Adobe, cakewalk to name a few are doing this.
I quit them.
Rental is not of my interest
How about yearly subscription pricing for MTotalBundle?
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MeldaProduction MeldaProduction https://www.kvraudio.com/forum/memberlist.php?mode=viewprofile&u=176122 - KVRAF
- Topic Starter
- 14339 posts since 15 Mar, 2008 from Czech republic
What you mean by that?ckam03 wrote:What if you did a payment plan instead for the MtotalBundle? I think that might work out better.
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- KVRer
- 25 posts since 26 Mar, 2008 from Burgthann, Germany
Indeed. Although then, the seller has a lot of bookkeeping to do and a quite sophisticated online store will be needed. It's possible, but you get a lot of additional administrative work.ckam03 wrote:What if you did a payment plan instead for the MtotalBundle? I think that might work out better.
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MeldaProduction MeldaProduction https://www.kvraudio.com/forum/memberlist.php?mode=viewprofile&u=176122
- KVRAF
- Topic Starter
- 14339 posts since 15 Mar, 2008 from Czech republic
Aaaha, I see what you mean, that would indeed be quite disadvantageous for us. I mean everyone can "rent" money, and actually I'm against that. One of the reasons for Eternal madness discount - I don't actually want people to rent money, we have seen way too many "financiel crises' 
. I think people should buy stuff if they have money, and if not, they can always just ask at info@meldaproduction.com, I have lots of things to "work on" (like videos, presets...), so we can usually work something out 
.
. I think people should buy stuff if they have money, and if not, they can always just ask at info@meldaproduction.com, I have lots of things to "work on" (like videos, presets...), so we can usually work something out .-
- KVRer
- 25 posts since 26 Mar, 2008 from Burgthann, Germany
Vojtech, I wholeheartedly agree with this statement!MeldaProduction wrote:Aaaha, I see what you mean, that would indeed be quite disadvantageous for us. I mean everyone can "rent" money, and actually I'm against that. One of the reasons for Eternal madness discount - I don't actually want people to rent money, we have seen way too many "financiel crises'
I'll never buy anything on credit all my life!-
- KVRist
- 268 posts since 14 Oct, 2013 from San Francisco Bay Aea
If you move to a different city and know that you will only be there for two or three years, it probably doesn't make sense to buy a house. It probably makes sense to rent instead. But if you end up staying there for eight or ten years, renting will end up costing you more.pschoenb wrote:Or even more clear: If you cannot afford the permanent license, you even more cannot afford the temporary license, because in the beginning you pay less, but effectively you pay more.
Having both options -- rent and buy -- is a good thing. But there should also be a third option, rent-to-buy.
Let's say the rent is 200 euros a year and a lifetime license is 1,000 euros. After five years of renting, you might think you have paid for a lifetime license. But really you have been borrowing money from Melda while you make installment payments. So with these numbers the rent-to-buy arrangement should be longer than five years. Suppose Melda charges 20% interest, which is pretty normal for installment purchases in the U.S. Then it would take almost ten years to pay for a lifetime license (9.83 years to be precise).
Ten years is an eternity in the music software world. So I think that 200 euros a year is too little. Suppose you think a sensible rent-to-own agreement is five years and a fair interest rate is 15%. Then the annual rent should be about 260 euros (259.40 euros to be precise).
You can use spreadsheet formulas to do this for yourself.
I think the customer should have three options: (1) lifetime license, (2) annual license with no option to buy, and (3) annual license that converts to lifetime if (and only if) paid for a set number of years. The annual price for (3) would be greater than for (2).
As several others have already said, it's important not to eliminate the lifetime license option.
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- KVRAF
- 2807 posts since 8 Sep, 2009
Actually a payment plan is not necessarily 'evil'.
Many of us did another form of it when saving money for the first instrument, a bike/car or something that costs a lot compared to the monthly pocket money. We washed cars, delivered paper or worked as a waiter and saved the money until the needed amount was there.
The advantage of a payment plan is the immedeate use of the goods in question without waiting for it for 'years'.
On the other hand the rise of payment plans - even for people with low income and without the ability to save money every month - grew the problem of being caught in a debt trap. Many people just can't do their 'bookkeeping' and thus can't keep track of their financial situation.
Technically (from the seller's point of view) I see no huge difference to a subscription model assuming the monthly payment is done by CC.
Many of us did another form of it when saving money for the first instrument, a bike/car or something that costs a lot compared to the monthly pocket money. We washed cars, delivered paper or worked as a waiter and saved the money until the needed amount was there.
The advantage of a payment plan is the immedeate use of the goods in question without waiting for it for 'years'.
On the other hand the rise of payment plans - even for people with low income and without the ability to save money every month - grew the problem of being caught in a debt trap. Many people just can't do their 'bookkeeping' and thus can't keep track of their financial situation.
Technically (from the seller's point of view) I see no huge difference to a subscription model assuming the monthly payment is done by CC.
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- KVRer
- 25 posts since 26 Mar, 2008 from Burgthann, Germany
Everything correct from the math prospective, Richard. However, if I understand it correctly, Meldaproduction is a one-man company and I guess, Vojtech rather wants to develop fantastic plugins than opening a private bank house.rrichard63 wrote:I think the customer should have three options: (1) lifetime license, (2) annual license with no option to buy, and (3) annual license that converts to lifetime if (and only if) paid for a set number of years. The annual price for (3) would be greater than for (2).
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- KVRAF
- 10367 posts since 2 Sep, 2003 from Surrey, UK
^^^^
Ah ha, the fun of discounted cash flows.
... And then of course, there is the further fun of individual subscription pricing for those who have bought one or more individual plug-ins and wish to take up a subscription..
'Phoning home' will not go down well with everyone. IMO, it would be better to embed the end date (and machine id) in an encrypted licence key.
Ah ha, the fun of discounted cash flows.
... And then of course, there is the further fun of individual subscription pricing for those who have bought one or more individual plug-ins and wish to take up a subscription..
'Phoning home' will not go down well with everyone. IMO, it would be better to embed the end date (and machine id) in an encrypted licence key.
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missouribottom missouribottom https://www.kvraudio.com/forum/memberlist.php?mode=viewprofile&u=298692
- KVRer
- 3 posts since 13 Feb, 2013 from texas, USA
I love Melda plugins to death. As a result I already own a significant number of them, so this kind of arrangement would not work well for me, because I'd be renting a lot of plugins that I already own licenses for.
If the price per month were prorated to reflect the plugins I already owned (in other words, I could get a discount for being a loyal customer up to this point), I would jump on this.
Also, if I were new to Melda this would be very appealing to me.
If the price per month were prorated to reflect the plugins I already owned (in other words, I could get a discount for being a loyal customer up to this point), I would jump on this.
Also, if I were new to Melda this would be very appealing to me.
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- KVRist
- 137 posts since 31 Jan, 2006
It's that virus I will AVOID.
SOUND!
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- KVRist
- 50 posts since 22 Jul, 2011 from Minneapolis, Minnesota
I am not a fan of subscription software at all. I understand how it may be useful for some, but as a software tester and being deeply involved with a few software developers, I see subscriptions as ok short-term, but potentially disastrous long term, (for both users and company). No thanks!
Music folds and unfolds the universe.
http://soundyaudio.com/
http://soundyaudio.com/
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- KVRAF
- 2807 posts since 8 Sep, 2009
That's close to "leasing'.rrichard63 wrote:But there should also be a third option, rent-to-buy.
The model is that you rent for some time and have the option buy after the rent period ended (of course for a discounted price that reflects the prior payments).
A common way in B2B relations taking place for investments in machines, cars, etc.
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- KVRist
- 268 posts since 14 Oct, 2013 from San Francisco Bay Aea
That does make it very complicated. As someone else pointed out, Vojtech is a musician and software developer, not a banker or financial analyst.DarkStar wrote:... And then of course, there is the further fun of individual subscription pricing for those who have bought one or more individual plug-ins and wish to take up a subscription..
Excellent suggestion.DarkStar wrote:'Phoning home' will not go down well with everyone. IMO, it would be better to embed the end date (and machine id) in an encrypted licence key.