On 5/7/08, Jared M. Spool <[EMAIL PROTECTED]> wrote:

>
> On May 6, 2008, at 12:15 PM, Robert Hoekman Jr wrote:
>
> When I started there, I was told, unofficially, that they never wanted
> > their
> > products to be too good, because then no one would call in to customer
> > support. And customer support is where all the up-sells happen. You call
> > about a problem or to set something up and end up spending more money on
> > other products related to what you need to do. This is how GD operates.
> > This
> > is why their site is so tragically bad and there is no apparent desire
> > to
> > improve it.
> >
>
> Shhh! Don't tell Andrei! You'll rock his world!
>
> :)
>
> Jared


Thats precisely the reason why I didnt pitch in into the last thread
otherwise I have exactly the story. Anyways here goes. We and almost all our
competitors have cases of exactly similar products one for the enterprise
market and one for the mainstream market with the only visible difference
being ease-of-use. The enterprise editions are difficult to use and hence
bring in a lot of dollars via training, deployment and maintanence whereas
the mainstream ones only bring in licensing revenues. If you ask the
mainstream customers for any of those additionals things they will walk away
but enterprise customers feel that a product without attached training and
stuff is incomplete product. The funny thing is that the enterprise edition
sells for 5 times the price of the mainstream ones but since the market size
is also 1:10, both eventually bring in similar dollars to the bottomline.
Think what would happen if enterprise also went without the training and
maintanence dollars, it would actually be adding 50% less dollars and that
will make no business sense which ever way you look at it.

Cheers
Pankaj
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