New pricing based on business turnover
Our last major pricing evolution took place almost 2.5 years ago, and since that time, Lokad has been making steady and constant progress in developing its business. As a result, our old pricing had simply become out of sync compared to what Lokad has become; and an extensive revision was long due.
Originally, Lokad only had a single app Salescast. Then, we introduced BigFiles - a file hosting service, followed by Sync - our data integration service and finally, we released Priceforge, a full-fledged data processing engine. As the number of apps served by Lokad gradually increased, we introduced new subscription plans for these apps; however, in the process, Lokad’s pricing became rather complex.
Moreover, in the last few months, we have been working hard to bring all of these apps together. Today, thanks to Sync, your business data is directly copied as flat files into BigFiles and then loaded by Salescast to generate inventory forecasting reports, and also commerce intelligence dashboards composed with Priceforge. While these interactions might seem quite complex, a single button click can now trigger a full refresh that brings together all these moving parts within Lokad.
Flat monthly fees based on turnover
Our new pricing follows a short list of guiding principles:
- All features are available for all plans. We listened to our user community and realized that disabling certain features, like the access to Lokad’s API, was a pain for many small companies. It is not because a company is small that it is not seeking a very high level of automation. We want all our clients to be benefit from all of Lokad’s technology.
- Flat monthly fees. A metered, consumption-based pricing model is appealing on paper because it captures the exact service usage. However, metered pricing also means that the client is charged a different amount every month, which may turn out to be quite complicated for some of our customers. Moreover, it may often give the wrong incentives to our users such as reducing the frequency of forecasts in order to reduce their Lokad bill - all at the expense of degraded forecasts. Lokad now charges flat monthly fees, with a discount for annual prepayments.
- Thresholds based on turnover. Our new subscription plans are diffentiated based on the maximal turnover of the client company. For example, our new Basic plan at $150 per month is available for any company with up to $1.5M of turnover. As the exact turnover calculation may vary from one company to the next, we have decided to trust our clients and to primarily rely on a declarative process.
- The Express Plan remains free. For any company with up to $450,000 of turnover, our Express Plan remains free and does not expire. Moreover, as indicated above, the Express Plan now gives you access to all of the features. Lokad remains committed to delivering a free service to all emerging companies.
Impact for current clients
Current clients will be granted access to all Lokad features, no matter what they were already entitled to under their initial plan. No client will lose access to any particular feature because of the upgrade in our pricing terms.
Once a contract has been signed between Lokad and the client, Lokad will naturally keep honoring the terms of this contract. Clients can also request an amendment in their existing contract in order to reflect Lokad’s new pricing terms.
When no contract had been signed, as it is usually the case with the Express Plan, then, your company may or may not remain eligible for our Express Plan depending on its size.
Rest assured that Lokad will not cut off the service for any client before taking the time to engage in a discussion with someone from your company, which will take place over the coming months. Here, our primary goal will be to be fair with the expectations of our long time users.
As usual, our Lokad team is here to address your questions and concerns, don’t hesitate to drop us a mail at email@example.com if you seek more details about our new pricing.