I am not selling any of the software I have written so far. The products I have created were tests of applications that I gave away for free. I first thought I would determine all the things needed to create and release products first. I also used this to gauge how minimal marketing methods would reach an audience. However I eventually planned to write software that could be sold to customers.
Traditionally there is a science to the pricing of software products. Conventional wisdom states that you set pricing based on concrete factors such as competitor pricing, costs to manufacture, and customer needs. However I read a bold article on ways to think about pricing that are out of the box.
This novel approach to pricing advised you to not price based on what other people are charging. Instead you should choose an astronomical price. That way you can find out what the maximum your customer is willing to pay. I have tried this approach with several customers for some work. This normally resulted in the customer rejecting the price. And they used their negotiating expertise to find out how low I would go for pricing.
Some of this pricing applied to custom work for a specific customer. My problem is how to price a software title that I will mass distribute and sell. It still might be prudent to set the price point very high. That means I will have less customers to support. It also might set the precedent that my software is very valuable.
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