When and how to apply Add-On - Deepstash

When and how to apply Add-On

The Add-On business model is especially well suited for hard-to-segment markets, where customer preferences often diverge vastly. Simply dividing products into different levels or versions is insufficient; and no optimal value proposition can be guaranteed for a large number of customers.

The Add-On pattern can also work well in the B2B context, when multiple decision makers are involved. The Add-On pattern can be used to help certain technologies and accessories break through to the market. Often this requires add-ons to be cross-subsidised.


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