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Free vs Pay Dilemma | App Monetization | Udacity

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    In start ups there always seems to
    be a tension between two paths.
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    Distribution, give it for free and
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    capture a big chunk of the market, or
    earnings, also known as making money.
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    Charge for
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    your work but then you limit the
    distribution to only paying customers.
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    >> However, if you think on
    your business plan in advance,
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    there are many cases where
    you can do both from
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    the beginning
    >> A great strategy
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    will be to use the freemium model.
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    You allow your users to use
    the service for free and
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    then convert the power users
    to a paying customers.
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    Take for example a company
    that does it very well, Wufoo.
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    The free version lets you try
    the product and see the value in it.
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    They show you the benefits right there
    on the first step of the registration.
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    They focus on the most
    important benefits.
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    If you need to become a heavy user,
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    in their case more than 100 reply
    per month, they ask for payment.
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    But at this point, you as the user
    understand the work they did for
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    you, and it's valuable and
    worth the price.
Title:
Free vs Pay Dilemma | App Monetization | Udacity
Video Language:
English
Team:
Udacity
Project:
UD518 - App Monetization
Duration:
01:05

English (United States) subtitles

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