Cost Less, Make More

Another work(ish)-related post, but a subject close to my heart, and usually good for some thoughts and rants.

In this case, we’re currently considering buying one of the most-pirated pieces of software in Christendom, Adobe’s Creative Suite. The reason it’s massively pirated is simple – the fucking ridiculous cost of it.

If we look at getting one licenced copy of the full bells-and-whistles CS5 Master Suite, it costs no less than £2,700. For a piece of software that’ll be updated/outdated within a year. What small company (or even medium-sized company) is going to pay nearly three grand for CS5 ? Let alone what little one-man-band web design company.  And yes, you can get a smaller/cheaper CS5 Web Premium for web design. That’s a mere £1,680.

Even more insane, that’s the prices if they send the software in a box. For download purposes, CS5 Master Suite is – um – £2,780. Yep – it costs you more to download the fucking thing than for them to box it up and stick it in the post. What?

Adobe are forever bitching that their software is the most pirated. There’s a reason for that – it’s priced itself out of the “reasonably affordable” market.

I’m pretty sure that if Adobe charged (for argument’s sake) £270 for the CS5 Master – 10% of the current price – the piracy figures for it would drop like a stone. £270 is reasonable for the software – perhaps even a bit more, but 10% was a nice example. Piracy wouldn’t stop completely – there will always be those for who even a pound is “too much” – but it would reduce epically. More people would buy the software – my own suspicion is that they’d actually sell more and make more by having the software at the cheaper price.

Sure, the price has been cut by 90%. But if you get 100 people buying it at £270 instead of one or two at £2,700, you’ve made a shitload more money on your bottom line than you have at £2,700 per copy. Even on the upgrades, people would be more likely to pay again for an upgrade, rather than pirating it.

And that’s the logic that seems to escape these companies. Reduce the price to a sensible/affordable level, more people will buy, less people will evade. Seems logical to me, anyway.