[Subscriptions] Subscription pricing concerns / ideas
Submitted by Guest on Wed, 01/11/2006 - 15:45
My understanding of the aims of the current subscription formula is to...
1. Recover initial seed funding
2. Reduce subscriptions dramatically when initial seed funding is repaid
3. Not penalise practices for running extra workstations
4. Make it very affordable for small practices
The potential market for OpenVPMS will predominantly have two existing software situations. Clinics will either be running recent software with associated (comparatively) high software costs, or they will be running a legacy system that has been paid for with low (or nill) runnning costs now. While price will be a motivator for those clinics with high software costs, it will not be for those running legacy systems.
I have the following concerns with the current model...
1. It may be seen as expensive for large practices that run legacy systems. Expecially when these clinics factor in unknown support costs
2. The model financially penalises early adopters while promising very low subscriptions to those who wait for the initial funding to be repaid.
Some additional aims...
Encourage early uptake by clinics
Encourage uptake by large clinics
Encourage uptake by clinics running legacy systems
Some alternative / additional ideas...
Have a sliding scale for additional FTE's
Have a lower maximum price per year for the larger clinics
Have a ceiling for total contribution over time
Discount the subscription each year to reward early adopters
When speaking to Tony after the Werribee presentation he also mentioned that someone else had suggested that each clinic just pays a one off amount, say $1000.
And two more from left field...
1. Ask clinics to contribute what they think it's worth or what it saves them. "Pay half your existing subscription", or ask them to pick something they think is appropriate between a specified min and max.
2. Continue to charge fees when the initial seed funding is repaid, but then start to refund money to those clinics that joined early. A twist on the pyramid scheme idea. Perhaps a bit of an administrative headache, but certainly rewarding for early adopters.
I suppose it comes down to the expectations of the initial seed funders as to their time frame for repayment, and what they consider to be the potential market for the software, and how quickly it will be adopted.
Obvoiusly, in the end it is their decision.
John
Large practices, legacy systems and a fair go