About the client
- Company
- Shmoody, one of the leading apps for mental health and habit tracking.
- Industry
- Mental health & habit tracking
- Monetization model
- Web2app funnels run on FunnelFox — Shmoody's very first web2app funnels, and a long-term partnership since.
Snapshot
Mike McSweeneyCPO & Co-Founder, Shmoody“It's impressive how such a simple feature delivered such a big impact. With FunnelFox, we removed a key point of friction in payments — guiding users to switch from prepaid cards not only helped us recover revenue that would have otherwise been lost, but also created a much smoother experience as they moved through the web2app funnel. FunnelFox made the process effortless.”
- Challenge: Failed transactions undermined Shmoody's revenue and user satisfaction.
- Solution: FunnelFox's “payment failed” action that guided users to switch from prepaid to debit cards.
- Outcome: 20% of failed transactions successfully converted into completed payments.
Impact at a glance
20%
of failed transactions recovered
In the very first week — optimization is still ongoing.
80%
ROAS increase in 3 months
As part of Shmoody's long-term partnership with FunnelFox.
Prepaid card declines were a hidden cost to Shmoody's revenue
For Shmoody, one of the leading apps for mental health and habit tracking, smooth user experience is everything. But behind the scenes, a hidden problem was eating away at growth: a significant share of failed transactions, mainly from prepaid cards.
When these payments broke down mid-flow, users were left frustrated, and Shmoody lost revenue that had nothing to do with churn or engagement, but simply with friction in the payment process.
The team knew they needed a smarter way to address these failures — one that would guide users toward using the right type of card to complete their payments successfully.
A simple screen that turned declines into second chances
Shmoody integrated FunnelFox's "payment failed" action directly into its payment flow.
When a prepaid card was declined, users were redirected to a screen explaining the reason for the failure, paired with a clear CTA to retry using a supported payment method (such as a debit card).
This seamless approach turned dead ends into opportunities for recovery.
20% of failed transactions recovered — in the first week alone
In the very first week, Shmoody recovered around 20% of failed transactions, and optimization is still ongoing.
Beyond the numbers, the impact was broader: the app became more resilient, with fewer losses caused by avoidable payment friction.
“It's impressive how such a simple feature delivered such a big impact. With FunnelFox, we removed a key point of friction in payments — guiding users to switch from prepaid cards not only helped us recover revenue that would have otherwise been lost, but also created a much smoother experience as they moved through the web2app funnel. FunnelFox made the process effortless.”
Mike McSweeney—CPO & Co-Founder, ShmoodyFor Shmoody, this wasn't just a technical fix — it was a business win. A small tweak in the payment flow translated into meaningful gains for revenue, user experience, and long-term growth.
Shmoody & FunnelFox: A long-term growth partnership
Shmoody has been a long-term FunnelFox partner, launching their very first web2app funnels on the platform.
Instead of spending months building onboarding, paywalls, checkouts, and testing infrastructure in-house, Shmoody relied on FunnelFox to manage the entire web2app journey. For the past few years, FunnelFox has been powering Shmoody's web acquisition, enabling the team to scale experiments, optimize funnels, and capture intent-driven traffic outside the app stores.
As a result, Shmoody achieved an 80% increase in ROAS within just 3 months. Weekly A/B testing fueled continuous optimization, while web acquisition grew to 70% of their total UA budget, which doubled to $300k.
Want the full picture? Read the full story of how Shmoody increased ROAS by 80% in just 3 months.
Key takeaway
A declined prepaid card doesn't have to be a lost sale
A significant share of Shmoody's failed transactions were coming from one fixable cause: prepaid cards that don't clear. A single FunnelFox action — catching the decline and guiding users to a debit card instead — recovered 20% of those failures in its very first week. It's a small fix on paper, but it captures revenue that a silent decline would have simply erased, and it's grown alongside a much bigger partnership that now powers all of Shmoody's web acquisition.