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We released an new version of our software about six weeks ago. It is a huge improvement over previous versions. Despite that we are charging the same price we charged for the prior four versions. The majority of our customers are ecstatic and absolutely love it. They have sung its praises everywhere. We've received lots of heartfelt thank yous for the new features. Sales are up, tech calls are down. It's beautiful.
Except...
With the prior version we had customers who would ask the price, hear it, declare it too high and we'd part ways amicably (for the most part). If they felt they weren't going to get a good value for their money, we weren't going to try to convince them otherwise. We'd just work harder to make something better which WOULD be worth the money to them and, presumably, they would want to buy it.
At least that was the idea. It didn't quite work out that way. Yes, we made something they just had to have and weren't willing to walk away without, but they don't want to pay the asking price. So instead of parting ways amicably after hearing the price, they've been arguing and haggling and trying to barter services. Some of them are even trying to scam us.
Some true gems I've heard [my thoughts are in brackets]:
"It's not fair that I have to pay the same price as everyone else." [How is that unfair? Isn't treating everyone the exactly the same the meaning of "fair?"]
"I can't afford that much so I should pay less." [And I'm going to go down to the grocery store and demand they give me steak at the hamburger price because I can't afford steak.]
"We are a charity and we need it to serve our clients." [Well. We are NOT a charity and we need your money to pay our employees. May I suggest you hold a fundraiser?]
"We are a small business and can't make money without [your software]." [Gee. We are a small business too. We can't make money without your...um...money.
]
"We are a school and we got all new computers. The old version won't run on them and we're dead in the water without [the software]. It's extremely urgent that we get the new version ASAP so there isn't a delay in getting materials to our students." [Congratulations on finding money in the budget for new computers. Compared to that, updating your software is a relative bargain. Since you mention it's urgent, we do accept most major credit cards and offer overnight shipping for $20 extra.]
"I'm very disappointed that you can't give me a discount." [I'm sure you are. Time will heal you, though.]
"I understand that research and development costs money. I just don't think it's fair that I have to subsidize it." [Yes. It's only fair to make everyone else BUT you subsidize it.]
"You shouldn't make [software] that works so well and then have the gall to charge so much money for it. People are going to want it who don't want to pay that much." [Ooooookay. May I suggest you Google "supply and demand?"]
Except...
With the prior version we had customers who would ask the price, hear it, declare it too high and we'd part ways amicably (for the most part). If they felt they weren't going to get a good value for their money, we weren't going to try to convince them otherwise. We'd just work harder to make something better which WOULD be worth the money to them and, presumably, they would want to buy it.
At least that was the idea. It didn't quite work out that way. Yes, we made something they just had to have and weren't willing to walk away without, but they don't want to pay the asking price. So instead of parting ways amicably after hearing the price, they've been arguing and haggling and trying to barter services. Some of them are even trying to scam us.
Some true gems I've heard [my thoughts are in brackets]:
"It's not fair that I have to pay the same price as everyone else." [How is that unfair? Isn't treating everyone the exactly the same the meaning of "fair?"]
"I can't afford that much so I should pay less." [And I'm going to go down to the grocery store and demand they give me steak at the hamburger price because I can't afford steak.]
"We are a charity and we need it to serve our clients." [Well. We are NOT a charity and we need your money to pay our employees. May I suggest you hold a fundraiser?]
"We are a small business and can't make money without [your software]." [Gee. We are a small business too. We can't make money without your...um...money.
]"We are a school and we got all new computers. The old version won't run on them and we're dead in the water without [the software]. It's extremely urgent that we get the new version ASAP so there isn't a delay in getting materials to our students." [Congratulations on finding money in the budget for new computers. Compared to that, updating your software is a relative bargain. Since you mention it's urgent, we do accept most major credit cards and offer overnight shipping for $20 extra.]
"I'm very disappointed that you can't give me a discount." [I'm sure you are. Time will heal you, though.]
"I understand that research and development costs money. I just don't think it's fair that I have to subsidize it." [Yes. It's only fair to make everyone else BUT you subsidize it.]
"You shouldn't make [software] that works so well and then have the gall to charge so much money for it. People are going to want it who don't want to pay that much." [Ooooookay. May I suggest you Google "supply and demand?"]
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