The Freemium Model – A Death Knell for Brands?
Dr. Michael Solomon discusses the roles of brands in the "Freemium" world By Dr. Michael Solomon We are exposed to 4000 to 10,000 ad messages everyday. There’s no doubt we’re all assaulted by brand messages that scream to us on billboards and screens, from within TV shows and movies, and even on Post-It notes and refrigerator magnets. Most of us live in a state of sensory overload. We are exposed to far more information than we can process. That means the fight for your attention—or what some marketers refer to as an eyeball economy—gets tougher all the time. That’s essentially the statement that one version of the popular freemium ("free" and premium") business strategy makes to marketers. Sure, a freemium often delivers additional functionality for a fee compared to what the free version does. But for many the real attraction of an upgrade is the chance to shop, play or work in an ad-free environment. When consumers are willing...