What License Renewal Discount Should Plugin Authors Offer?

Written by Jean Galea
Written by Jean Galea

Last updated on 6 Dec 2013

This post is aimed at plugin developers but also to regular users. As a plugin developer, one of the important pricing decisions you will make, is what level of discount you will offer for license renewals.

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Table of Contents

Introduction

This post is aimed at plugin developers but also to regular users. As a plugin developer, one of the important pricing decisions you will make, is what level of discount you will offer for license renewals.

It is harder to get new customers than to retain those you already have, so you should be offering a discount on your plugins. With GPL WordPress plugins what customers are really paying for are the updates and support. Normally support decreases as time goes by, so it makes sense in this scenario to reward your customers with a discount for license renewals.

Here are the discounts offered by a few popular plugins:

Are you a plugin developer? Let us know what discounts you offer for license renewals. And WP users, what level of discount do you think is fair?

<span style="font-weight: 400">Written by: </span>Jean Galea
Written by: Jean Galea

Jean Galea is an investor, entrepreneur, and blogger.

He is the founder of WP Mayor, the plugins WP RSS Aggregator and Spotlight, as well as the Mastermind.fm podcast.

His personal blog can be found at jeangalea.com.

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2 Responses

  1. 65-80% discount is fair. In most cases new features are never used on existing sites, because the end user doesn’t pay for regularly improvements, so nothing changes on the sites – the new features are never used and the support isn’t needed either – the customer only wants security updates and fixes for new wordpress releases. 50%+ yearly renewal is not a fair price for that type of customer.

  2. I was researching this when i was introducing renewals in my plugins. What i found is that software vendors offer between 40% to even 80% discounts. In the end for my software i decided to go with 60%. I guess that any kind of discount is fair as most of the time renewing plugin is optional.

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