Change in pricing of libraries - pre-subscription to post-subscription

1Cor10 31

Long-time users know that, historically, Logos has discounted the Starter packages the most, and the discount gradually reduces as you go to Portfolio level. I think this was meant to incentivize the newbies to invest in Libraries. The pricing is now reversed with 2025 libraries. 

 

I compute Dynamic Price / Dynamic Collection Value to get an idea of value, with lower values indicating greater discount. 

 

For the standard packages, the Dynamic price of Starter is 10.7% of Dynamic Collection Value, going down gradually to 9.1% for Collectors. (Implication: discount is getting more attractive as you go towards the larger packages)

For Researcher packages, Silver is 10.6% going down to 9.3% for Portfolio.

For Preacher packages, Bronze is 11.9% going down to 9.8% for Diamond.

For Leader packages, Starter is 12.1% going down to 10.2% for Gold.

 

The reversal in pricing policy is not in line with other policy changes that we have seen recently, where they are trying to make it attractive for the newbie to buy a Starter package, then move up to Bronze etc. So what's going on? 

 

After going through the contents of the various packages to identify resources that I care about purchasing, I’ve not found as many interesting resources in the larger packages (I do have over 12K resources). Thus, I've come to the conclusion that they seem to have stuffed more fluff into the larger packages to make the discount seem greater!

 

This is one way they make up the 10% discount they are giving to subscribers (5% off store wide at time of purchase + 5% cash back). Some people were trying to argue, when the subscription model was introduced, that this additional 10% will cover their subscription costs. In finance, we teach that there is no free lunch. Either you are paying for it indirectly or someone else is paying for what you get. It is clear that you are paying for it indirectly by accumulating more fluff than before. So effectively the price you are paying is the same as before, if not more. 

  

[As an aside, the change in pricing policy means that it makes no sense to ladder up (buy Starter first, then Bronze, then Gold etc....instead of buying Gold directly) as before. Just buy the biggest package at one shot, if you find it worthwhile.]

Dale E Heath

1Cor10 31 said:

[As an aside, the change in pricing policy means that it makes no sense to ladder up (buy Starter first, then Bronze, then Gold etc....instead of buying Gold directly) as before. Just buy the biggest package at one shot, if you find it worthwhile.]

Especially considering the larger discount for the first purchase.

Justin Gatlin

I actually think this changed back in Logos 9 or maybe even 8. It was advantageous to ladder before that, so they started offering a first library discount to override the minor differences in discounted rates between packages.

Benjamin Quek

Ive noticed this too. I'm new to Logos and wondering what to buy. Due to dynamic pricing, do you think I would money but buying an old legacy starter, then buying the same package in bronze, then silver? Compared to jumping straight to silver?