And likewise, we cancelled support on products and stopped using them, because of the tiered pricing.....a certain backup product vendor comes to mind.......
Cynthia Bridges-Fowler
North American Salt Company
a division of Compass Minerals Group
[log in to unmask]
http://www.compassminerals.com/
>>> Guy HPTraderOnline <[log in to unmask]> 03/18/02 01:17PM >>>
During the 2000 scare, we had a customer who wanted to rent a 967 for
testing software compliance off their production site. We rented them the
system for $700 per month. The software costs were going to be more like
$30,000 even though they were not going to have any new clients or workforce
access time to warrant the usage fee. If we hadn't found a work around for
them, they probably would have just held their breath and prayed.
We have lost many an opportunity to upgrade a customer because of the tiered
pricing program.
Guy Avenell
www.hptraderonline.com
----- Original Message -----
From: "John Clogg" <[log in to unmask]>
To: <[log in to unmask]>
Sent: Monday, March 18, 2002 9:27 AM
Subject: Re: [HP3000-L] Question
> Alan Yeo writes:
> >I like to think that the tier pricing we currently use is "fair".
>
> I think most of us understand the reason for tiered pricing, and are not
too
> bothered by it, in concept. The displeasure arises from the fact that
some
> notorious vendors use tiered pricing to extract inappropriately huge sums
> from their customers. I have been in the situation of upgrading from a
> large system, say a 997-600 with unlimited user license, to a somewhat
> larger system (997-800), and having to pay tens of kilobucks to upgrade
> software for which we already paid a high price. This is the extortion
Wirt
> refers to: The vendor knows you are heavily invested in the product and
> can't afford to abandon it on short notice. They use that situation to
get
> you to pay much more than any "small system discount" you may have
received
> in the past.
>
> Face it, some businesses regard their customers as those who keep them in
> business, and therefore treat them with appreciation and respect. Others
> regard them as opportunities to satisfy their greed, and look for any
chance
> to squeeze them. This is certainly something to consider when choosing a
> software vendor. When considering software, ask the sales person how many
> pricing tiers the company uses. If the number is significantly larger
that
> the number of tiers HP has, beware!
>
> * To join/leave the list, search archives, change list settings, *
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>
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