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Q: Need unique pricing model ideas/examples for new service offering ( No Answer,   0 Comments )
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Subject: Need unique pricing model ideas/examples for new service offering
Category: Business and Money > eCommerce
Asked by: sherpaj-ga
List Price: $85.00
Posted: 09 Sep 2002 14:54 PDT
Expires: 14 Sep 2002 01:43 PDT
Question ID: 63201
I am rolling out a new specialized outsourced groupware service and am
looking for ideas for an alternative pricing model.

We have a unique target customer (risky startups), and they don’t have
the initial funds to afford the standard cost of our proposed service.
 Here is what I mean.



HERE IS THE SCENARIO:
-----------------------------------
- The target client for this service is a risky startup that won’t
have revenues for 6 months.  If they pass the 6 month mark, it is
assumed that they will have plenty of revenues.  If not, it is assumed
they will be history.

- A 50% discount will be given on the front end (the first 6 months of
service will be discounted), and in return there needs to be some kind
of a payoff after the 6 month mark.

- Since the discount is given, and the company purchasing is risky
startup (i.e. the payoff for the discount may never come because the
company is toast before the 6 months), the payoff amount should be a
risk premium, meaning that it should be more then just a repayment of
the discounted amount.

- Equity (shared, options, or warrants) are not an option  The reward
must come in money.  Even if it is in the form of a price increase for
the same service.

- The service being given needs to be the same after the 6 months as
it has always been.

- For example, the service would normally cost $10,000 to setup, and
then $4,000 a month for hosting a 10 account version (10 employees).  
The discount given would be 50% off the setup, and 50% off the first 6
months.

- The goal of the service is to make the company run more efficiently
(and able to utilize temporary outside contractors/consultant/vendors
with the same level of collaboration as a in-house permanent
employees), so that more hiring a significant number of new employees
does not become necessary after startup takes off (after the first 6
months).

- The service is setup in a way that it cannot be metered, it is an
unlimited service.



HERE IS WHAT I AM LOOKING FOR:
-----------------------------------
I am looking for 2 specific things in this answer: 

1 - Examples of unique and innovative pricing models that other
service companies have used.  Preferably something that might apply to
what we are doing, or might spark an idea that evolves into what we
are doing.  I am looking for models that have the characterizes (and
fit the following scenario) as noted above:



2 - Suggestions from Google Answers fans for an innovative pricing
model for our new service.  (in the form of Comments to this
question).  Any contributions are very much appreciated.


Thanks in advance!
Answer  
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