4 Key Requirements to Consider a Freemium SaaS Model

Dan Rodrigues

November 15, 2013

Everybody loves free! But that doesn’t mean that a freemium SaaS model is inherently right for your business.

Your customers love free stuff. You love it when your customers are in love. But, it turns out, not all products lend themselves well to the freemium model. And if yours is one of them, the experience could leave a sour taste in everyone’s mouth.  Dan Rodrigues, CEO of Kareo (an OpenView portfolio company), explains the four key requirements for a freemium SaaS model to be successful.

Before you just go giving things away, you’ve got to think it through, says Rodrigues. If your product markets itself, needs little support, has a logical next step for your customer, and is simple to use immediately, then you can consider the freemium model.

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Photo by: Brady

Founder & CEO

<strong>Dan Rodrigues</strong> is the founder and CEO of <a href="http://www.kareo.com/">Kareo</a> (disclosure: Kareo is an OpenView portfolio company). He founded the company in 2004 with a vision of simplifying medical offices with web-based medical billing software that replaces the expensive and complex medical billing and practice management systems. Prior to Kareo, he co-founded both software consulting firm Skematix and search engine Scour.