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CORE
EDGES
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Current situation
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A classic Volume-Discount pricing scheme is the most common structure used
for Enterprise Social Computing offerings
$
N
Dollar scale
Average cost for the organization of a new
user active on the application
Enterprise Social Computing application vendors have generally adopted a classic Volume-
Discount pricing scheme: the price per user is decreasing as you buy access for more
employees.
AverageCo s t
per user
Price is usually capped
after a threshold
Users scale (here
in total number
of users)
Number of active users (absolute number)
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CORE
EDGES
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Variations likeflat pricing may occur, but most usually fall back to the same old
and classic Volume-Discount pricing scheme
$
N
Flat price per user announced as
a list price
Some vendors choose to display aflat price per user per period as a list price. But of course,
it’s nothing more than classic Volume-Discount pricing after a — usually low — threshold.
The same can be said for thresholds in number of users (pay this for up to 10 users, than you
pay this for up to 100, etc.).
The main effect of these variations is to disconnect the marginal and average cost per user.
The trend for the latter remains the same however.
AverageCo s t
per user
Number of active users (absolute number)
AverageCo s t
per user
But of course you negotiate when you’re big
and fall back to Volume-Discount
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Current situation
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