freemium

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freemium

(FREE preMIUM) A very popular marketing approach for software and services that provides a limited free version and a more expansive paid version. For example, an online storage provider may offer five gigabytes of disk space at no cost but then charge for greater capacities.

The free software version may include basic functions, while the paid version provides enhanced capabilities. A game might be free, but special avatars, scenery, speed boosters and the like are extra-cost items. Quite often, the free version contains ads, or in the case of music streaming, audio-based commercials as in AM and FM radio. See ad-supported software, shareware and lite version.
References in periodicals archive ?
Section 2: Personal cloud market trends, players and opportunity Personal cloud market development Expanding device ecosystem for personal cloud services Evolution of personal cloud services Positioning of personal cloud services by provider type Comparative review of major personal cloud providers Examination of the freemium business model and conversion rates Personal cloud adoption forecast Personal cloud market shares Personal cloud revenue forecast
Such games are normally offered for free, but users are encouraged to buy additional virtual goods for a better and more thrilling game experience, also dubbed the freemium business model.
Spotify's freemium business model is aimed at encouraging free users to migrate to premium paid services while ensuring their sustainability, helping the market gain momentum.
It will leverage a freemium business model with membership subscription revenues augmented by the sale of proven and innovative water self-sufficiency solutions, all promoted by eco-friendly affiliate marketing.
The OTN solution will use a Social Enterprise Freemium business model.
As of February 2014, over 90% of the revenue from mobile games developed for iPhone is generated through the freemium business model (5).
Because of its freemium business model, FreedomPop had to be up and running quickly while also operating extremely cost effectively.
Behind Levie's extrovert exterior there's a business brain which isn't afraid to experiment with the growing popularity of the freemium business model.
From K-12 school districts to 100 of the Fortune 500 companies, Grovo serves professionals and organizations of all sizes with its freemium business model.
The expansion over the last three years in the company's customer base confirms that the freemium business model has further contributed to Avira's success.
With a freemium business model in place, BeamIt is an advertising-free experience.
Wix makes its money through the freemium business model, offering premium features to users who wish to upgrade their free websites.