[discussion] Schema of Valentina server licensing

Lynn Fredricks fci at europa.com
Thu Jun 19 16:27:49 CDT 2003


> > Question is, is OUR price: $50,000 sounds reasonable comparing to 
> > Developer's profit ?
> 
> Perhaps you mean "potential" profit; the developer must buy those 
> 50,000 connections now and attempt to resell them later.

You are right, there is an inherent risk in stocking up on additional
connections. By offering a reduced cost based on volume, it provides a
volume base reward to companies that are likely to need that kind of
volume.

At some point in every volume metric, there's always a "contact us"
point. For example, if you want to buy a volume license from REAL for
five seats, its going to be more per seat than 25 seats. And if you hit
Matt with an inquiry for 2,000 seats (or a site of about 2,000 seats),
he's going to come up with a very attractive deal.


> Well, I'm beginning to wonder about order of magnitude here.  If you 
> want to sell a VServer plugin for, say $999, that's one 
> thing.  If you 
> want to sell it for $9999, then I'm pretty sure I won't be buying it.

That's the real question Charles, and why we have explored the
subscription model as I outlined.

Its very easy to toss the subscription model and simply let developers
buy a flat deployment of 5 connections + X number of extra connections
on a totally ala carte basis. That lets you buy as you need. At the same
time, each transaction must yield a certain degree of profit to vendor
to make it worth while, and also provide some kind of reward to those
who make large volume purchases.

Best regards,


Lynn Fredricks
President
Proactive International, LLC

http://www.proactive-intl.com 



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