What is FREEMIUM? What does FREEMIUM mean? FREEMIUM meaning, definition & explanation.
Freemium is a pricing strategy by which a product or service (typically a digital offering or application such as software, media, games or web services) is provided free of charge, but money (premium) is charged for proprietary features, functionality, or virtual goods. The word "freemium" is a portmanteau neologism that was coined by Jarid Lukin in 2006.
The business model called shareware has been in use for software (crippleware or freeware) since the 1980s, particularly in the form of a free time- or feature-limited ("lite") version, often given away on a floppy disk or CD-ROM, to promote a paid-for full version. The model is particularly suited to software as the cost of distribution is negligible, so little is lost by giving it away for free – as long as significant cannibalization is avoided.
The term freemium to describe this model appears to have been created only much later, in response...