I recently attended the San Francisco regional nonprofit technology conference sponsored by N-TEN. Electronic Frontier Foundation attorney Kevin Bankston delivered the plenary address to the 200 nonprofits in attendance, and hit a lot of hot buttons.
An interesting email thread on ASP pricing models developed among Stanford alums recently. There's a complicated intersection of dynamics that include:
- Minimizing cannibalization between the hosted and boxed versions of your software
- Keeping your boxed software priced competitively, relative to boxed competitors
- Keeping your software-as-service priced competitively, relative to ASP competitors
- Maintaining a fair ratio between initial setup/installation/customization fees and monthly (or annual) hosting/maintenance/licensing fees