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November 16, 2010 09:23 AM

Categories: Licensing Issues

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Fatandrich

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Joined: 09/13/2006

We provide a SaaS sourcing and procurement product using a subscription (per user per month model). It works well for most organisations but some of our global clients are looking for enterprise licensing - whereby they can have more users and more predictability of cost. 

I'd appreciate thoughts on how we can provide an enterprise model which compliments rather than compromises our subscription model.   

Thanks

Discussion:    Add a Comment | Comments 1-3 of 3 | Latest Comment

November 16, 2010 3:39 PM

Can you elaborate on exactly what kind of pricing you've tried that doesn't work or what you would be open to? For example, did you consider 'tiered' pricing, whereby when you reach a certain number of users, e.g. 100, 1,000, or whatever, you charge a flat fee, until you hit the next tier. For all users under that number, the per user fee holds.

November 17, 2010 12:28 AM

We're open to exploring a number of options: we are considering tiered pricing (as you described), it seems the best option as its easy to meter and bill and provides the customer with predictable costs. We may need to limit our support (by hours, calls, languages etc) and there may be implications for infrastructure - some Enterprise clients are demanding where their transactional data is hosted. I'd be interested in comments on how this approach would work in practice.

Also keen to think through alternatives.

November 18, 2010 9:47 AM

I think you could also have different tiers/levels of support/maint, so that if the enterprise customer is more demanding/expects more then they should be ok to pay more for that service. I have seen this work very well with many of my clients.

Jeremy

Discussion:    Add a Comment | Comments 1-3 of 3 | Latest Comment

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