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Atmrix

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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.

Video

YC

Turning Your Users Into Paying Customers

@ Y Combinator

Turning Your Users Into Paying Customers

06/02/22

Related Takeaways

YC

Y Combinator Cast

11/27/24

@ Y Combinator

If your product is open source, consider monetization strategies like offering cloud hosting or an open core model with premium features.

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.

KH

Kevin Hale

09/07/19

@ Y Combinator

If you're offering something for free but your business model relies on other revenue streams, it's crucial to explain that to users to alleviate their concerns and build trust.

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.

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.

MS

Michael Seibel

09/06/18

@ Y Combinator

Many founders think they need to offer their product for free to gain users, but it's often better to charge a price to gauge real interest.

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.