Name that business model

by Cem Basman

Question: What do you call this business model:

Give your service away for free, possibly ad supported but maybe not, acquire a lot of customers very efficiently through word of mouth, referral networks, organic search marketing, etc, then offer premium priced value added services or an enhanced version of your service to your customer base.

Answer: Freemium.

Smart.

Tags:

Comments

Reminds me of Google

Ralf Stellmacher, 2006-03-28 16:40

"Freemium" I like it. I've been considering a service model exactly like this for the fire dispatch service offering I've been working on.

Andrew Pollack, 2006-03-28 17:51

Reminds me of openBC...

Matthias Lorz, 2006-03-29 11:34

Reminds me of a zintillion other "dot two" companies ...

Cem Basman, 2006-03-29 13:33

Why not call it "Business Model 2.0"?
(However, Freemium isn't bad at all.)

Lukas Rosenstock, 2006-03-30 11:40

Recent comments

Volker Weber on HERE on Android at 18:24
Dirk Krause on Microsoft makes a Lock Screen :: For Android at 18:09
Jochen Kattoll on Madeleine Albright wins at Twitter at 15:59
Craig Wiseman on Microsoft makes a Lock Screen :: For Android at 15:09
Haiko Hebig on HERE on Android at 12:56
Bernd Schuster on Microsoft makes a Lock Screen :: For Android at 11:29
Dieter Baum on Microsoft makes a Lock Screen :: For Android at 09:40
Frank Quednau on PhotoMath at 22:48
Marc Henkel on HERE on Android at 21:49
Markus Jabs on PhotoMath at 21:33
Harald Gaerttner on PhotoMath at 16:18
Ingo Seifert on PhotoMath at 16:06
Craig Wiseman on Galaxy Note 4 keeps growing on me at 15:41
Adrian Woizik on PhotoMath at 15:40
Volker Weber on Galaxy Note 4 keeps growing on me at 15:26
Craig Wiseman on Galaxy Note 4 keeps growing on me at 15:07
Richard Kaufmann on HERE on Android at 09:46
John Keys on MixRadio on Sonos at 09:26
Volker Weber on Samsung Galaxy Note 4 has landed at 23:31
Hubert Stettner on Apple’s Jonathan Ive describes his design process at 23:10
Paul Mooney on Apple’s Jonathan Ive describes his design process at 22:46
Ian Bradbury on Samsung Galaxy Note 4 has landed at 21:46
Olaf Boerner on Das DNUG Büro informiert at 16:17
Matthias Lorz on Apple’s Jonathan Ive describes his design process at 11:54
Mirko Zellner on Das DNUG Büro informiert at 11:33

Ceci n'est pas un blog

vowe.net is a personal website published by Volker Weber a.k.a. vowe. I am an author, consultant and systems architect based in Darmstadt, Germany.

rss Click here to subscribe

Hello

About me
Contact
Publications
Certificates
Amazon Wish List
Frequently Asked Questions
Follow @vowe on Twitter

Local time is 02:35

visitors.gif

Tip jar

Archives

As most of my articles roll off the front page rather quickly, I am making an archive of previous posts available here. You can also use the handy search box at the top of the page if you are looking for something particular.

Last 30 days
More archives

Mobile tag for this page

© 1992-2014 Volker Weber.
All Rights Reserved.

Impressum