Comments on: Pricing from a customer’s point of view http://www.microisv.com/archives/2005/04/10/customerpricing/ a community for independent software developers Fri, 05 Jun 2026 04:13:45 +0000 http://wordpress.org/?v=2.0.4 by: 3jamaica http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-115646 Wed, 12 Jan 2022 21:10:46 +0000 http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-115646 <strong>3reached...</strong> ... 3reached…

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]]> by: Zaine Ridling http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-2779 Fri, 29 Apr 2005 02:53:32 +0000 http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-2779 I forgot to mention that this does not include the devaluation of the USDollar against other currencies, viz., the Euro, which has effectively raised many overseas software apps by 35-50%. The impact of exchange rates on software pricing is another issue. I forgot to mention that this does not include the devaluation of the USDollar against other currencies, viz., the Euro, which has effectively raised many overseas software apps by 35-50%. The impact of exchange rates on software pricing is another issue.

]]> by: Zaine Ridling http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-2778 Fri, 29 Apr 2005 02:46:58 +0000 http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-2778 Oy, I need to learn math. The As-U-Type price increase was 40%, not 60% as I wrote above. Oy, I need to learn math. The As-U-Type price increase was 40%, not 60% as I wrote above.

]]> by: Zaine Ridling http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-2777 Fri, 29 Apr 2005 02:45:35 +0000 http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-2777 First, thanks Brian for responding to my post, and I appreciate you making clear that I'm arguing from a customer's viewpoint. While it's inarguable that, as you write: "Any business owner is free to price their product any way they choose. The market will eventually determine the fairness of the pricing model," my point was the drastic price increases I've seen between versions over the past 12-18 months. In the case I cited, As-U-Type had eliminated its Lifetime License version which sold for $30, and switched to a 12-month license for $50. Unlike a utility suite, As-U-Type does one thing: text replacement via words or spellcheck. Also, no additional functionality was added for its latest version, so there appeared to be no justification — for the customer — to upgrade to a version whose price had increased by 60%. It is the nature of utilities that users have several or many of them on their computer, not just one or two. I currently have well over a hundred, AI Roboform, Blogjet, DirSync, EmFTP Pro, FeedDemon, Investment Wizard, Nero, UltraEdit, and WinRAR among them, not to mention a number of freeware apps I donate to with each version. But when they become cost prohibitive, one's budget forces choices, usually toward freeware alternatives. By charging more than customers can afford or justify for a "one-trick utility," a developer risks killing the golden goose. Customers also run comparisons: I can buy an entire office suite from $80-$130. But one backup app is going to cost me $80? The cost of upgrading a high-priced utility is also a factor. While a time-limited policy (12-months) for As-U-Type is a good deal for its developer, Fanix, it's a bad deal for users. Finally, understand that users are reluctant to drop $50 to try a product. What if the developer abandons it or doesn't support it well over the next year or two? I'd rather the developer charge $30 to buy a license to get into the program, and after that, allow the developer to charge more on upgrades. Users appreciate and will pay for a program that's actively developed. I'll never begrudge developers from going to the bank, but as a customer I'll resent being taken to the bank. Six Apart supports my view, since customers were willing to walk rather than pay what they considered to be an unfair price increase. First, thanks Brian for responding to my post, and I appreciate you making clear that I’m arguing from a customer’s viewpoint. While it’s inarguable that, as you write: “Any business owner is free to price their product any way they choose. The market will eventually determine the fairness of the pricing model,” my point was the drastic price increases I’ve seen between versions over the past 12-18 months. In the case I cited, As-U-Type had eliminated its Lifetime License version which sold for $30, and switched to a 12-month license for $50. Unlike a utility suite, As-U-Type does one thing: text replacement via words or spellcheck. Also, no additional functionality was added for its latest version, so there appeared to be no justification — for the customer — to upgrade to a version whose price had increased by 60%.

It is the nature of utilities that users have several or many of them on their computer, not just one or two. I currently have well over a hundred, AI Roboform, Blogjet, DirSync, EmFTP Pro, FeedDemon, Investment Wizard, Nero, UltraEdit, and WinRAR among them, not to mention a number of freeware apps I donate to with each version. But when they become cost prohibitive, one’s budget forces choices, usually toward freeware alternatives. By charging more than customers can afford or justify for a “one-trick utility,” a developer risks killing the golden goose. Customers also run comparisons: I can buy an entire office suite from $80-$130. But one backup app is going to cost me $80? The cost of upgrading a high-priced utility is also a factor. While a time-limited policy (12-months) for As-U-Type is a good deal for its developer, Fanix, it’s a bad deal for users.

Finally, understand that users are reluctant to drop $50 to try a product. What if the developer abandons it or doesn’t support it well over the next year or two? I’d rather the developer charge $30 to buy a license to get into the program, and after that, allow the developer to charge more on upgrades. Users appreciate and will pay for a program that’s actively developed. I’ll never begrudge developers from going to the bank, but as a customer I’ll resent being taken to the bank. Six Apart supports my view, since customers were willing to walk rather than pay what they considered to be an unfair price increase.

]]> by: yolle http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-1876 Tue, 12 Apr 2005 08:46:36 +0000 http://www.microisv.com/archives/2005/04/10/customerpricing/#comment-1876 <strong>为您的 Micro-ISV 寻找产品点子</strong> Ping Back来自：blog.csdn.net 为您的 Micro-ISV 寻找产品点子

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