How Not To Sell Software in 2012

Post by thematt » Fri, Mar 02, 2012, 10:23 PM UTC

aidenn0 wrote: post #123

thematt wrote: post #13

Earlier quoted context omitted.

Spot on. As an example of just how ridiculous it gets, we recently drafted an RFP for a solution for licensing our custom-made software to our customers and had a vendor come in with their solution. When it came time to discuss pricing, their response was "we charge based on the amount of revenue you'll be getting from the software...so just tell us how much money you're going to make from your software and we'll get…

I don't see what's wrong with this. If I have something that can make you $100M, why shouldn't I sell it to you for more money than if it would make you $100k?

As a vendor who's selling a single component, you don't know that and any sane company is not going to reveal to you how much money they're making from a proprietary product.

Post by bliss » Sat, Mar 03, 2012, 8:21 AM UTC

Hume wrote: post #31

bliss wrote: post #18

Earlier quoted context omitted.

Having spent the last year on a procurement project I agree, when it's millions of pounds at stake (much more in potential benefits) the sales process is necessarily protracted. However, I agree about the pricing games. In my experience, companies give a massive list price (but don't answer questions about how many companies actually pay that price - I figure none) and then argue the "discount" percentage. Stoney sil…

Do you know the price point at which purchase orders predominate over credit cards for payment? I'm launching a product soon and I plan to price it at $6k per year. I assume that the software will be paid for by PO but if anyone here has a different view, I'd like to hear from you.

Sorry, just saw your response. I need to use a PO for most any one off purchase over couple of hundred pounds and always for anything that involves a recurring charge.

Re: How Not To Sell Software in 2012

Re: How Not To Sell Software in 2012