Wix Results Presentation Deck
Subscriptions that were and will be purchased by users that registered
during the quarter represent over $200 million in future value that we
expect to collect over the next six years without any additional marketing.
This strong performance illustrates the positive return we receive on recent
investments we have made in product and technology development as well as
our brand.
In Q1, 41% of new subscriptions came from users who registered and joined
Wix during the quarter. This improvement demonstrates the stronger
conversion of our new cohort. Of our gross new subscriptions, 59% came
from users who joined in prior quarters. These new subscriptions consist of
users that had already registered with Wix, were using our product, and
required no additional marketing dollars to purchase a premium subscription.
Our opportunity to convert a large cohort of existing users into subscriptions
is unique to our freemium business model.
We continue to benefit from optimization of our acquisition funnel, which has
enabled us to successfully capture more monthly subscriptions over the past
several quarters. During Q1, 65% of new subscriptions purchased were for
periods of one year or longer with the remaining 35% being monthly
subscriptions. As of the end of Q1, 82% of our subscriptions are for duration
of one year or longer.
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63%
37%
Q4'15
79%
% Gross New Subscriptions By Cohort
60% 62%
60%
63%
40%
Q1'16
38% 40%
Q2'16
Prior User Cohorts
77%
75%
% Gross New Subscriptions By Package
Duration
65%
37%
Q3'16 Q4'16 Q1'17
35%
21% 23% 25%
Q4'15 Q1'16 Q2'16 Q3'16
1 Year or Longer
Current User Cohort
59%
70%
41%
30%
65%
35%
Q4'16 Q1'17
Monthly
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