Bill It, Kill It, or Keep It Free?

Companies often provide free services to customers to set themselves apart from the competition or to secure long-term customers. But failing to charge for services can also backfire. Customers may get used to giveaways and protest when companies ask for money for other services. Also, customers may believe a service is of little value because it doesn’t cost anything. Furthermore, burying the costs for services in the overall price of a product means some customers will pay for services they don’t use. You also risk alienating your distributors if you give something away that they’re charging for. Moreover, employees providing fee-less...