Then it is not a plugin but a Payment system connected to your server. Damn.

Let me see if it is right for my when it is released one day.

Actually its both. You will by the plugin and it will come with an initial bundle of credits. Each credit will be used for each paid transaction. The system doesn't care if the transaction if for 1 usd or 1000 usd.

That does cool my enthusiasm for this project some. Does this mean that your license to use the software, in effect, expires after your credits have been exhausted?

For example, the credits are good for the first 100 membership transactions.

After that, I have to go back to Joomlapolis and buy more credits to continue running my Website?

This means for each membership, I have to pay Authorize.net to process the transaction, and I have to pay Joomlapolis to provide the software to sell the membership and provide the access?

I am not familiar with any other extension working that way. On all other extensions I have in use, I pay a per site licensing fee and then pay for upgrade and maintenance for the software.

I assumed this would be the same. Why would you be looking at a per-transaction fee? What is the basis of that? You won't be providing an ongoing service, but selling a bundle of software. If people want the ongoing service, they pay for maintenance.

Since nobody has given a figure yet I am not arguing about the price at all. I may or may not use the service depending on the actual price. And in fact - for some a "per transaction" might be cheaper than buying a component. And most certainly I am on record that I am not at all opposed to propriety add ons to an open source product.

However - it is a definite shift in business from selling a software license to selling a service - as you will now participate in my business success - no matter what your product may be worth.

More important - once again: a "per transaction" fee is not fair at all - especially for this kind of product! If a transaction costs 0.10$ and I have 100 customers paying 1000$ the fee for the subscription module will be 10.00$ or 0.01% of the sale. If on the other hand I have 1000 customers paying 3.00$ each (about the figure we have), the transaction fee will be 100.00$ equalling 3.34%.

It is for that reason I would suggest the business model be reconsidered or provide two alternative models (e.g. a yearly fee)!

Post edited by: abo, at: 2008/12/19 09:34

Exactly. I have never seen such a Plug-In like this anyway.

abo wrote:

Since nobody has given a figure yet I am not arguing about the price at all. I may or may not use the service depending on the actual price. And in fact - for some a "per transaction" might be cheaper than buying a component. And most certainly I am on record that I am not at all opposed to propriety add ons to an open source product.

However - it is a definite shift in business from selling a software license to selling a service - as you will now participate in my business success - no matter what your product may be worth.

More important - once again: a "per transaction" fee is not fair at all - especially for this kind of product! If a transaction costs 0.10$ and I have 100 customers paying 1000$ the fee for the subscription module will be 10.00$ or 0.01% of the sale. If on the other hand I have 1000 customers paying 3.00$ each (about the figure we have), the transaction fee will be 100.00$ equalling 3.34%.

It is for that reason I would suggest the business model be reconsidered or provide two alternative models (e.g. a yearly fee)!

Post edited by: abo, at: 2008/12/19 09:34