[AccessD] The Business Side Of Databases

Exactly.  I'm selling an app, but what they get is service, support, and
constant new upgrades for s set price.

Once I get them used to my support they don't leave.  I haven't lost a
client in 9 years.

Reuben Cummings
GFC, LLC
812.523.1017


> -----Original Message-----
> From: accessd-bounces at databaseadvisors.com
> [mailto:accessd-bounces at databaseadvisors.com]On Behalf Of Eric Barro
> Sent: Thursday, June 21, 2007 10:33 AM
> To: 'Access Developers discussion and problem solving'
> Subject: Re: [AccessD] The Business Side Of Databases
>
>
> The key is being able to sell IT as a service and not as a
> product. When you
> sell IT as a service you get people dependent on it and you get recurring
> revenue. Products come and go and people can quickly discard a
> product that
> they don't like. However, people cannot quickly discard a service
> especially
> if they've been utilizing it over a period of time. Have you ever tried
> changing your gas, water or electricity providers? ;)
>
> -----Original Message-----
> From: accessd-bounces at databaseadvisors.com
> [mailto:accessd-bounces at databaseadvisors.com] On Behalf Of Reuben Cummings
> Sent: Thursday, June 21, 2007 7:23 AM
> To: Access Developers discussion and problem solving
> Subject: Re: [AccessD] The Business Side Of Databases
>
> I don't do any custom programming.  We have some apps that we
> thought up on
> our own or requested by clients or potential clients.  We create apps and
> sell them to local government (cities and counties).
>
> Now were I differ from a lot of people is I don't care about the
> sale.  I'd
> be happy to sell it for $1.  Actually I don't sell anything - I license it
> all.  I live on the service contracts for each app.  We charge
> anywhere from
> 600 to 1200 per year based on which app.  I have some clients
> paying as much
> as 4000/year.  The average is about 1000/year/client.  Doesn't sound like
> much, but with about 60 clients it's pretty decent income.
>
> And that doesn't include the consulting part of the business which is all
> done by annual contract.  The key is I only assume the 60k as my
> income and
> everything over that is a "bonus"
>
> On our flagship app which is by far the biggest and has the most clients I
> only spend about 40 hours/year in service work TOTAL - for all clients.
> They don't mind the fee because support calls, on site visits, and all
> future upgrades are included in the service contract.
>
> If the client chooses not to pay for the service agreement on an
> app the app
> gets removed.  The can keep the data, but there isn't much to do with it
> without an interface.
>
> Reuben Cummings
> GFC, LLC
> 812.523.1017
>
>
> > -----Original Message-----
> > From: accessd-bounces at databaseadvisors.com
> > [mailto:accessd-bounces at databaseadvisors.com]On Behalf Of Dan Waters
> > Sent: Thursday, June 21, 2007 9:15 AM
> > To: 'Access Developers discussion and problem solving'
> > Subject: [AccessD] The Business Side Of Databases
> >
> >
> > To Everyone:
> >
> > It's always interesting to see how people who work independently (like
> > me) are making money from developing databases or doing something
> > related to databases.
> >
> > This has been my major problem - I can make a great Business Process
> > Management System, but getting companies to pay for it is a real
> > challenge, even though their return on investment is probably 2X to 8X
> > in the first year!
> >
> > I do wonder if we could begin an ongoing discussion on the business
> > side of what each of us does.  I think we could all benefit!
> >
> > Does anyone have some thoughts or ideas on how we could do this?
> >
> > Thanks!
> > Dan
> >
>
>
>
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