Final rant. I promise. 
Again, to me, I think that Allegorithmic struck the right sort of balance with their business model. They’re using a tiered structure that is largely based on revenue. On each level, the same exact software product is offered. However, different ancillary options become available or cease to exist. Here’s Allegorithmic’s structure in a nutshell.
TRIAL
- Try it out for 30 days and you’re done.
EDU
- 12 month renewable license
- Non-commercial use
INDIE
- Revenue under $100k
- SUBSCRIPTION OPTION: $20/month or $240/year for the suite
- PERPETUAL OPTION: $150 per app.
– 12 months of updates.
– Version frozen at the end of the 12 months.
– Update period can be extended for an additional 12 months as necessary
PRO
- Revenue $100k-$100M
- SUBSCRIPTION OPTION: $100/month or $1k/year
- PERPETUAL OPTION: $1k per app.
– 12 months of updates.
– Version frozen at the end of the 12 months.
– Update period can be extended for an additional 12 months as necessary.
– Additional support options during the 12 months.
– ADD-ON OPTION: Perpetual access to a material library for $7,500.
ENTERPRISE
- Revenue over $100M
- Info by inquiry only
- Options available for custom content, training, or priority support.
In all of the commercial models, they provide options for either subscription or perpetual licenses. In the case of the perpetual license, they also allow end users to control their own activation via license files. That eliminates SO much potential hassle for the support team.
Here’s why, imo, the Allegorithmic method works.
- Every user gets access to the same core program. That puts all users on the same even ground. More than that, it minimizes the work necessary on Allegorithmic’s side. No need to create a separate version for each license type. That, in turn, creates less work for the developers and the support staff.
- When users ARE asked to pay more, they get more. That “more” comes in the form of extended support options and side content. If none of that is used, you’re still being asked to pay more relative to how much money you earn.
- The subscription option provides Allegorithmic with a flow of cash. It provides users with steady updates and fixes.
- The perpetual model provides Allegorithmic with a one off bulk payment. It provides users with something to keep after the 12 months. Without further updates, that version might grow antiquated or unfixed, but it’s still the end user’s to keep. Like the “old days” of yore
- Enterprise users with the most cash to burn, let’s talk. We’ll charge you through the nose, but you can afford to pay for that extra attention and special care.
In effect, Allegorithmic’s tiered model looks to even the playing field for all artists regardless of how much or how little money they make.
GOING FORWARD… As any Adobe user can tell you, the $600 annual subscription price is a bloody steal. There’s just SO much bang for the buck. Back in the day, end users would pay close to $3k for the CS version, but somehow got less. With the addition of Substance products to the mix, the enormity of the bundle’s value will only increase even if they up the annual price by an additional $50. Adobe sells a product that people want at a price they can afford. Bundling? It just makes everything more convenient for all parties involved.
Here is, also imo, where the Autodesk method does NOT work.
- Selling multiple versions of the same product (eg. Maya & Maya LT) is a hassle for the developers and the support team. One need only look at The Foundry’s MODO and MODO Indie to see what I mean. It’s a nightmare, which often leads to the Indie package being one (or two) minor or even major versions behind. MODO Indie users also end up being treated like second class citizens. Even MODO Indie’s dedicated support people sometimes seem out of the loop and ignored. (Go to MODO’s Steam boards to see what I mean.)
- End users like options. The subscription model doesn’t work for everybody. Some people PREFER perpetual licenses. The idea that you have to support such license holders in perpetuity seems crazy. You don’t have to continue to provide support or hotfixes for perpetual license holders. Just keep their Autodesk Sign-In accessible to them and don’t lock them out after 12 months. Better yet. Give them a license key to allow them to activate offline. This way, once they pay and their support period ends, you can forget about them. Perpetual users sometimes like it this way. They’ll happily sacrifice future updates in favor of convenience and affordability. NOT providing a perpetual option might be great for ADSK, but not for the widest swath of consumers.
- AFAIK, there just aren’t any or enough bundling options on ADSK’s part to justify the extra expense. Adobe is a different company. I know. However, I kinda like how they bundle and price their products.
- ADSK says that the LT versions are user targeted, or some such marketing double talk. In fact, they are the worst sort of crippleware. They’re the sort that provides you with just enough functionality to get some work done, but not nearly enough to get it done all in one app. It is, in effect, creative “edging.” LT users sometimes have to jump through massive hoops. (Way worse things to compare it to than “edging”, fyi. Avoid Twitter if you don’t want to hear the other analogies. :p)
- I don’t think that ADSK really understands their market, rather its range and depth. Yeah. Sure. They totally understand how to make money off of studios. How to treat indies, freelancers, hobbyists, or other sub-$100k users? Not really. Such users might not deserve the same level of advanced support, but they at least deserve the same level of respect. More than that, high pricing and insultingly limited LT versions place a greater value on money than the future of the the industry. Creating tools that only pros can afford ensures that there will be no pros in the future. It’s a “gotta have money to make money” or “gotta have experience to get experience” situation. Chicken V. Egg. Eliminate one and the loop breaks.
- The final way in which the ADSK method doesn’t work: EDU. I’ve said it before and I’ll say it again. It’s abused to an obscene extent. The number of legit Maya users here (and elsewhere) is likely outnumbered by the outrageous amount using fraudulently obtained EDU license. It wouldn’t be necessary if the licensing and pricing models made sense and were more fair, a term that is SO subjective tbh.
Looking to Blender for insight is fine. I get it. Some of the ADSK higher ups want to keep their products competitive and push back any potential wave of Blender support. That’s just business. Totally fine. You even want to see how Blender is developing in ways that ADSK can learn from. Perfectly fine too. It makes sense. Totally.
HOWEVER, cribbing off of the next guy’s test answers isn’t necessarily the way. ADSK needs to take its own test, so to speak. They desperately need to address problems that relate more to basic infrastructure and less to program functionality. I can guarantee you with 100% certainty that if Maya or 3dsmax were more accessibly priced and licensed that Blender wouldn’t even be a blip on the radar. Not even a bug on your windshield or a stain on your shirt. Priced and licensed, ADSK would wipe most of its credible competition off of the map. Just look at Adobe. They’ve got competition. Why does nobody care about them? Why is Photoshop practically a verb? Because they provide a superior product at an unbeatable price. Period.
For ADSK’s part, looking at/to Blender is nice. Looking inward is better. I’m an ADSK subscriber, fwiw. I’m also a Blender user. To varying degrees, I understand the strengths and shortcomings of both. I know what I want from both. I also know what I DON’T want.
IMO, ADSK can learn much more from Allegorithmic and Adobe than Blender. ADSK needs to steal business strategies more than they do program features. (Not that Maya wouldn’t benefit from a Blender feature or two.)