You can really never compare your conversion rates to other peoples. Obviously the conversion rate is an indicator of the success of your website or software, but there are too many variables to make it anything other than a baseline to measure improvement against.
As an example, let's say you have a awesome website for selling t-shirts. 50% of people that visit your website would buy one if they are t-shirt wearing people. That's an amazing website. The only problem is that you have set up advertising and are targeting the wrong people. What is happening is that most people that come to your website don't wear t-shirts, so no matter how good your site is they aren't going to buy one. Now your conversion rate is just 1% and you think your website is no good.
As you can tell from that example, the number really doesn't mean a lot. What matters now is that you tweak your website, possibly A/B test and try and get that 1% to 1.2%. It's about using it as a baseline to improve upon.
The same goes for the conversion rate of your software from free trial to paid. Stop worrying if it's a good number in it's own right, noone can tell you that. Just start trying to make it better.
A great place to start for improving your trial signups to paid customers rate is to look at your first use experience. What do they see when they first log in, I hope it's not a blank slate that they can't do anything until they go through a lengthy set up process.
In summary, don't be concerned with a low conversation rate, be concerned with improving your conversion rate.