Video - How Pokémon Go can make money
How Pokémon Go and free games are designed to make money
How can Pokémon Go make money? Yes, how are Pokémon Go and other free apps designed to make money?
This particular business model is called "Freemium", and it's based on "in-game purchases".
"Freemium" is a popular business model whereby basic services are provided free of charge, while more advanced features must be paid for.
"Freemium" applies to video-games and apps like Pokémon Go, where you can make "in-game purchases". "In-game purchases" are items or points that a player can buy for use within an app to improve a character, or to save a certain game status, or (often painfully) acquired points.