Here are four approaches to offset a failing freemium model.

1. Free trial

2. Tailored, hyper specific free products for lead gen

What’s so appealing about free products is the potential for viral adoption and rapid, cost-efficient growth in product usage. Companies like Clearbit have cleverly tapped into those benefits with tailored, hyper-specific free products that appeal to their target buyers without cannibalizing their paid offerings. 

3. Product qualified lead (PQL) engines

One way to achieve this is to sell entry-level versions of a product to individuals or teams within larger enterprises as part of a land-and-expand business model. These offerings create a self-funding customer acquisition engine that allows companies to more seamlessly break into large companies from the bottom up before eventually selling an enterprise-wide deal.

4. Anti-lean startup approach

Rather than starting out with a minimum viable product, getting it out the door quickly and then monetizing later, some companies are reversing the playbook and becoming “anti-lean” startups. These companies, including AI personal assistant x.ai, take a more thoughtful and ambitious approach to building their products. The happy consequence: their products solve a clear need, stand apart from alternatives and attract customers that are willing to pay for them.