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BH

Brian Halligan

05/08/19

@ Y Combinator

Freemium models work well for large markets, allowing companies to give away products as a strategy to capture a larger audience.

Video

YC

HubSpot CEO and Cofounder Brian Halligan with Wufoo Cofounder Kevin Hale

@ Y Combinator

HubSpot CEO and Cofounder Brian Halligan with Wufoo Cofounder Kevin Hale

05/08/19

Related Takeaways

YC

Y Combinator Cast

06/02/22

@ Y Combinator

It's acceptable to offer a free product if there's a structured plan to monetize it later, such as through freemium or ad-supported models.

YC

Y Combinator Cast

06/02/22

@ Y Combinator

The freemium model is effective when there's a clear constraint that users want to overcome, prompting them to pay for upgrades.

WF

Wade Foster

08/19/17

@ Y Combinator

The freemium business model allows users to self-serve and become champions for your product within their organizations, facilitating easier adoption.

BH

Brian Halligan

05/08/19

@ Y Combinator

Freemium models, like those used by Atlassian and Zoom, represent the future of software sales, allowing users to experience the product before committing to a purchase.

PK

Pete Koomen

12/09/22

@ Y Combinator

Startups should use freemium pricing by offering free features for individual users while charging for team collaboration features, which can help in acquiring users effectively.

HI

Harvard Innovation Labs Cast

02/02/14

@ Harvard Innovation Labs

Creating a business model that allows for free distribution of a product can lead to significant revenue through subscription services, as demonstrated by the antivirus software model.

MM

Macy Mills

05/17/25

@ a16z speedrun

Offering free or low-cost plans can lower the barrier to entry, making it easier for customers to say yes and see the value of your product.

MC

Mathilde Collin

10/25/18

@ Y Combinator

We started with a freemium model, but realized it distracted us; we shifted to a paid model and consistently increased prices over time, which helped us focus on serious customers.

BH

Brian Halligan

05/08/19

@ Y Combinator

If I were to start HubSpot again, I would implement a freemium model to attract users more naturally before converting them to paying customers.