The philosophy behind Openbravo’s Professional Subscription

How Openbravo Professional Subscription differs from the traditional software licensing 

What we find with commercially available software, be this an ERP, a desktop application or an operating system, is that it is traditionally sold as a license per named user. Some are sold with a one-time payment and others require an annual maintenance fee that provides updates and bug-fixes or if the maintenance isn’t offered, you can buy an upgrade or a new license for the latest version.

If we analyze this business model with this type of licensing, the company offering the software looks to make its profit on the product upfront and has little incentive that the user make productive use of the software. It may be possible that in a few years the end-user will again purchase an update of the application, but there really is no continuity to the relationship. Through this same dynamic, the software is proprietary and closed, only allowing the developer to extend the functionality and integrate new functionality and innovation to the product, depending on the companies internal capacity and priorities.

Lets compare this model then to how Openbravo ERP works under its Professional Subscription. This model, and more importantly, this philosophy begins with reducing the barrier to entry as much as possible so that the end-user can acquire and make use of the software. This way the end-user starts seeing the benefits almost immediately. The initial costs tend to be between 20% to 25% of traditional licensing costs, which allows the end-user to leverage most of its budget on implementation and customization of the solution, rather than on licensing.

Perhaps the biggest difference with the traditional licensing model is that Openbravo, from day one, is the ongoing commitment with the customer in two important areas. First, in ensuring the customer gains a real value from the use of the tool and makes use of it. You may ask why? Because if the customer does not see a real value since the beginning there is little incentive for him/her to renew the professional subscription the following year. Under the same paradigm, Openbravo also is committed to update and maintain the product, including integrating new functionality and innovation. This ensures that the product constantly integrates industry “best practice” in technology, processes, and functionality.

This philosophy is complemented and has a multiplier effect by being licensed as an Open Source product, since the product benefits from constant contributions from the developer community. Also extending the functionality of the product are the global network of hundreds of certified Openbravo Partners like Alexius International who integrate real world requirements from their clients into the core system or as verticals or function specific modules to the core system published in the Openbravo Exchange.

As tangible examples of this, Openbravo released in two years more than 30 maintenance packs and updates for version 2.50 and since version 3.0 being released less than a year ago we have seen more than eight major updates to the system, adding updates and new functionality to the core system.

In summary, the Professional Subscription commits Openbravo and its network of Partners with its customers that the value being provided is constant and is not limited to the initial sale of the software and implementation. This ensures that your technology that manages your business is not static, but rather sees ongoing improvements, providing you a greater value over time.

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