Grammarly

PLG

Productivity Tools

Last Updated: 20/04/2025

Grammarly integrates AI across all tiers to enhance writing productivity, with premium plans unlocking advanced suggestions and full access to its AI writing assistant.

  • Category
    Productivity Tool (Writing Assistant)
  • Employees
    1000+
  • Business Model
    Product-Led Growth (PLG)
  • Target Market
    SMEs and Enterprise

    Core Pricing Structure

  • Pricing Model: Pay-per-unit

  • Primary Value Metric: Number of users

  • Freemium: Yes, with basic features and limited AI features

    Monetization Strategy

  • AI features are included across all plans with tiered monthly AI prompt allowances

  • Feature Differentiation: Advanced AI capabilities in higher tiers

  • Upgrade Incentives: Higher prompt limits and capabilities in paid plans

  • Enterprise Customization: Custom AI usage quotas for large organizations

  • By maintaining their seat-based approach while adding usage limits for AI, they've created natural upgrade paths while protecting themselves from excessive usage costs.

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