Do not index
Do not index
Monetizing software presents unique challenges, which I've been exploring at Lunch Pail Labs. Traditional methods like licenses, productized services, and SaaS have benefits but also significant drawbacks.
For third-party developers, current integration models pose significant challenges, including the burden of indefinite support without ongoing revenue, unsustainable lifetime pricing, and the risk of leaving users dependent on developers who may eventually lose interest or shift focus.
A promising alternative is the "Once" model by Jason Fried, where users pay once to own the software and handle all maintenance. This model could be ideal for technically savvy users.
The "Once" Model
The "Once" model allows users to buy software once and own it outright, giving them control over hosting and maintenance. This model contrasts with SaaS, where users rent software and rely on ongoing payments.
Why the "Once" Model Could Work
- Target Audience: Ideal for developers who want full control over their software.
- Ownership & Control: Users avoid third-party dependencies and can customize software as needed.
- Market Success: Similar models, like selling boilerplates or open-source projects, have proven successful, especially among developers.
Challenges & Rebuttals
- What if users aren’t technical enough to manage the software?
The "Once" model assumes users have the technical skills to handle software maintenance. This model is best suited for developers and technically savvy users who prefer control and autonomy over their software. While it may not be ideal for everyone, it excels within its niche by catering to those who are comfortable with code and prefer full ownership.
- How will users get support when issues arise?
Users may lack the skills to address technical issues on their own. To counter this, developers can offer paid support packages or set up community-driven support options. These services allow users to get help when needed while still enjoying the benefits of owning the software outright. Additionally, offering paid upgrades or additional services can provide ongoing support and improvements without the need for a recurring subscription.
- Isn't Monthly Recurring Revenue (MRR) more appealing for consistent revenue?
SaaS models are attractive because they provide consistent, recurring revenue. However, the "Once" model can still be lucrative through alternative revenue streams. Developers can monetize through paid major upgrades, custom development work, and premium support. The simplicity of a one-time payment can also appeal to users who prefer to avoid ongoing fees, making the "Once" model a strong alternative to MRR-focused approaches.
The "Once" model offers a sustainable, user-focused alternative to SaaS, giving control back to the user. It could be a strong choice for developers and businesses, especially in a post-SaaS era where autonomy and ownership are increasingly valued. What do you think is “Once” something you’re interested in trying? Send me a note and let me know
.png?table=block&id=9ba33ac6-8e12-48f6-b980-4333b612ec56&cache=v2)