Sage News and Discussion

Subscription licensing/pricing for 3rd party software I pointed out at the last BPAC meeting that if Sage wants to encourage subscription licensing, then they need to also get the master developers and endorsed solutions to offer subscription. As I put together quotes, I always have one or more pieces of software that are only perpetual, I come up with some lame explanation and the prospect is thinking WTH. Should Sage start making this a requirement for authorization? I know many of the reasons why they have hesitated to offer this, but I'm interested in some feedback from the master developers on this.

Interesting point. I also am curious as to what type of burden the 100/100c is creating from a programming standpoint. Are two sets of code required?

It looks like Scanco has this. I suspect others will follow. How are you pricing your consulting services ? Since subscription is paid annually I increasingly think that it's mostly smoke and mirrors and the only real change is a lowered up front cost with higher recurring. I just priced a 6 user 100c deal and I used annual because the customer realistically can't pay on a monthly basis for a mid-market ERP unless they're in a test phase.

With interest rates continuing to be low for the foreseeable future, this is really not the ideal time to be pushing subscription. I'm starting to consider the leasing route, especially for large installations that also need a replacement network and infrastructure. If their credit is reasonable, it's a much better business decision in most cases. Small companies and those that don't have stellar credit like the idea of subscription, because they don't have to write big checks or prepare financials for a financing company. I also only spec with Silver plans, because I can no longer sell the value of Gold and above. I know I've been positive about subscription and 100c, but if I'm being a good, honest consultant, I need to recommend what's best for the customer and their business. That's not always obvious until you run the numbers, review their financial situation, and consider the tax consequences.

I don't disagree. The problem I find with being a good honest consultant is making the good honest recommendation that also doesn't paralyze the decision process. I find introducing all the options - perpetual, subscription, leasing, financing tends to confuse the user and in turn subjects me to an unpaid engagement to prove what the differences are. In short, I've concluded I need to ""pick one horse to ride"" and make that be my proposed method because I'll never be paid to go through financial analysis of up-front vs subscription vs leasing.

I'm certain if we asked the 20 largest Sage business partners, they would prefer perpetual with leasing and their own support plans wrapped in. They would also prefer that Bronze software maintenance (only) at a lower rate be brought back, so the customers are using their support exclusively. It sure makes the quoting easier.