Founders Confidential • 19 implied HN points • 15 May 24
- A freemium model helps reach people who might not afford services otherwise. It allows companies to assist those, like students in developing countries, who are pursuing their dreams.
- Offering free services creates a lot of positive word-of-mouth. When people see value in free offerings, they tell others, which brings in new customers.
- Having a strong free tier pushes companies to provide a great user experience. It shouldn’t be frustrating to use; instead, it should show enough value to encourage users to consider paid features.