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Subscription based pricing advice

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EastSales2
2:32pm, September 15, 2007

I have a customer that is demanding a subscription based pricing proposal.  Have any of you done one for another prospect?  Any lessons learned?
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EastSales1
2:39pm, September 15, 2007
I had a really good experience with this.  Even though we had a very small deal, things really worked out well in the long-run as the recurring revenue and customer headcount grew.  I've attached our prospals.
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EastSalesVP
2:46pm, September 15, 2007

I have a lot of subscription based experience.  Here are the pros:

  • Easy buy up front
  • Lower level of organizations can authorize
  • Recurring revenue for company

Here are the cons

  • Small booking up front
  • Need to sign alot of these to make quota 

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