The Marketplace Business Model – A Complete Guide

Amazon, eBay, Airbnb, or Uber are just a few of many companies operating as an online marketplace. Customers love them for their abundance of choice and shopping convenience. What you may not know is that these examples (as well as many other marketplaces) have become some of the biggest and most valued companies in the … Read more

The Freemium Business Model – A Complete Guide

What do Dropbox, Spotify, YouTube, and Fortnite all have in common? They are what people refer to as a freemium model. Freemium is such a big part of our lives that even SouthPark took the courtesy to make fun of it in its ‘Freemium Isn’t Free’ Episode. But how did it become such a wide-spread … Read more

The Subscription Based Business Model – A Complete Guide

Let’s face it: it’s 2021 and almost anybody we know is subscribed to some sort of service. Whether it is Netflix or Spotify, subscriptions have taken over the way we consume products. This article covers the ins and outs of subscription based business models, ranging from pros and cons to various examples and how to … Read more

The Lemonade Insurance Business Model – How Does Lemonade Insurance Work & Make Money?

The Urban Dictionary jokingly defines insurances as “a business that involves selling people promises to pay later that are never fulfilled.” Evidently, a growing number of people are less satisfied with their insurance policies. Non-transparent fee structures and late or no pay-outs are just some of the pains customers experience with their insurance companies. Younger … Read more

The FlixBus Business Model – How Does FlixBus Work & Make Money?

FlixBus is one of Europe’s leading mobility platforms, enabling consumers to take cheap inter-city travels via bus and train. But how a fairly young upstart challenge the many existing and well-established operators in the old continent? And how does FlixBus generate its revenue? Let’s dive into its platform, history and business model in more detail. … Read more

Five Factors That Influence Customer Retention

I’m sure you’ve heard it time and time again: convincing new customers to make a purchase is much more expensive than trying to convert existing ones. In fact, increasing your customer retention rate can boost profits anywhere from 25 to 95 percent. Furthermore, acquiring a new customer can be up to 25 times more expensive … Read more

The Lazada Business Model – How Does Lazada Work & Make Money?

Southeast Asia’s online economy hit $100 billion for the first time this year according to Google and Temasek. By 2025, it is projected to triple that. One of its major players is Singapore based Lazada. This article will cover how the company operates, its founding history and the various ways it makes money. How Lazada … Read more

The SoundCloud Business Model – How Does SoundCloud Work & Make Money?

Executive Summary: SoundCloud is an online music platform that allows anyone to listen to music from (mostly) independent artists. SoundCloud makes money from advertising, premium subscription services (namely Go, Go+, and Unlimited), audio mastering services, and ticket sales from events. The company operates on a freemium model, meaning its core product is free to use, … Read more

The Klarna Business Model – How Does Klarna Work & Make Money?

Executive Summary: Klarna is a financial platform that facilitates payments on behalf of other companies. It partners up with other businesses (mostly in the e-commerce space) to offer their customers the option to pay products after receiving them (via invoices). Klarna makes money via merchant fees, late payment fees, interest on consumer loans, interchange fees, … Read more

The Headspace Business Model – How Does Headspace Work & Make Money?

Executive Summary: Headspace is a mobile application that provides meditative and mindfulness lessons to consumers around the world. The Headspace app is available both on iOS and Android devices respectively. The business model of Headspace is based on three income pillars. A subscription fee that consumers pay to unlock the meditation content, B2B programs to … Read more