Freemium is a business model in which a company offers a basic version of its product or service for free, while charging for more advanced features or premium content. The term is a combination of "free" and "premium".
The idea behind the freemium model is to attract a large user base by offering a free version of the product, which can help to build brand recognition and customer loyalty. The free version often includes enough basic features to be useful, but may be limited in some way, such as through restrictions on usage, storage, or access to premium content.
Users who want more advanced features or additional content can upgrade to a paid version of the product, which typically offers more functionality, storage, or access to premium content.
The freemium model has become popular in the software and digital content industries, as well as in other sectors such as gaming and media. It can be an effective way to acquire and retain customers, and can provide a steady stream of revenue from a loyal user base. However, the success of a freemium model depends on careful balancing of the value proposition of the free version and the pricing and features of the paid version.
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