I'm completing an enterprise version of distributed software that manages remote inventories for greatly decentralized organizations. It is a total re-write of the older version that used Delphi 5.0 and a webserver called WebHub.

This new version is C# winforms, webforms, web services, .Net 2.0, remoting and, of course, LLBLGenPro. It's downright amazing.

Now, I'm negotiating with a very large company that operates out of more than 300 locations, each having its own inventory, supporting close to 100,000 employees. The software will eventually be located on approximately 400 coputers and will track and manage the movement of all inventories (and much more). It is mission critical.

This is, by far, my largest potential installation to date. Software modifications, training and technical support will be extensive.

How should I go able pricing this installation? Licencing fees? Maintenance fees? Consultation, training and support fees?

I know this is a loaded question, but I'd be very interested in any insights. I've never priced such a project before.

Thanks.

Jeff

Hard to say. A shrinkwrapped product comes with a fixed price. A framework which is tweaked/adjusted for the customer's needs is a fixed price + #hours * hourly fee.

I've the feeling your situation is the latter, thus a fixed price for the actual software, plus a price for # of hours * hourly fee for setting it up, training, custom work etc.

If the software itself is not that expensive (say 1000$), compared to the price for hour*hourly fee, you could opt for giving the software for free and charge for hours * hourly fee with a minimum # of hours.

Pricing products is very hard, it's a black art, especially in a situation where you're the only product...

I agree - there are very few apparent rules on pricing enterprise applications. Google has been no help. Even friends who have priced this kind of installation say that there are no hard-and-fast rules.

I think that I'll start high, say $1,000,000 per site licence, and then go down from there.

Wish me luck!

Jeff wrote:

I agree - there are very few apparent rules on pricing enterprise applications. Google has been no help. Even friends who have priced this kind of installation say that there are no hard-and-fast rules.

I think that I'll start high, say $1,000,000 per site licence, and then go down from there.

One tip a well known .NET remoting guru gave me once: Big corporations think in terms of: "If I have to hire the programmers myself and let them write all of this, how much does that cost me?", that's the maximum of your price range, go lower and you have a deal.

Wish me luck!

Good luck! Sounds like a great deal if you can start with one million