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142Re: [webanalytics] Re: Any Info on Pilot Software?

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  • Dylan Lewis
    Jul 28, 2004
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      For 10 Points: http://www.amazon.com/exec/obidos/tg/detail/-/B00000281T
      Aldo Nova (I don't remember, but Google does!)


      I also prefer to pay only once per license (per machine/cpu/data source/etc.,)

      This makes the most sense to me, and if I want to add hardward because
      the traffic is too much then so be it - another license.

      If I want to upgrade to the latest version - bam! another upgrade license.

      This is much better for me, the customer, because the cost is only
      once and not strung over the lifetime of the company.

      I experienced the same problem when looking for survey technology and
      went with a software solution. It was a bit more than the projected
      cost per year, per respondent would have been for a survey ASP.

      But, it was only one lump payment and then it was done - since then we
      have been using it more than we thought we would, and actually
      probably saved money even after the first year.

      But software is software is software - and not a service. It requires
      management, resources, and fine tuning. I would imagine that the ASP
      model does too, but not to the same extent and you get those handy
      "free upgrades" baked right in to the analysis.

      I hear that this causes some problems though when one weeks analysis
      is one way, and then the next it is improved by the new technology.
      Makes it kind of hard to do an apples to apples comparison (even if
      the apples are rotten).


      ----- Original Message -----
      From: wexler <wexler@...>
      Date: Thu, 29 Jul 2004 03:37:22 -0000
      Subject: [webanalytics] Re: Any Info on Pilot Software?
      To: webanalytics@yahoogroups.com

      --- In webanalytics@yahoogroups.com, Jeff Seacrist
      <jeff.seacrist@w...> wrote:
      > But it certainly raises an interesting question -- What does this
      > believe is the most "fair" way to scale the pricing of analytics

      Hmm. Am I allowed to broach the assumption that the idea of "scaling
      the price" is at all fair, if its based on use? Again, for an ASP,
      the approach reflects growing costs: As I grow in PVs, I naturally
      suck more resources from the ASP serving my web beacons. But when the
      software is on my systems, in my humble opinion, you have no right to
      address scale, beyond pricing for capability. I have to pay for the
      increased hardware to run the solution; I shouldn't have to pay MORE
      for the permission to use your software at that level of data.

      I understand from Jeff's note how he sees it as an attempt at
      fairness: Sites with smaller data pay less, yet get access to the same
      powerful tool "the big guys" get. But it comes off as a progressive
      tax: Those who have more data continue to pay more, even though
      everyone is using the same tool. And yes, one can group it out so
      that intial steps are smaller and higher steps are larger... but no
      matter how you spin it, it still _feels_ wrong when compared to other
      software pricing models.

      You can offer a junior version which caps out and won't report past a
      certain count of PVs... and a medium version with has no cap but
      cannot handle certain features. MS SQL Server has this approach with
      MSDE and the various version so MS-SQL 2K. But (arguing with
      myself), that does require more code management and versioning, which
      is distracting to the engineering staff.

      But when I buy an enterprise product, I will pay for the license, and
      I can run it on a little site or a big one. You have your license fee
      and annual renewal fee for support; whether I use it on large data or
      small is my business.

      I expect Word to be priced per-user (simultaneous or max count), but
      not per word typed into it. Should web analysis software (or ETL or
      OLAP) be any different?

      I am reminded again of the Oracle Power-Unit, Sun processor pricing,
      and IBM's chip-speed pricing, and I have to ask myself, "Why accept
      this and not the web-analytic software argument? How is it
      different?" I also have to point out that many survey tools charge
      either per survey shown or survey completed. But note that Oracle
      doesn't charge me base on the data I put into it: When I get the big
      version, I pay my money and I can put terabytes in it... or 4 tables
      with 10 rows each. As long as the machine stays the same, I pay the
      same (large) amount. And only the top of the line installable tools
      (that is, 2 or so) can get away with volume-based pricing beyond
      product cost; the rest cannot. (But that may be a market issue; not
      that they shouldn't but that they don't have the momentum yet, so
      perhaps bad example.)

      So, I dunno, if its the same bytes and machine instructions doing the
      same work, and you feel that I should be charged more because I put
      more data into it... that just feels like it defeats the purpose.

      I guess I would be happier with a tool which is enterprise priced but
      has no artificial caps on capability (and I count an arbitrary fee
      based on volume use of the tool as an artificial cap).

      Again, just one man's opinion. I know everyone has to make a living,
      and I continue to admire the clever functionality each product has
      brought forward, so I mention all this as a thought starter.

      Am I totally out of my gourd, living in a fantasy? Or is this a
      pricing model which others also believe is untenable? And for 10
      points, can anyone name the MTV darlings in the early 80s who also
      lived in a fantasy ("Life is just a fantasy, Can you live this fantasy

      Thanks, Michael

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