Hi Chuck, Your comments about selling OpenOffice.org are relevant to this list because it has everything to do with marketing.
I am one of the Community Distributors listed on the OpenOffice.org web site. I say that with some pride as I consider it a privilege to be able to distribute and sell it both as a retail package and an OEM bundle with the new computers I sell. But I do not merely sell it. I also encourage my customers to put it on as many computers as they want and give it to their family and friends to put it on their PCs. If you look at the actual product that I distribute it is not merely a CD. It is the "official" ISO, that is, the ISO uploaded to this web site for distribution. I also download the artwork for the CDs and covers, format them for my software and printers, and add my contact information where applicable. I print directly to the CDs and use my own process to custom finish them for protection and a professional look. I print the case covers on glossy brochure paper and place the CD and the cover in a DVD Amaray case. I print a one sheet insert with a basic description of the applications in OpenOffice.org on one side and a Quick Start Guide that we wrote ourselves on the other. I print these on glossy brochure paper and trim them to fit. Finally I shrink wrap each copy individually. It is expensive and time consuming but I believe it is worth it because this product deserves a first rate package to match its value. It is also important. It is important because I am attempting to project an image that it is just as valuable and worthy of sitting on a shelf in a store, or a desk in a den or a cubicle in an office as Microsoft Office. Or Corel WordPerfect. Or any other professional office suite. In order to compete with the big boys you have to look the part. Sure, it is free to download, and many consumers, particularly the teens and young adults, love free software. But free software also has a stigma attached to it. The stigma is that no matter how good, free software is often perceived as dubious quality and reliability. Of course, those of us who are computer savvy know that this is not true. In fact, there is a lot of commercial software on the market that is half as reliable as some of the freeware, shareware and open source software that is out there. But the masses, and more importantly the commercial and government sectors are largely unaware of this and cling to the notion that in order to be reliable, it must be expensive. Cost equals quality. Value equals price. That is a misconception that must be overcome if OpenOffice.org is to gain acceptance and popularity around the world. Marketing is a key component to achieving this goal. So is distribution. But they have to work together. The community distributors attempt to do this on a local level. They make the CDs, they print the marketing materials on the OpenOffice.org website or they make their own, they advertise the CDs and they ship them out. Some do it at their own expense. Many do it for the cost of postage. And many, like my company, sell it. I explained how. This is why. I sell them for around $10. Sometimes this includes shipping. The reason is three-fold. The first, as I explained above is to cover the costs of making the CDs. The paper is expensive, the CDs are high quality printable CDs, the Amaray cases are a lot more expensive than paper tyvek envelopes or jewel cases. The ink, the wear on equipment, the electricity all cost money. And the time! If I charged for my time these disks would cost two to three times that. It won't make me rich. But it will compensate for some costs. The second reason is the convenience. Sure, anyone could download it. But many cannot, and if you asked the average person on the street he or she probably doesn't even know it exists! But they can walk in a store and see it on a shelf or find it for sale on a web site. That is called exposure. And that alone adds value. Yes, they can get it for free. But the goal is to distribute it to as many as possible - and encourage them to use it. Even if half the users in the world find it - and download it - how many will actually use it? How many programs has the average person downloaded for free and actually used or used on a regular basis? My experience is that people tend to download free programs because they are curious or just because they can. They may or may not really use it. However, I have found that many people who pay for software tend to use it more. Why? Simply because they are usually serious enough about using it to seek it out and purchase it, and once they make the initial investment are compelled to make the most of the money they spent. If it's free, it is expendable, if it has a fee, it is indispensable. Simple psychology. The third reason is value added. A few distributors sell OpenOffice.org for more than the cost of the CD plus a little tip. Much more. The reason for this is usually because they are bundling the CD with service and support. In this instance the user is really not paying for the software, but the assistance in learning to use it, and in some cases even resolving issues related to it. This is a very important and beneficial marketing strategy for the OpenOffice.org community as a whole because it not only raises awareness of the software through training and troubleshooting but it also elevates OpenOffice.org to a status of legitimacy and respect that commercial software distributed by Microsoft, Corel and others enjoy. Microsoft knows how to market their products. Why do you think their products are so overpriced? They use slick, expensive packaging, aggressive advertising, commercial distribution and an army of independent VARs (Value Added Resellers) to install and support their product for a price. And does it rally cost that much? Not really. They press so many millions of CDs the cost of production is negligible. The cost of advertising is chump change compared to the billions they make in profit. The support, although extensive, is networked with third party companies who usually charge for their services. But they can sell their software for hundreds of dollars per license. A lot of people pay it. Why? Because they perceive that value for the cost. It is expensive, so it must be good. It is more expensive, so it must be better. It is the most expensive, so it must be the best. Do you always get what you pay for? Not necessarily. But that is the general assumption. And Microsoft makes the most of it. So, is it a good idea to sell open source software that anyone can download free? Is it the moral, ethical and right thing to do? Or is it deceitful, denigrating and dishonest, a disservice to the cause? It depends on your point of view, I suppose, but to help open source compete effectively and successfully it is a vital marketing strategy to play the game with the commercial giants of closed source software on their turf and by their rules and not wait for the game to come to the community. As a Community Distributor I believe it is not only an option, but an obligation to market, promote and distribute OpenOffice.org the best way I can. Rick Rick Savoia Savoia Computer www.savoiacomputer.com -----Original Message----- From: Chuck Player [mailto:[EMAIL PROTECTED] Sent: Wednesday, December 07, 2005 9:57 AM To: [email protected] Subject: Re: [Marketing] eBay selling Open Office and other freeware cd's In the long run, my opinion about selling software that is freely available for download isn't likely to change. However, I do realize that it's simply my opinion and is no more right or wrong than anyone elses and do not feel the need to debate it. I also realize that this list is not the place for such pointless back and forths and apologize for mailing out a personal opinion. On 12/7/05, Alexandro Colorado <[EMAIL PROTECTED]> wrote: > > On Wed, 07 Dec 2005 12:37:30 -0000, Chuck Player <[EMAIL PROTECTED]> > wrote: > > > > Selling things that are freely available may not be legally wrong, but I > > have some moral issues with trying to make a buck off of other people's > > lack > > of knowledge. > > You mean like a medical doctor? > > -- > Alexandro Colorado > CoLeader of OpenOffice.org ES > http://es.openoffice.org > > --------------------------------------------------------------------- > To unsubscribe, e-mail: [EMAIL PROTECTED] > For additional commands, e-mail: [EMAIL PROTECTED] > > -- Chuck Player --------------------------------------------------------------------- To unsubscribe, e-mail: [EMAIL PROTECTED] For additional commands, e-mail: [EMAIL PROTECTED]
