## What's the freemium business model? Freemium is a #business-model model where the service can be use for free, but limited either/both in features or quantity. Acceeding to the full service need to subscribe to a premium plan. This business model is one of the most popular among smartphone apps or SaaS (Software as a Service) businesses. Among others : Dropbox, Mailchimp, Medium, Spotify, Slack, Github, Hubspot... are freemium apps. ## Freemium KPIs One of the key metric for freemium, is the user to client conversion rate (in %), which can be calculated by doing `(number of premium client / number of free users) * 100`. A good average on this KPI is between 3% to 10%, depending on your industry, your features, your product... Here : the more, the better. ### Links : - [20 ways to convert Freemium users into paying customers](https://databox.com/freemium-conversion-rate)