Are we evolved too much into a subscription-based society?
I had a friend who is going to launch a new app, and getting started with a subscription-based business model was a no brainer to him. He told me about the benefits of monthly recurring revenue, the ability to continuously add value for the end-user, etc. All fair points, but it seems that he is just following a trend without considering the other options. He doesn’t launch a stock photo site where every month 100 images are added to the webpage or aren’t planning to launch a bunch of new features in the upcoming months. So why he wants to force his product into a subscription model? Honestly, I get annoyed by all these regularly paying services which are draining my credit card every month. Unfortunately, I couldn’t convince him to change his mind, and he will launch his “Saas” product within a few months. But I start talking to other people about it. What I noticed are the following preferences: If I was buying a product I would prefer a one-time fee. If I was selling a product I would prefer recurring revenue. This dilemma keep brewing in my mind, and I begin to wonder about something: What if we partner up every week with a new maker and convince Her/Him to offer their SaaS product as an exclusive lifetime license deal. The deal is limited (one week) so it isn’t a replacement for your SaaS model, but more a temporary sales peak that will bring in some hard cash. For the buyer, we offer a unique opportunity to get qualitative applications at a fair/flat fee. For the maker, we will be faster at the break-even point and can use the fresh cash to invest in new features or products. I’m getting excited about this idea, and I’m turning it into a new project. I am wondering what you guys are thinking about it. Are you waiting for this your whole life, or is it all cold to you? Roast me plz!