A freemium pricing model like Pandora, Dropbox, or LinkedIn offers a basic service free of charge with
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A “freemium” pricing model like Pandora, Dropbox, or LinkedIn offers a basic service free of charge with the option to upgrade at a cost. It’s a common pricing strategy among web start-up companies to get users on to the site and then later to convince them to subscribe to a premium or enhanced version of the service. What are some of the benefits of a freemium pricing model to a company? To consumers? Can you think of a situation when freemium pricing wouldn’t work?
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