There's a way to reap the benefits of a freemium model without giving the product away for free. Offer your core product at a low one-time price to get customers, then upsell them on a subscription to a more lucrative supplementary product or service.
Joey Xoto grew Viddyoze ($3,000,000/mo) using a "paid freemium" business model. He charges a flat fee for a full license of his video animation software, but then upsells customers to a recurring plan for unlimited video templates. People seem to find paying just $67 for a full software license enticing, so this approach gets users in the door (much like a standard freemium model). And once they see the value, a significant portion (20-25%) actually ends up converting to the subscription. But Joey doesn't leave it up to chance. The subscription gets pitched to new users during their very first onboarding video.
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