Freeware

[redman41]

How do the companies who issue Freeware make their money. Programmes such as avg, avast, spybot etc to quote just a few.
Obviously they make money from their full versions, but many of us use Freeware, so maybe someone can enlighten me?

[VHG]

Some companies like AVG and Avast SELL their software to big companies with multi site licenses, so get a lot of money for very little work.

Their software is only free to HOME users, and what they tend to give away is "basic" features like say anti virus or firewall, in the hope that they can encourage you to go out and buy their full security suites.

Of course once you have their "free" software on your computer they can use that as a lever to encourage you to upgrade to a more full featured version.

I am sure we have all seen the "adverts" on our computers for AVG or ZoneAlarm while the products are updating.

The other advantage of giving software away to home users is that those home users may also own companies that use IT, or work for companies that use IT, and they all need software.

You are far more likely to buy software for your work if you have used (and liked) a piece of software at home.

With millions and millions of PCs round the world, gaining a foothold is very important, and one way is to give away some of your software.

How many of us have heard of AVG, Avast and ZoneAlarm because we run it on our PCs at home, and yet larger companies like say Kaspersky are less well know because they dont do a free version.

I think in marketing terms "free" software is known as a "loss leader", give away a little in the hope people come back for a larger, costlier solution later.

[redman41]

Many thanks VHG for the info. It makes a lot of sense now.
regards