Difference between Premium and Freemium
Where we all are shopaholics. We do not have to know beforehand what we are going to buy, we just want a place to spend money since this is our passion. We want the newest and best of everything. Today, there are options presented by companies that are there to attract more and more customer spending. Namely, they are premiums and freemiums. Since the inception of these enticements, their marketing strategies have sharpened their focus and have reaped the rewards of higher sales figures.
Diversity
Premium is offered by a company to its customers when they buy from them. It is either a service they offer or a product that they give in order to express their appreciation. This not only shows gratitude to the customer but satisfies their sub-conscious, especially in case of loyal, regular customers. On the other hand, freemiums are not offered when you conduct a purchase but are given away to customers and potential customers freely and on the basis of promoting the product. This comes with the intention of drawing a customer to your company.
Where You See Such Examples
You might thing that such schemes do not exist but look around you and you can find them instantly. Similar cases involve cereal boxes or snacks containing surprise items in them such as toys etc. All these instances are noted to be premiums. Alternately, freemiums can be the coupons that you get within magazines. Usually, you receive them by mail. Other examples are commonly seen as well and if you come to see it, these are very clever techniques of marketing which are successful in their own respective areas. But, if you see them collectively, freemiums do take the lead.
Which Is More Effective
Where premiums are a token of thanks, freemiums serve the sheer purpose of attracting customers. To be practical, freemiums are more effective since they attract a customer and they are fully aware of the new name or product approaching. Premiums are appreciated but freemiums give you information regarding a product and attract new people, not only satisfy their only customers. It usually depends on person to person, to what type of a shopaholic you are but usually for those who are willing to experience new products, then freemiums are definitely for you. This way, not only do you get to see what is new in the market, but you get to compare it too!
Similarities and Differences
Where regular followers of certain companies appreciate premiums as they are shown that they are recognized and acknowledged, freemiums are leading this race as they provide details and offers that premiums do not. Other factors that are involved in making freemiums the better option include:
- You do not need to be a customer when it comes to getting freemiums or buy something from a particular company to receive this offer.
- You can always keep hold of your freemiums or even share them and this method has been seen to be exceedingly successful.
