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Wolfgang Ulaga and Stefan Michel
Bill It, Kill It, or Keep It Free?
MIT Sloan Management Review, 2018
Was ist drin?
Two marketing specialists tease out the hidden costs of freebies.
Recommendation
Growing a company’s bottom line doesn’t always require finding new markets or attracting more customers. Plenty of opportunities exist to generate extra revenue for services companies already provide for free. Writing for MIT Sloan Management Review, marketing professors Wolfgang Ulaga and Stefan Michel lay out how companies can start charging for some of their services without jeopardizing sales quotas or customer satisfaction. Their well-researched case for “free-to-fee” transitions will motivate business executives to take a closer look at their business models.
Summary
About the Authors
Wolfgang Ulaga and Stefan Michel are marketing professors at INSEAD in Fontainebleau, France, and at IMD in Lausanne, Switzerland, respectively.
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