What’s the best way to monetize?

Tomasz Tunguz (Partner at Redpoint Ventures)
The 3 strategies of freemium companies | A Founder’s Notebook

Successful freemium companies do three things: 1. They use free to market, educate and win mindshare. The Internet enables potential customers to research products much more deeply before engaging with a sales person. 2. They leverage usage data to improve their product. The large amount of users using the product enables A/B testing with statistical significance, a non-trivial strategic advantage. 3. They gather information about their customer … (read more)