Question
Topic: Strategy
How To Sell Software Maintenance
Related Discussions
- Go To Market For Two Divisions
- When To Give Up On B2c Efforts
- Assessing A New Market
- Innovative Marketing Campaign Ideas
- Innovative Marketing Campaign Ideas
- How To Classify A Competitor/manfacturer
- Real Estate Company Unique Value Proposition.
- Nps Strategy & Change Management
- Recommendations: Campaign Planning/execution Tool
- Pricing Method Under Unstable Cost Of Raw Material
- Search more Know-How Exchange Q&A
Community Info
Top 25 Experts
(Strategy)
- Jay Hamilton-Roth82,374 points
- mgoodman77,239 points
- Chris Blackman45,171 points
- Peter (henna gaijin)32,342 points
- Gary Bloomer31,478 points
- telemoxie31,185 points
- Frank Hurtte27,231 points
- wnelson19,605 points
- SteveByrneMarketing14,082 points
- steven.alker14,021 points
- Blaine Wilkerson10,495 points
- Deremiah *CPE8,993 points
- SRyan ;]8,117 points
- darcy.moen7,754 points
- Pepper Blue7,080 points
- koen.h.pauwels6,085 points
- cookmarketing@gmail.5,512 points
- saul.dobney5,390 points
- Mushfique Manzoor5,128 points
- ReadCopy4,812 points
I have a small software company that sells software only online. Up till now I had no maintenance contracts, fees, just when user was ready to upgrade to the latest version, I would give discount based on time passed since original purchase, like:
1st year: free upgrades;
2nd year: 15% of full price (85 % discount);
第三年:30% of full price (70% discount);
4th year: 45% of full price (55 % discount);
5th year: 60% of full prices (40 % discount);
...
so, upgrade discounts were instead of maintenance. It works good, but I would prefer yearly maintenance fees, 15%, which would allow access to all upgrades, as long as they are on maintenance - basic practice in software for decades, right?
And I don't know how to 'signup/commit' customers for maintenance, so that i would just send reminder before it expires to pay for maintenance. If I would be there in person, I assume they would just sign little paper to commit to yearly maintenance, but how to achieve this online, I don't know.
I release upgrades (minor versions) every month, and usually new major version every 8-10 months.
So, here are a couple of questions that I'm dealing with right now:
1) How to make them aware that there is an option (not mandatory) of yearly maintenance -
a) maybe to include maintenance page in Quote/Offer/Invoice pdf?
b) give them 'checkbox' on website to 'commit' to maintenance, when they purchase software?
2) Some customers told me that if there was maintenance, it would be easier to sign of budget to pay for every year, than yearly upgrades to new versions. Is it easier for purchasing departments/persons to agree on maintenance when included in original license purchase?
3) When maintenance is due, how to make them pay for it? Since they don't deal with me in person, it's very easy to disregard email with maintenance reminder. Is this just my fear that could happen, or is this a fact in software world?
4) How to sell new maintenance system to existing customers, what could be best selling point/approach?
a) Those who just purchased software
b) Those who purchased years ago and never upgraded
I hope somebody can give me some guidance here and steer me into the right direction how to proceed.
Thank you
Mike T.