Just 4% of passengers on flights that offer Gogo Wi-Fi actually pay for the service.
(Full Story: In-flight Wi-Fi: The continued unpopularity of in-flight Wi-Fi | The Economist)
Tag Archives: freemium
Don’t Be A Free User (Pinboard Blog)
December 12, 2011
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Like a service? Make them charge you or show you ads. If they won’t do it, clone them and do it yourself. Soon you’ll be the only game in town!
(Full Story: Don’t Be A Free User (Pinboard Blog))
Why Free is Very Expensive by Raju Narisetti, Managing Editor, The Washington Post
July 5, 2011
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Free is indeed very expensive. But, what the prolonged and knee-jerk debate about free vs. paid inside our news organizations shows is that we still have what led us here in the first place: An imagination deficit. Rather than apply an ‘all or nothing’ approach focused, perhaps wrongly, on just our Web sites, we should be willing to make creative bets on our business model. We continue to make what is being consumed–in large quantities. It is time we figured out how to make it easier, more engaging and useful. Despite their soaring valuations, Facebook, LinkedIn and Twitter don’t create much, if anything at all, by way of original content. And, for that matter, neither do Google or YouTube. They simply make it easy, useful and engaging to their audiences. These are incredibly disruptive times and one thing is clear to me: There isn’t time or room for incrementalism at major news organizations.
(Full Story: Why Free is Very Expensive by Raju Narisetti, Managing Editor, The Washington Post)
The Economics of Dropbox
April 22, 2011
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Adding all this up gives us a cost in the range of $3.1M – $5.8M per month….At this much lower profitability level, Dropbox will need between 852,000 and 1.6M paid users, or a conversion rate of 3.4% and 6.3% respectively. Running this calculation at a paid usage somewhere in the middle results in a required conversion rate of 1.8% to 3.4%
(Full Story: The Economics of Dropbox)
