Inflation and rising costs are a constant source of stress for individuals and businesses alike. Tough family choices about what to purchase, when to purchase it, and how to fit increasingly expensive necessities into tight budgets are mirrored by similar budgetary choices and challenges confronting small and midsized businesses. These companies are faced with difficult decisions about how to keep operations out of the red, continuing to turn profits as costs keep rising.
Predictability and transparency are crucial for dependable, methodical, forward-pushing business operations. While market conditions cannot always deliver this level of predictability, companies should have some level of assurance in the pricing of their business management technology. Organizations want (and deserve) to know beforehand how much their enterprise resource planning (ERP) investments will actually cost and that those investments will give them solid benefits and a good return on investment (ROI). At base, businesses are looking for fairness in cost, transparency in pricing, and flexibility in contract terms.
Acumatica feels the same. We believe in being clear and transparent with our customers—in proposals and pricing. This commitment takes two forms.
No Surprises
First, Acumatica believes that every customer has a right to “a software and services proposal with clear fee structures, and no surprises.” Too often, proposals from other ERP vendors gloss over, or entirely leave out, costs that they know they’ll be charging customers after all contracts are signed. With those points concealed, prospective customers often have no choice but to absorb these extra costs.
Such proposals may also include complex provisions that build in additional and unexpected charges in a convoluted way. If customers interpret the provisions incorrectly, they won’t know what fees are coming.
Other times, missing functionality cripples operations. In these cases, salespeople and implementation consultants confirm that the solutions a business has chosen will meet its functional needs, but, as the implementation continues, the business finds out a major customization project is necessary. The scope of the custom project keeps growing, as does the amount of money spent on the system before it’s even in use.
Fishhook fees hidden in the bait of a proposal that looks great on the surface are becoming too common. Customers must be savvy to root out these hooks and prepare for them, but that level of vigilance should not be the burden of companies running on tight budgets and even tighter margins. They should be able to trust their vendor to be transparent with fees on the front end. Acumatica is strongly committed to clear fee structures, so our customers never feel deceived.
Transparent Pricing
Second, Acumatica believes every business has a right to “transparent, fair pricing and agreements without long-term commitments.” Customers should be able to know what their business management solution will cost now and how that cost may change over time. And any price savings they may get on the front end should not come at the often-exorbitant cost of being locked into a long-term commitment.
Some ERP vendors subject businesses to sudden, frustrating hikes in subscription fees when it’s time to renew their contracts. These hikes could be 40%, 50%, 60%—even 100%. If those customers try to avoid these increases by reducing their technology footprints (e.g., getting rid of some modules, lowering the number of users in the system) the price still goes up because they have inadvertently invalidated their original license discounts.
In other cases, vendors promise fair and transparent pricing only when the customer agrees to a long-term contract. This keeps the business legally locked to the vendor for 3–5+ years. They can’t leave if they want to, and they’re stuck with whatever price hikes come their way.
Acumatica, however, offers fair, transparent pricing, period. From the outset, customers know how much the system will cost, how much any required or desired integrations will cost, and at what rate subscription prices will change over time. There are also no long-term contracts. Customers sign on with Acumatica for a one-year term, so they never get locked into paying for software that, over time, they decide they don’t want or need. These one-year terms also mean that Acumatica works hard, each and every year, to truly earn our customers’ trust. They don’t stay with Acumatica because they have to. They stay because they want to.
The Bottom Line: Fairness
Acumatica’s dedication to predictable fee structures and transparent pricing is, at its core, a commitment to fundamental fairness. Businesses deserve to be treated fairly, and Acumatica sticks to that promise.
Dave Munson, Founder and CEO of Saddleback Leather, says his company has seen measurable benefits from Acumatica’s fair pricing: “Our technology costs are now 33 percent cheaper, and we have 10 times the functionality. Our organic traffic is up 45 percent, and we are selling more because we are off NetSuite and on Acumatica.” Similarly, Chad Treadwell, Vice President of Operations at FSC Lighting, says: “We had heard about other vendors who get you in and then crank up the price later, but Acumatica doesn’t do that.”
To learn more about Acumatica’s predictable, transparent pricing, contact our experts today. The next article in the Acumatica Difference series is coming soon!