• Product Monk
  • Posts
  • And Calm is Ruling the Wellness Industry...

And Calm is Ruling the Wellness Industry...

here's how it became Apple’s App of the Year in 2017

Hey there 🖐

I want you to be honest and tell me how many times a day you curse what you are doing because it is getting on your nerves 😕 - be it your college, office, or even tasks as simple as house chores.

I bet those moments are when you want to be in a magical world - peaceful weather to calm you down, birds chirping instead of people's voices, running waters instead of rushing vehicles, and more 😇

But what if I tell you this particular application can let you feel just that from wherever you are?

Imagine you are standing at the edge of a peaceful lake, the early morning mist gently lifting as the sun begins to rise 🤗 The world is calm, your mind is clear, and you feel a deep sense of peace.

This calm scene occupies the essence of Calm, a meditation app designed to bring moments of peace and mindfulness into the hustle and bustle of your everyday life.

Launched in 2012, Calm set out on a mission to help people navigate stress and find mental clarity. Here’s how it captured the hearts of millions and became a leading force in the wellness industry 🤔

Key Takeaways for PMs

  • Leverage Freemium Models: Offering a free version with an option to upgrade allows users to experience value before committing financially.

  • Utilize Influencer Partnerships: Collaborations with celebrities and influencers can significantly boost brand visibility and credibility.

  • Diversify Distribution Channels: Ensuring availability across multiple platforms and partnerships can maximize reach and accessibility.

  • Focus on High-Quality Content: Consistently providing valuable and engaging content helps retain users and encourages word-of-mouth referrals.

  • Engage with the Community: Building and nurturing a community around your product boosts loyalty and improves user experience.

What type of content do you find most effective in retaining users?

Login or Subscribe to participate in polls.

Calm

Calm is a subscription-based meditation app designed to improve mental well-being through various mindfulness and relaxation tools. Launched in 2012, Calm offers a complete suite of features that reduce stress, improve sleep, and promote overall mental health. Some of such features include:

  • Guided Meditations: Sessions range from a few minutes to an hour, covering topics like stress reduction, anxiety management, focus, and self-improvement.

  • Sleep Stories: Bedtime stories for adults, narrated by well-known voices, designed to help users unwind and fall asleep.

  • Breathing Exercises: Techniques to help users practice mindful breathing, which can reduce stress and increase focus.

  • Music and Soundscapes: Curated playlists and nature sounds to help relaxation, concentration, or sleep.

  • Masterclasses: Expert-led courses on mindfulness and wellness topics, providing deeper insights and practices.

Calm's user-friendly interface and vast content library make it accessible to beginners and experienced practitioners of meditation.

Target Market

Calm targets people like you, from busy professionals juggling work-life balance to stressed parents needing a moment to chill. Students facing exams, healthcare workers on the frontlines - Calm's meditation tools and sleep stories can help anyone manage anxiety, improve focus, and get a good night's rest.

Whether you are a seasoned meditator or just starting your wellness journey, Calm offers something for everyone. Even fitness buffs and health-conscious folks can use Calm to complement their physical routines and create a holistic approach to well-being. Plus, Calm partners with businesses and health providers to bring these benefits to even more people.

  • Geographic Reach: While Calm primarily targets users in English-speaking countries, particularly the United States, Canada, the United Kingdom, and Australia, it has also expanded its reach globally with localized content for various regions.

  • Demographic Insights: Calm's users are typically tech-savvy, with higher education levels and disposable incomes, allowing them to invest in subscription-based wellness services.

Calm's target market spans a diverse range of individuals and groups seeking mental wellness solutions. By addressing the specific needs and pain points of these segments, Calm has successfully positioned itself as a leading meditation app in the wellness industry.

Go-To Market Strategy

By implementing a multifaceted go-to-market strategy, Calm positioned itself as a leader in the meditation app market, attracting millions of users and generating significant revenue.

Pricing

Calm adopted a freemium pricing model. This strategy involved offering a basic version of the app for free, with the upgrade option to a premium subscription to access a broader range of features and content.

  • Free Tier: The free version included a limited selection of guided meditations, breathing exercises, and sleep stories. This allowed users to experience the app's core benefits without any financial commitment.

  • Premium Subscription: For $59.99 per year, users can access the full features, including exclusive guided meditations, an extensive collection of sleep stories, masterclasses, and more. There was also a lifetime subscription option priced at $399.99.

  • Promotional Discounts: Periodically, Calm offered discounts and promotional rates, especially during special events or through partnerships, to encourage more users to subscribe to the premium service.

Distribution Channels

Calm leveraged multiple distribution channels to reach its target audience effectively:

  • App Stores: The primary distribution channels were the Apple App Store and Google Play Store, making the app accessible to smartphone users worldwide.

  • Website: Calm's official website served as another critical distribution channel, providing users with information about the app, user testimonials, and the option to subscribe directly.

  • Corporate Partnerships: Collaborating with various businesses allowed Calm to offer its services as part of employee wellness programs. Companies like American Airlines provided Calm content to passengers, and partnerships with healthcare providers included Calm in mental health resources for patients.

  • Health and Wellness Platforms: Calm integrated with platforms like Apple's HealthKit, enabling users to track their meditation sessions and sleep patterns alongside other health metrics.

Marketing Tactics

Source: Calm

Calm implemented a diverse range of marketing tactics to build brand awareness and attract users, including:

  • Content Marketing: They share articles, podcasts, and videos with tips on managing stress, sleeping soundly, and finding inner peace. Think of it as a friendly nudge towards a healthier you.

  • Influencer Collaboration: Even busy celebs like LeBron James and Matthew McConaughey use Calm. They have partnered with stars to create sleep stories and meditations, making mindfulness accessible and cool.

  • Social media love: They show inspiring stories and targeted ads that show exactly how Calm can help you. Plus, they partner with wellness influencers you already trust.

  • Media Coverage: From seeing Calm on TV to reading about it in Forbes, The New York Times, and The Guardian, they are making waves. They even won Apple's App of the Year in 2017, so it's legit.

  • Community Engagement: They have built a supportive community through forums and events. Share your experiences, learn from others, and feel the power of mindfulness together.

  • Referral Program: Love Calm? Tell your friends and family. Their referral program rewards you both for sharing the gift of well-being.

Challenges

Calm faced several challenges during its go-to-market phase. Some prominent ones are:

  • Market Saturation: The meditation app market was becoming increasingly crowded with competitors like Headspace and Insight Timer, making it challenging to differentiate and capture market share.

  • User Retention: Retaining users after the initial trial period was crucial. Many users would try the free content but hesitate to pay for a subscription.

  • Reaching Target Audience: While Calm's marketing efforts were broad, effectively reaching the highly stressed and mentally overburdened demographic required precise targeting and messaging.

Results

Calm's go-to-market strategy yielded impressive results:

  • User Growth: Calm grew its user base to over 100 million downloads by 2020, showing significant market penetration.

  • Revenue: The company reported an annual turnover of over $150 million in 2020, indicating successful monetization through subscriptions.

  • Brand Recognition: Calm became a recognized leader in the wellness app market, winning honors such as Apple’s App of the Year in 2017.

What Worked Well

  • Freemium Model: The free tier allowed users to experience the app’s benefits, which helped in converting free users to paying subscribers.

  • Influencer Collaborations: Leveraging celebrity endorsements effectively boosted brand visibility and credibility.

  • Partnerships: Strategic partnerships with companies and healthcare providers broadened Calm's reach and enhanced its value proposition.

What Could Be Improved

  • User Retention Strategies: Implementing more personalized engagement strategies, such as tailored content recommendations and reminders, could help improve user retention rates.

  • Competitive Differentiation: Continuing to innovate and add unique features could further differentiate Calm from competitors in a saturated market.

  • Enhanced Targeting: Refining marketing strategies to better target specific demographics, such as high-stress professionals, could optimize user acquisition efforts.

By understanding and addressing these lessons, Calm can continue to grow and solidify its position as a leading meditation app in the wellness industry.

Conclusion

By combining informative content, strategic partnerships, and a focus on building a supportive community, Calm's multifaceted marketing strategy wasn't just about downloads - it was about creating a mindfulness movement. This human-centric approach resonated with millions, hardening Calm's position as a leader in the mental wellness space.

How would you rate today’s newsletter? Why?

Please give your detailed feedback so we can make the next edition even better!

Login or Subscribe to participate in polls.

You might also like

Uncontrolled variation is the enemy of quality.

W. Edwards Deming

Reply

or to participate.