I found this article extremely useful. It gives the histroy on pricing software and why old models are no longer working.
For instance, you used to be able to sell a license and then get yearly software maintenance fees. This is no longer proving to be the best way or even a sustainable approach. The article explores aternative approaches, highlights the challenges of each approach and points out some examples of implementation.
Alternative Approaches
- Subscription licensing
- SaaS model
- Protect and sell your data
General Points
- Real money no longer lies in software
- Software is an asset, not necessarily money
- Try control the entire experience where possible (Apple)
- Money lies in leveraging the services around software
- Strategies you can explore for alternative revenue models
