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 ?
It is easy to see the benefits for consumers, but, in order for the freemium business model to be adopted and Universal Basic Internet (UBI) offered for free, it would need to serve the business interests of mobile network operators as well.
Over the past four years it has leveraged Internet technologies to enable a private sector solution to bridging the digital divide with its freemium business model offering consumers 500 megabytes of free data, 200 voice minutes and 500 texts.
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.
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 Freemium Business Model - free apps with in-app purchases - makes up the largest revenue share in the Apple App Store.
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.
Amazon has toyed with the freemium business model for a number of years.
What's more, AppShed has purposely embraced a freemium business model that equips everyone with what they need to make an app--and only those who have extremely successful apps pay AppShed a fee for using the platform.
Graubart says the platform is built around "a three-tiered freemium business model that's the right model for the time.