Just recently Square space website designer has introduced the Square space Logo by popular request of their clients who are very proud of using Square space, and are desperate to discuss that fact with the globe. Let me emphasize you that this particular website designer has NO 100 % free offers. This upgrade (the Square space Badge) got me thinking about the Freemium company structure that has strongly established on the globe of website contractors. Does it work?
How It Works
Freemium website contractors offer their basic products (editors, website hosting service, templates, assistance etc.) absolutely 100 % free. Sometimes, these functions are enough to create a professional-looking website with a pretty decent performance. However, to be able to connect a custom sector to your website, to get rid of the frustrating ad, as well as to open up advanced functions, clients have to pay. For example, with uCoz website designer you can get a never-expiring, totally 100 % free consideration, and even use your own sector address. However, you have to upgrade your consideration to remove the ad and open up ecommerce abilities.
THE PROS
- Free means popular. When something is 100 % free, individuals discuss it with others instantly. The more 100 % free clients you get, the more 100 % free clients you get :), hands down. However, no one can say for sure whether they will turn into spending clients in the long run.
- Simpler focusing on. It is simpler to reach your company goals when you have an audience. When you have hundreds/thousands of 100 % free clients, you have excellent chances to make them pay offering large discounts, offers and using other marketing strategies.
- Join millions! Start-ups love this company structure, as it allows them to generate a large number of clients over night and then show this number on their front page: We have 5,000 pleased users!
- An incredible number of 100 % free try out evaluators. Just ask your clients to report bugs and send their suggestions about the system improvement, and they will happily discuss their thoughts. Webydo website designer has a separate ‘Participate’ web page for that, which has proven very successful.
- Visitors. If your income also depends on traffic, the Freemium design is just what you need. Some website contractors, for example, move banner ads in control panels.
THE CONS
- Low transformation rate. If you give enough performance your clients may be pleased with what they get absolutely 100 % free. The Freemium design is viable for large organizations that are capable of gathering and serving large numbers. If a company has 1 million clients, even 2% alterations rate can be rather profit-making.
- Recruiting. You’ll have to hire a military of techies to offer excellent tech assistance team for your 100 % free clients. If your 100 % free assistance is poor, they will hardly ever become spending clients.
- Price. Assisting large numbers cost an arm and a leg from a technological viewpoint (bandwidth, website hosting service requirements etc).