2004-10-20 Coming Up With A Great Pricing Model

I've seen a lot of pricing models in my career. The typical ones tried to tie to number of users or number of cpus. The company I work for now has a decent one, I think. GSI gets a cut on every transaction. This works if you have established infrastructure and can predictably squeeze out more and more as volume goes up.

I was thinking that a fair price process would be a nice idea. The challenge is to get those with the most interest in your system to suggest fair price points. You might listen to the ones who helped you shape your product the most.

A good pricing model can make for an excellent pitch point when marketing your new business in sales calls and executive presentations.