Cited by 9Digital Platforms and EconomicsConsumer Market Behavior and PricingSupply Chain and Inventory Management

Designing freemium with usage limitation: When is it a viable strategy?

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Kato, Tanet, Dumrongsiri, Aussadavut·2022·Electronic Commerce Research and Applications

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Crossref · 10.1016/j.elerap.2022.101153

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3 of 3 references verified0 citation errors · 0 not checkable

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  • The existing literature has examined freemium design primarily through theoretical models analyzing feature-gating versus usage-limiting strategies in isolation.

    “The existing literature has examined this question primarily through theoretical models analyzing featuregating versus usage-limiting strategies in isolation (Niculescu & Wu, 2014;Kato & Dumrongsiri, 2022;Shi et al., 2019)”
  • SaaS companies employing hybrid freemium models that combine feature-gating with usage limits achieve higher free-to-paid conversion rates than those using single-dimension models (feature-only or usage-only limitations).

    “SaaS companies employing hybrid freemium models that combine feature-gating with usage limits achieve higher free-to-paid conversion rates than those using single-dimension models (feature-only or usage-only limitations).”

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Authors
Kato, T., & Dumrongsiri, A.
Affiliations
Thammasat University (TH)
Corresponding author
Dumrongsiri, Aussadavut
Venue
Electronic Commerce Research and Applications
Publisher
Elsevier BV
Published
2022-05
Volume
53
Pages
101153
ISSN
1567-4223 (ISSN-L)
OpenAlex
W4293243729
Cited by
9
References
3
Citations by year
2026: 4 · 2025: 2 · 2024: 2 · 2023: 1
FWCI
0.27
Type
journal article
Language
en
Open access
Locations
  • Electronic Commerce Research and Applications (publishedVersion)
  • SSRN Electronic Journal (publishedVersion)
Topics
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Digital Platforms and Economics
  • Social Sciences › Business, Management and Accounting › Marketing › Consumer Market Behavior and Pricing
  • Social Sciences › Business, Management and Accounting › Management Information Systems › Supply Chain and Inventory Management
Keywords
freemium model, user heterogeneity, conversion rate, heavy users, two-stage model, forward-looking behavior, pricing strategy

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