Itqualityassurance
- What makes a successful freemium product?
- What percentage of customers typically pay with the freemium model?
- What is the freemium model and how can a business successfully use this approach?
What makes a successful freemium product?
High product value
You have a high-quality free product that people would want to get their hands on (solves an immediate need/pain). Also, you know that your long-term Freemium users will eventually convert to paid users – which will only happen if the users derive sufficient value from your free product.
What percentage of customers typically pay with the freemium model?
Conversion rates for freemium usually fall between 2% to 5%. This, coupled with lots of traffic, is the balance you want.
What is the freemium model and how can a business successfully use this approach?
Understanding Freemium
The freemium model tends to work well for internet-based businesses with small customer acquisition costs, but high lifetime value. It allows users to utilize basic features of a software, game, or service for free, then charges for "upgrades" to the basic package.
