Free based business models - Opportunity
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Free! Why $0.00 Is the Future of Business
The huge psychological gap between "almost zero" and "zero" is why micropayments failed. It's why Google doesn't show up on your credit card. It's why modern Web companies don't charge their users anything. And it's why Yahoo gives away disk drive space. The question of infinite storage was not if but when .
The following is a guest article by Ruben Gamez of Bidsketch . Not too long ago it seemed like every product I knew was offering some sort of free plan. The strategy was brilliant: get loads of people using your product and eventually turn them into paying customers. Everywhere I looked there were stories of people making money hand over fist with this approach. When 37signals talked about giving something away for free as a marketing strategy , it made a lot of sense to me:
