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Software Pricing for Profit and Growth in Europe: Benchmarks and Best Practices for Competitive Licensing and Pricing
Software Pricing for Profit and Growth in Europe Benchmarks and Best Practices for Competitive Licensing and Pricing Author:Ken Lewis How do price levels in other countries vary when compared to the United States? How should volume discounts be structured for multinational customers? What pricing and licensing practices are used by fast growth and high profit software firms? Software Pricing for Profit and Growth provides benchmarks and guidelines for managing pr... more »icing and licensing practices in Europe. This and the other two volumes of Software Pricing for Profit and Growth are part of Culpepper's software Pricing and Licensing Series. This series is the result of a study addressing international software pricing and sales channel management. The findings are based on input from software industry executives and the business practices of more than 60 software firms doing business in 16 countries and regions. This volume of Software Pricing for Profit and Growth focuses on the unique features and challenges of software pricing and licensing in France, Germany, Italy, the United Kingdom, Eastern Europe, and the Nordic Countries. Our findings are presented in 80 data tables. To make it easy to compare your pricing and licensing strategies to similar firms, data in Software Pricing for Profit and Growth has been segmented by product type, typical sales transaction value, product revenue, growth rate, and net profit margin. Segmenting data by growth rate and profit margin helps distinguish the practices of fast growth and high profit firms. Setting a Price That's Right Software Pricing for Profit and Growth provides price uplift data, as compared to the United States, for software licenses, maintenance and support, education and training, and professional services. Issues and practices examined in regards to software pricing for international markets include: * How do software companies manage fluctuating exchange rates? * What are the effects of changing economic conditions on price uplifts? How do successful companies manage such effects? * What are the projected changes in price uplifts by the Year 2000? * How do price discounts in Europe compare to those offered in North America? * Are headquarters or regional offices responsible for setting prices and discounts? License to Sale Software Pricing for Profit and Growth looks at the different licensing characteristics and methods employed in Europe. Licensing issues addressed include: * What types of product licenses are offered (i.e. perpetual vs. renewable)? * Are maintenance and support services typically included in the license? * How do software companies handle the payment of tariffs and duties? * Do customers sign the software company's license? the channel's license? or receive shrink-wrapped (unsigned) software? * Is source code made available to channels and customers through licensing? Practicing Business Worldwide Each volume of Software Pricing for Profit and Growth provides information on the business practices of software companies dealing with multinational customers. You'll find answers to questions, such as: * Do software companies ever authorize their multinational customers to export products? * What methods help ensure that multinational customers are quoted prices that have a sensible relationship from country to country? * Are prices harmonized by geographic area or worldwide? * How are multinational sales balanced between the direct sales force and indirect sales channels? * What methods are used to ensure indirect sales channel cooperation in quoting harmonized prices? * Do software companies offer special multinational prices that aren't based on standard schedules? The More Purchased, the More Saved? Software Pricing for Profit and Growth takes a close look at how volume discounts are structured for multinational customers. Our findings help you answer questions like: * Are standard volume discounts offered? * What is the basis (e.g., units sold or revenue) for volume discounts? * Are volumes measured by sales within a country, region, or worldwide? * Do standard volume discount schedules vary by country, region, or worldwide?« less