Freemium or not? 😬

Question

Guys most of you launching products here and we are all making the decision to offer products for free or not.

For our lead gen and onboarding flows marbleflows.com we decide to use Freemium to gather more data points initially.

My way of thinking has pros and cons and glad to hear yours. 
✅ Freemium upsides 
--> Less entry barrier
--> More usage and users
--> More data points

❌ Freemium downsides
-->  More customer support
--> Many not ideal or not active users

Philipp Schwengel · Accepted Answer

When looking into this in the past, I stumbled upon this blog post that I found very useful: https://www.cobloom.com/blog/fre... It basically says that you should go for Freemium when: • There are network effects (more users increase value for other users) • Potential for virality • Service is self-explanatory and no extensive onboarding/training needed • Clear upgrade path: Besides basic (free) functionality, there needs to be some natural path of (paid) features that deliver more value to the user

Larissa Moreno Ríos · Answer

depends on your Ideal customer profile and the product.

Karen Sánchez · Answer

@phil_schwengel That's a good statement, thanks for the confirmation. I hope to be on the right track, even so the idea of Freemium has haunted my mind, but it will also be trial and error to see which one works best for me.  😊

Karen Sánchez · Answer

@phil_schwengel And do you think a free trial would work in order to test for a limited time? Enough time to test and prevents inactive users. What do you think?

Isaiah Trotter · Answer

@phil_schwengel That makes a lot of sense, especially the networks effects thing. Putting a paywall immediately in the way is going to serve as unnecessary friction.

Sandra Idjoski · Answer

We went with the same option for Collabwriting.

We basically tried to make the users on the free plan "free" for us as well and have things set up so there isn't a lot of need for support.

Karen Sánchez · Answer

@larissamrn Totally agree, you have to study your person a lot to know which is the best option!

Jimmy Spikes · Answer

thnak you

Philipp Schwengel · Answer

@karen_sanchez21 Yes! Depending on the complexity of the product, the user might need more or less time to get real value. Would therefore not go for any standard '30 day' free trial. If the product is simple and the value immediate, also 3 or 7 days should suffice :)

Freemium or not? 😬

Replies