How do companies gain revenue from free products under the freemium model?
A)they operate as nonprofits
B)they are sponsored by wealthy sponsors
C)they have paid advertisements in their service
D)they get donations from users

Question

How do companies gain revenue from free products under the freemium model?
A)they operate as nonprofits
B)they are sponsored by wealthy sponsors
C)they have paid advertisements in their service
D)they get donations from users

Quizplus · Accepted Answer

Companies under the freemium model offer a free version of their product/service as a way to attract a large user base. They then make money by offering additional features or services for a fee, or by displaying advertisements to users. Therefore, paid advertisements in their service is one of the ways companies gain revenue from free products under the freemium model.

How Do Companies Gain Revenue from Free Products Under the Freemium