Sage 100 ERP New Licenses Subscription Only After March 27?

Sage_Lobby

Numerous Sage 100 ERP sources  indicated they were told by  Sage contacts that after Friday March 27, 2015 Sage 100 ERP license pricing might change – with one source claiming to have been told that Sage 100 ERP  would be available via subscription only  for new  / reinstatements and no longer sold to new customers as perpetual licenses.

This , if accurate, is not entirely shocking as Sage have been publicly talking about pricing changes for some time and the current menu of pricing options (perpetual, user, subscription, etc) is confusing even to those used to quoting  prices.

In addition, these sources claim  Sage  indicated an activation fee may  be required after the 27th. The exact mix of how and when this would be implemented is still uncertain.

For example there could be one set of rules for brand new purchases and another for reinstatements. Also unclear is what changes, if any, would occur for existing Sage 100 ERP customers renewing their ongoing maintenance.

In 2013 Sage began a policy of implementing an annual pricing review for Sage 100 ERP.  The increases in 2013 and 2014 were 3% respectively to the SLP of the Sage 100 ERP product and were made effective May 1.

These types of pricing plans tend to be fluid and in some cases not everyone inside Sage is as knowledgeable about  future plans so until an official notification and FAQ is issued I’d file this as unconfirmed – however it seems likely that some pricing  change will arrive after 3/27/15.

Update 3/24/15: Several  consultants called Sage and said they were told some variation of  “Winback percentage will be decreased next quarter from 20% to 15%. Other than that, there is no general knowledge in the sales group”.

Update 3/24/15: Additional update a consultant says they’ve received from Sage

… probably going to change the Winback program next quarter – I think we have a grace period through April, but what I am hearing is the discount will go down to 15% from 20% and of course they will lead with subscription. They have been playing with the pricing and originally I heard on premise option was going away. It is not— but they have not agreed on what the pricing will be – so this gives us a 30 day window. This is a fair compromise so if you have any winbacks you have been playing with. I would suggest you get them in by April – as who knows what will be announced in May.

About Wayne Schulz

Wayne Schulz is a consultant who writes about the ERP industry and technology related news.