3 ms·

I'm curious why they priced the ceiling at just $200/year for organizations, no matter how large. Are they targeting smaller businesses?

Terretta 13y ago
Can be put on someone's corporate card w/o budget approval. Dramatically cuts down red tape, so dramatically increases the number of corps that will readily sign up.
- pgrote 13y ago
  This. We have much more flexibility at lower limits.
- orthecreedence 13y ago
  Not to mention different teams within a corporation will probably have their own accounts due to communication issues.
- prawn 13y ago
  They could still offer another tier or two above that, including an unpriced enterprise tier. They've effectively put a $200/yr cap on earnings from a given client.
beat 13y ago
First, Kanban tends to be a small-group thing, even within large businesses. I'm sure someone in IBM is going to pay $200/year for a site license, but I doubt IBM is going to make a strong, centralized license control. Heck, it's not worth the TIME for a team to have the three meetings and twenty emails required, not for $200. And really, why should they have a complex pricing model? It's not like Trello is expensive to develop/support/operate. If they can get 10k organizations to buy a $200 license, they make a cool $2M for a not-complex piece of software with a not-complex business model. That's a very high profit margin, and still cheap enough to repel price-based competition (even free).
- larrys 13y ago
  "If they can get 10k organizations to buy a $200 license" Some organizations are not only willing to pay more but they will perceive a higher value with paying more. At the very least why not offer some extended handholding or support for people how have the budget to pay for that? This idea that everything needs to be free or cheap is not correct. Some people will pay more to be treated differently.
jliptzin 13y ago
There is an epidemic going around these days where people believe that if you charge for something, you're evil. People are happy to pay for things that make their lives easier. Many are willing to pay a lot.

Terretta 13y ago

Can be put on someone's corporate card w/o budget approval. Dramatically cuts down red tape, so dramatically increases the number of corps that will readily sign up.

pgrote 13y ago
This. We have much more flexibility at lower limits.
orthecreedence 13y ago
Not to mention different teams within a corporation will probably have their own accounts due to communication issues.
prawn 13y ago
They could still offer another tier or two above that, including an unpriced enterprise tier. They've effectively put a $200/yr cap on earnings from a given client.

beat 13y ago

First, Kanban tends to be a small-group thing, even within large businesses. I'm sure someone in IBM is going to pay $200/year for a site license, but I doubt IBM is going to make a strong, centralized license control. Heck, it's not worth the TIME for a team to have the three meetings and twenty emails required, not for $200. And really, why should they have a complex pricing model? It's not like Trello is expensive to develop/support/operate. If they can get 10k organizations to buy a $200 license, they make a cool $2M for a not-complex piece of software with a not-complex business model. That's a very high profit margin, and still cheap enough to repel price-based competition (even free).

larrys 13y ago
"If they can get 10k organizations to buy a $200 license" Some organizations are not only willing to pay more but they will perceive a higher value with paying more. At the very least why not offer some extended handholding or support for people how have the budget to pay for that? This idea that everything needs to be free or cheap is not correct. Some people will pay more to be treated differently.

jliptzin 13y ago

There is an epidemic going around these days where people believe that if you charge for something, you're evil. People are happy to pay for things that make their lives easier. Many are willing to pay a lot.