Freemium is a pricing model where a limited version of the product is free forever and users pay to unlock more usage or features.
The free tier is usually limited by usage (projects, seats, volume) or by features that matter most to heavier users and teams.
Freemium suits products that spread through use, like tools with sharing, public pages or badges. It costs hosting and support for users who may never pay.
Why it matters for a launch
A free tier lowers the barrier for launch-day visitors to try the product, but needs a clear reason for active users to upgrade.
Read more: How to price a SaaS product