

Trial Period

Pros:

• Low barrier to entry for new users.

• Allows customers to test out the product before making a commitment.

• Builds trust and encourages engagement.

Cons:

• Add noises for conversion.

Refund Policy

Pros:

• Reassures users that they can get their money back if it doesn’t work out.

• Can drive sales by reducing the perceived risk.

• More flexibility for customers who may be on the fence about the product.

Cons:

• Barrier to onboarding due to payment blockage.

That's said:

• When do you think each option works best? Should trials be reserved for high-ticket products, or are they useful for all kinds of software?

• What approach have you taken in the past for your product? How did you measure success?

I’d love to hear any tips or real-life examples of how you’ve implemented these, and how you decided which to choose.

Looking forward to learn from all of the experts here.