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Mandatory support?

"We're considering making the first year of support mandatory for anyone who buys our products. We're also considering making our support contracts 'evergreen'—that is, automatically self-renewing. Any advice?"

—Larry from Laredo                           



Dear Larry,

With respect to mandating the first year of support, I suggest you bundle it in with the sale of the product. In other words, the product automatically comes with 1 year of support.

Perpetual contracts can be good. You may, however, need to reword your contract/license agreement with verbiage indicating as such. Don’t forget to include your cancellation policy. Your paper value will also improve because you have clients under contract for an indefinite period of time instead of in 1 year increments. From an outsider's perspective you have less chance of losing a client than you do having one cancel.

Hope this helps.

—Mike Kennedy  mike.kennedy@hotelinfosys.com
    Director of Support, Hotel Information Systems
    949/598-6251




[Any other advice? Send an email to membership director Jane Farber at jfarber@asponline.com, and we'll post your feedback.]