Premium is not more, but better

A few days ago I had a discussion with José Carlos Cortizo and with Victor Peinado About what is a premium product in computing. About whether the user is willing to pay for more features or for more quality.

At the last turn of the century a new business model emerged, the free business model. Free business model is a contradiction in terminis. As a Galician would say: it depends. Google is the most profitable company in the world and is based on that model, in Google everything is free, but in all its production lines, except, for the moment in Youtube, it earns money. The model that explains it is fremiumThere are different ways to put that dividing line between free and paid. I think the best of them is to pay for a stable version and have the unstable one for free, plus you can add a support service for the paid version, the premium one. Those who take the trouble to test the additional versions, the beta testers, who are true fans of the brand, I think they should be rewarded in some way, as they serve to correct bugs before releasing a product to the market.

One of the sectors with the most mature business models is the automobile industry. When you buy a big brand, a really expensive car, you do it for several reasons: first of all because you can afford it, and also because it is exclusive (top of the line), and secondly because you can afford it. Maslow's pyramid), perhaps because it has a good design and performance, but also because you believe it will not leave you stranded on the road and also has a great after-sales service.

The most extrapolable to computing are the last two features, especially when, on the Internet, the Renault Clio without warranty and authorized workshops, is given for free, while Mercedes cost money. I think Apple has proven it, their products do not offer more features than PCs, but they are more stable, or at least, they were. Ease of use is another additional reason, because including more features usually goes against the ease of use of a software, as it leads to more cumbersome and less intuitive menus, all things being equal, and the user who has the money to buy the product, usually has little time to learn how to use it. That said, most premium models rely on paying for additional features, but, for example, this is not the case with WordPress VIP, which I mentioned in the previous post.


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