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Freemium Analysis For digital platform. Business & Marketing Essay

Essay Instructions:

Choose a digital platform that employs or has employed a freemium business model and analyze it strategy.

The essay must address the problems listed in detailed instraction file I uploaded.

Essay Sample Content Preview:

The Zapier Company
Name
Institutional Affiliation
The Zapier Company
Zapier is an online automation app that links up to over 1000 popular apps such as Slack, Gmail, and Mailchimp to simplify connections. In this regard, Zapier is comparable to glue due to its nature of enhancing connections among many apps to ensure the efficient flow of information to customers. The app was founded in 2011 but has attracted so many business people all over the world. Through these automatic connections, business people who are Zapier’s customers can easily advertise their products worldwide (Turnbull, 2019). Zapier is much interesting in a way that it allows its customers to open their desired accounts to market their products freely. Indeed, this is one of the most feasible means through which Zapir extends its services to clients. Notably, people in different places get to know about the available products, being advertised by a particular business person. Turnbull (2019), adds that the Zapir platform interacts with other apps, which eases connections. In this case, there is a high chance that people who access their accounts from other platforms such as Google, Linkedin, and others can as well meet the advertising information from the Zapier platform.
Feasible means to Offer the Free Version of the Product
Much as the company allows free opening of an account for the starters, with time, it begins imposing some nominal charges on their customers. Here, this free offer expires, and this requires the account owners to reactivate or upgrade their accounts so that they can remain active advertisers of their products. The main idea behind a free account opening is for the company to attract a considerable number of customers. When these people (customers) begin advertising their products, they may force them to upgrade their products. As such, these business people pay relevant fees for account upgrading, and this is the billing mechanism and freemium business model of the Zapier Company. However, these charges are always moderate and do not exceed the profit margins of the customers’ business, and this maintains a flow of business. Honestly, the managers of the company confidently impose these charges since they are aware that their customers may not be willing to close the account to dodge these charges. Besides, closing accounts can gradually make a specific business person to lose his customers due to limited connections. For that reason, they accept the charges to extend their advertisements and remain connected to their esteemed customers.
Advantages of offering a free Version of Products
Using the Zapier Company is much more advantageous compared to other digital platforms. With Zapier, one can automatically connect apps, which allows the free flow of data from one app to another. Regardless of location, Zapier makes it easier for one to automatically receive information (Hartert, 2015). As such, business people find it easier to advertise and market their products using the app due to the reasons below.
Speed
Zapier is well-known for quickening the performance of business tasks. According to Guinness (2016), through Zaps, one can easily communicate with the business’ clients through emails that automatically notify the clients. Within a few working hours, the businessman can be able to reach several customers through emails and other messages that automatically drop on clients' apps, especially advertising messages. Therefore, the use of Zap in business speeds up the rate at which business owners communicate with their clients.
Consistency
Since humans are very forgetful of simple duties, using automatic communication means tends to become the best solution. It is because employees are always busy and may easily forget about communicating with their esteemed clients. Certainly, this automatic communication can only be achieved through the use of Zapier that automatically connects and send messages to other apps that other people are using (Guinness, 2016). As a result, this promotes consistency since it relieves the company from the burden of sending a single message at a time to a particular client. Therefore, adhering to the use of Zapier means of communication enhances consistency in business.
The Costs of Offering a Free Version of the Product
Admittedly, in the first month of the account opening, the company bears the cost since the client pays no charges. According to the statistics provided by Guinness (2016), the client opens an account and maintains it freely. However, after some periods, the clients begin to pay every month, $20 per month for basic accounts, $50 for business accounts, $75 for business plus accounts, and $125 for infrastructure sensitivity accounts. These stat...
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