Monetizing Freemium Communities: Does Paying for Premium Increase Social Engagement?

@article{Bapna2018MonetizingFC,
  title={Monetizing Freemium Communities: Does Paying for Premium Increase Social Engagement?},
  author={Ravi Bapna and Jui Ramaprasad and Akhmed Umyarov},
  journal={MIS Quarterly},
  year={2018},
  volume={42}
}
Making sustainable profits from a baseline zero price and motivating free consumers to convert to premium subscribers is a continuing challenge for all freemium communities. Prior research has causally established that social engagement (Oestreicher-Singer and Zalmanson 2013) and peer influence (Bapna and Umyarov 2015) are two important drivers of users converting to premium subscribers in such communities. In this paper, we flip the perspective of prior research and ask whether the decision to… CONTINUE READING