 |
Software,
Cost and Support.
by Gregg Lowney |
Commercial software marketing has evolved
over the years. A program that would have cost $20,000 in 1980 can
be purchased today for only a few dollars -- but you may pay dearly for
the support services. Part of this shift is a result of the
customers perceived needs for computer based solutions. In 1980
most people did not actively seek out software solutions to their
problems. Of the few people who needed software, many were unaware
of their need, and to the vendor finding and educating clients was
expensive. Today the business community seeks software solutions
-- they know what they want, and they often find it on the Internet.
There are two dynamics that determine
software cost -- they are development and support. In a perfect
world the cost of the initial development, ongoing development, and
sales costs would be what you pay for the software package and upgrades.
The cost of support is really determined
by the users ability to assimilate combined with the vendors ability to
document -- and the range of abilities on both sides is wide. The
cost in time of supporting both hardware and software cannot be
described to anyone who has not answered a support line.
Remember WordPerfect? While they
dominated the word processing market for years, they went broke holding
to a strategy that offered unlimited support over toll free lines.
A vendor cannot stay in business providing support to inexperienced
users who do not read the program documentation at the same rate applied
to experienced users who study the manuals.
These changes in software pricing
reflect the reality that all costs eventually get passed on to the
consumer -- in one way or another. This cost shift, from software
packages to support services, is a step forward in the industry. A
pricing policy that reflects the true cost of the services
provided each client will encourage users to educate themselves and
demand proper documentation for products they purchase. We should
welcome these changes.
|