Freemium to Premium: How 4 Brands Moved Users Down the Funnel

Tech-savvy consumers have more than embraced services touting “free” and “premium” in the description. Thus, the freemium pricing strategy has become all the rage in a market saturated with binge-watching, ravenous consumers.

We decided to take a look at how top entertainment brands have differentiated themselves in the competitive mobile marketing space, and how they continue to move users down the funnel with their freemium to premium business models.

Spotify

The best example: Spotify. The streaming app has seen good days and bad, but overall, they’ve struggled when it comes to profitability — thanks, royalties and record company fees.

With a need to kick up their hustle and bring in the bucks, Spotify launched an outdoor ad campaign hoping to encourage paid subscriptions. A charming take on New Year’s resolutions, the “2018 Goals” ad campaign leveraged its users’ listening habits — quirky and crazy included. Goals for the year were plastered on billboards, subway ads, and posters, globally and in multiple languages. It featured listening habits and popular artists based on the respective cities of Spotify’s ads.

During the campaign, Spotify began offering users their first 3 months of Premium for only $0.99. The influx of new users…