Forget Freemium: Why It’s Killing Your Pricing Strategy


You think Fremium is the best stategy out there for a new startup? Think again! – Everyone bought into the idea of “just get a bunch of people to sign up and drive them up the river of your plans.” Revenue slowly became a secondary goal though with musings of, “we’ll figure out the revenue model eventually” or “we’re just not focused on charging customers right now, maybe in a year or two.”

The success of Skype, Facebook, Flickr, and the like didn’t help, painting freemium as the silver bullet to any entrepreneur seeking a billion dollar exit. Of course, this perspective is a bit gonzo in it’s assertion, but after mentoring some early stage companies at a number of events the past few weeks, we’ve lost touch with the one truth about freemium: it’s a marketing strategy, not a revenue model.

Explore why freemium potentially kills businesses, uncover where freemium is appropriate (the big asterisk), and learn the healthy ways to implement “freemium like” strategies at


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