Answer for: New prepayment options: Your thoughts?
#12 Why can't the current plan be
discounted too?
The original question was:
"How would the opportunity to prepay with a bulk discount change your view of Modwest? https://community.modwest.com/topic/126
No mention was made of a new plan (which I support) so my expectation was for prepay discount to be applied to the current plan. While I know I can keep my old plan, I'm left wondering why can't the current plan be discounted too?
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The discount here is the value modwest place on buying out short term risk. By pitching a lower price to it's many customers modwest can gain all their extra payment months up front. It may then choose to make some long term commitments to it's own suppliers in order to reduce the cost of sales enough to cover the discount on offer. I know it's more more complicated, but it all seems a pointless exercise if you don't strive for maximum uptake by targeting those on the current plans with discounts too.
We are still working on these details and your feedback is helping guide our deliberations, thanks.
I think that plans other than the Starter Plan may be somewhat irrelevant once the new plan is introduced.
I agree with your thinking and consider tweaking much better than one giant rejiggering, i.e., sticking with a starter and one other until the dust settles.
There are other ways to discount the starter. Not so much offering extra disk space or bandwidth, but doing something more meaningful with the other things people need that competitors may not supply, like providing a database and an additional email account for example.
As an afterthought, if instead of prepay yielding a discount on the starter, it yielded extra resources, then some sort of convergence between the starter and the new plan might be possible.