Including free or “freemium” elements in online software and products has become the norm. There are several existing discussions about this business model, some questioning its effects on the industry, others touting its success. Whatever opinion you may have, freemium is the model commonly adopted by web app software startups. In fact, most of their users probably expect it.
This trend is not exclusive to web app startups, however. Even freelancers seem to apply some aspects of this model to their services. Let’s take a look at how it’s done and how to make it pay off. Read the rest of this entry »
It’s a great time to be a web worker. Almost every day, a new site, service or product comes on the scene that promises to make our work more efficient (or more fun). Some areas, like project management or image editing, are crowded with options. And in order to gain a following, many services are being offered inexpensively or at no cost.
But as Paisano wrote recently, current conditions won’t last forever. Many sites will eventually become fee-based; others will shut down when their funding runs out, or when their owners decide to move in a different direction.
So when I evaluate a product that I’d like to incorporate into my company’s workflow — especially a product that will be visible to clients — I try to consider the product’s feature set, along with the issues raised in Judi’s 2007 WWD post. I also ask the following questions: Read the rest of this entry »
Tags: backup, data formats, due diligence, evaluation, exit strategy, freemium, hosting, licensing, management, Open Source, saas, support, workflow
The other day I noticed that someone had posted a quick poll on LinkedIn. I thought a poll like that might be a good tool to use for informal market research, so I clicked on the link to create my own. However, I was met with a message saying that I needed to upgrade my account to access the polling feature. I perused the prices, then quickly determined I wasn’t going to upgrade.
This isn’t the first time I’ve considered upgrading my LinkedIn account and decided against it, which led me to start thinking about all of the “freemium” apps — basically free apps with premium upgrades — I’ve been using. I started feeling guilty about taking advantage of the “free” in freemium services, especially because I’ve had the opportunity to interview founders of these companies, many of whom confess to struggling over pricing. So what makes us decide to pay for an app? Read the rest of this entry »