How to Lose a User Before They Start

I was on a mission to find what stops the user before trying out. As part of the mission, I conducted a survey pulse with one question: "What was the last product you tried to sign up for but didn't?" at Web Summit Qatar.

Almost everyone gave the same answer in their own style, which was the password requirement. Surprised? Me too. When I asked follow-up questions, the response was consistent. Most users wanted to try the product, but the sign-up process, especially the password requirement, had too many rules. What might look like a security safeguard is actually disguised friction. So, they got annoyed and turned away.

When we look into why the user has fallen off the funnel, we take into account so many factors, but somehow we missed out the password part.

Before the product could demonstrate its value, users abandoned it.

Now there are many other alternatives for sign-up and password. One of the most common is social login, such as "Sign in with Google / Apple". In an effort to remove friction, they created a new one: privacy concerns. Now the user looks into the trust factor rather than the effort. Now you're wondering if Google needs to know you signed up for this random app.

This system affects everyone: users, companies, and IT teams. Millions of dollars are spent on "Forgot my password / Reset my password" requests. The IT department has to deal with the tickets raised, especially after a holiday period.

Magic link is another alternative that is widely popular. Magic links allow users to authenticate through temporary URLs. Passkeys and biometric authentication eliminate the need for memorization altogether. They have successfully eliminated cognitive overload friction without compromising on the standard.

But here's what these solutions miss: they still ask users to commit at the door. Even the smoothest authentication is asking "Sign up now, see value later." That's backwards.

The book Fintech for Billions talks about friction and offers 3 rules to overcome it:

• Simple: Eliminate the "Mental Load"

• Ubiquitous: Access Anywhere, Any Device

• Human: Design for Empathy
  

The Real Solution: Let Users Explore First

The issue isn't passwords themselves. It's that we're asking for commitment before users have seen any value.

Here's a better approach: Let users explore the product with a demo before requiring any sign-up.

Provide a pre-loaded interface with demo data. Let them click around, test features, see what the product actually does without creating an account, without entering a password, without any friction at all.

Only ask them to sign up once they've decided the product is worth it.

This shifts the entire dynamic. Instead of users thinking "Is this worth creating another account for?" they're thinking "I've already seen this works, now I want to save my progress."

At that point, sign-up isn't friction. It's the natural next step and when they do sign up, make it effortless with magic links or passkeys instead of complex passwords.

Let curiosity convert first. Then ask for commitment.