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"Ask Joel," February, 2004, fourth item: https://discuss.fogcreek.com/askjoel/default.asp?cmd=show&ixPost=1389 https://discuss.fogcreek.com/askjoel/default.asp
by braythwayt 8y ago
"Ask Joel," February, 2004, fourth item:
https://discuss.fogcreek.com/askjoel/default.asp?cmd=show&ixPost=1389 https://discuss.fogcreek.com/askjoel/default.asp?cmd=show&ix...
"With software sold in corporations, as soon as your price gets up in the $3000 level, the amount of approval it needs is so absurd that you are not going to sell products without a salesperson making a few visits. Hiring the salesperson, sending them out to make presentations, hotels, airfare -- now it costs $50,000 to get the sale done just in sales closing costs. That's why you see a lot of software products at $100,000 and a lot under $3000, but anywhere in-between and it's impossible to make sales. (It's sort of funny -- these big corporations create so much bureaucracy around purchasing in order to protect themselves against losing money, but they just force the vendors to spend a fortune on salesforces, which results in vastly higher prices for the big corporations)."