Switching of Application Delivery Model from One-Time Purchase to Subscriptions-based – Movingtrend
Some tech giants are willing to shift Application Delivery
model from One-Time Purchase to Subscription based model. As the companies
stated that the One-Time Purchases is inexpensive for customers and on other
side it costly for the companies to deliver services and R & D perspective.
Applicaton Delivery Model Shifting from One-Time Purchase to
Subscriptions-basedCurrently many millions of apps are available for free, then
lot of apps are provided with one-time purchase and in return grant unlimited
access and services to the end-users. Subscription-based apps are one step
higher because apps subscription is based on monthly or annual charges.
As we know that each app goes through with three phases:
If the app followed One-Time purchase model, and let’s
suppose it cost you $1-2 approximately. Each app after delivery continouse
follow the maintenance phase. Definitely with the passage of time, every apps
introduces new features and enhanced functionalities in it to retain the
interests of its customers. But all these additional features and
functionalites are without cost.
Companies said Research and Development and other offered
services costly for the companies that’s why some companies wanted to shift application
delivery model to Subscription based.
How to Subscription-based Model effectively implement?
Subscription-based model as paid by customers on monthy or
annual basis. This model generated maximun revenue for the companies and in
return customer expects refined service, support, quality and value. Owner
ought to be provide consistent value add that might in the form of timely
updates, unique services that are not provided by any other competitive
Subscription-based model should be highly responsive, well
performing and exceptionally functioning. As no software is free of bugs,
anytime bugs encountered in the apps in this scenario developer response should
be fast to minimize the end-user disruption.
In any unwelcomed circumstances developer must be prepare
deliver a quick response in case of any user disruptions. In this case a quick
reply should be given by developer to ensure the competitiveness of the app. If
the app failed to deliver then competitive pricing forced the customers to
leave the app.
In case of app failure Robust analysis should be taken and
innovative solution should be provided on urgent basis to provide relief from
In one side subscription-based model in crease the marked
share for the owners but on other side it forced the developers to provide
innovative solutions and development of new features.