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Outdated Pricing Models

February 2020

Most companies in the Meter Data Management (MDM) industry still have the mentality and expectation, that organisations who are going to buy their software want the “Enterprise” solution, and have endless buckets of cash to throw at their smart meter platform or offering. This nowadays is not the case and there is more and more drive to have re-use of technologies, agile offerings and faster implementation, all the while counting the cost to avoid reinventing the wheel. 

Let us discuss each of the methods of licensing that are commonly used today and how they are not relevant in today’s environment.

Module Licencing

This is by far the most common method that most MDM companies offer. Depending on what modules you want, you pay a set rate for each of them. This is useful if there are no additional charges and you use each module to its full extent, but may mean you’re paying for extra “modules” which from all intents and
purposes should have been in the base offering. For small to medium-sized entities, the extra capital expenditure to buy that extra module or two just may not be possible.

Tiered Volume Licencing

The second most common method is tiered or stepped volume licencing. This is where there is usually a base level charge, at which point depending what bracket you are in will determine what your final charges will be. If you breach a particular threshold into a higher bracket, you may find you’re paying a much higher rate than what you’d like to be. Often for small to medium sized entities, the size of these steps means that using software with this licencing model just isn’t feasible for your organisation.

Combination of the Above

Some companies like to get paid twice for the same work, so some will charge you a base amount for each module you choose, and then charge you again if you reach certain thresholds using their software. In these cases, it definitely seems like they are creating their very own method of printing money!

Fluid MDM’s Cloud Offering

After experiencing the behemoth enterprise solutions that took years to put in and still didn’t deliver even half of what was promised to customers, we decided to do it differently.

Cloud technologies work on the following basic ideas:
– Available from anywhere (not just while connected to your private network or on premises)
– Provides virtually infinite capacity on demand
– Pay for what you use (just like pay as you go mobiles)
– Hosted, maintained and supported by the vendor

As our platform was designed from the ground up with the above in mind, it includes everything an organisation would need out-of-the-box. Organisations of all sizes are finally able to get an MDM solution that solves their problems and scales as their organisation grows, without incurring the additional hardware and technical maintenance for something that is not their core business.

Summary
– Most vendors have licensing models that do not suit SMEs
– Our platform is based on a pay-as-you-grow model
– You only pay for what you use –  just like mobile phones
– Everything is included from day one
– Takes advantage of the elasticity of cloud computing.

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