On Mondays, we hold our regular team meeting at OfficeBooks.
This week, we decided to tackle a rather difficult issue - pricing.
From the start, we envisioned OfficeBooks as an "accessible" package, that all small businesses can afford. But as we've worked to develop the application, we have come to learn that the total package (with work orders, sales, purchasing, and detailed inventory control) is worth way way more than we charge for it. Our pricing strategy has kind of worked against us in some ways. We frequently heard from prospective users that our price point was so far below the competition, that they didn't take us seriously.
Our metrics also suggest something we hadn't anticipated - people don't want the total package. They just want one thing. Some users want accounting, others want work orders, and others (most of our users) just want a purchasing tool.
In light of this - we've made some changes.
Starting November 1st, OfficeBooks pricing will increase to $179 a month. We will also break out purchasing (purchase order management) as a standalone product priced at $19 a month. In both cases, a discount will apply for users paying an annual rate.
The new pricing will not impact current paying users (your price will remain unchanged).
This is one of those tough business decisions you have to make every once in a while. We're confident the new pricing still represents incredible value for a business management application.
On this topic especially - we would welcome your feedback. Post a comment here, or email me directly firstname.lastname@example.org