Nexercise Inc.’s fitness app Sworkit provided users with workout…

Question Answered step-by-step Nexercise Inc.’s fitness app Sworkit provided users with workout… Nexercise Inc.’s fitness app Sworkit provided users with workout routines that required no equipment. In October 2017, the app was available in a free version with advertising or via subscriptions that included additional features and no advertising – a classic example of freemium pricing. While 1.5 million people made use of a Sworkit each month, the large majority of these were free users, and only a small portion converted to paid subscriptions. The Sworkit leadership team faced several challenges related to their reliance on advertising revenue, including unpredictability and low value per customer; this led them to re-evaluate their pricing model. Would eliminating or reducing Sworkit’s free access better enable management to capture value from the popular app? Sworkit management has asked for your help in deciding whether to continue with the free model as they move forward and based on your recommendation re: the freemium model they ask you to also make recommendations for moving forward regarding pricing, product development, and promotion. Your memo should be written to Sworkit management. Arts & Humanities Communications Marketing MKTG 510 Share QuestionEmailCopy link Comments (0)