There's a massive difference between gigantic discount retailers who can exist on thinner profit margins due to distribution advantages and sales volume, versus a tiny developer producing a handful of niche products to a very small market. The survival strategies are radically different -- and for a plug-in developer in the music industry, yes, steep and frequent discounting could easily prove fatal. I very strongly doubt that "Making a couple million" describes the typical plug-in developer.bmanic wrote:You are so wrong. Making a couple of million.. when did that become "desperate"? No, it's the age-old "sales light the wallet" thing that has been the pinnacle of every modern success story in retail.Aleksey Vaneev wrote: I do not have opinions about conversion rates from other plugin makers, but considering many of them regularly run 50-75% sales their actions look desperate.
The shops that are still trying to desperately cling to old ways of selling things are going the way of the dodo.
It's not at all a coincidence that online stores that have constant sales (be it clothes, computer parts, music equipment etc) are the ones that have become giants.
Your way of thinking is very outdated and definitely not at all based on facts.
EDIT: Just noticed you added more to your post...
...a solid addition. Spot on, IMO.bmanic wrote:This probably means the swing will go the other way. To counter this race to the bottom market you need a very solid product that becomes "must have" and then price it accordingly, never having any sales at all (ala U-He) thus dramatically increasing the perceived value of the product. The problem is creating such a product as it needs to be top of the line, in every category (this means very good graphics). It also needs serious celebrity endorsement and of course it means being a truly exceptional product.
I still very much believe in that good products will sell if given enough exposure. Sound quality is still a very big factor. There are still seemingly simple plugins released in this day and age that just take your breath away because they immediately just "sound better" than the alternative.