How do they make money? Business Models

Spotify: gives away music and upsells subscriptions. Let’s you play any song on demand


Gilte Groupe: has fashion experts buying clothing at discount prices from wholesalers and sells near wholesaler price in flash sales


Square: takes a fee of 2.75% for each payment


Dropbox: freemium. Gives some storage, let’s you upgrade for a fee


Twitter: Advertisement (sells promoted trends and other products) and access to its data (search engines)


Facebook: Advertisement (somewhat similar to adwords) and takes a cut from in-platform services payments of 30% (like when you buy those special-magical stuff to speed up your whatever-ville account)


Read article – Business Insider

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