Why does a $10 App cost you $10,000?
The flareAI Fast Answers Series for Shopify Plus & Shopify businesses.
Let's say you are a business owner and you are considering a SaaS CRM app to manage your customer relationships.Let’s start with the obvious. The subscription fee for the app is $10 per month per user. You have 10 employees who will be using the app, so your monthly cost will be $100.
Yearly cost so far, $1200
Next, you will need to train your employees on how to use the app. This training could run half-day for 10 employees at $80/hour/employee including cost of trainer and employee time. $80 x 4 x 10 = $3200
Are your palms sweating? The yearly total is now $4400
Integrations. You want your CRM app to talk to your Quickbooks, Slack, Google Drive, and Asana. Boom, drop another $250/month in ongoing integration services. $250 x 12 = $3000
Yes, get a glass of water. The yearly total is now $7400
Support. You will need support for the app but also support for the integrations. Another $150/month. $150 x 12 = $1800
Now, you will really need to be propped up (supported). Total $9200
Updates & upsells. You will part ways :-) with another $800/year.
Mic drop! “Grand” :-( Total $10,000
Total Cost of Ownership (TCO) is a big deal.
That is why AI-based apps are gaining wide adoption.
AI apps auto-configure so virtually no install expense. They are very conversational, so the training costs are minimal.
They evolve (machine-learn) over time, in a way you are receiving free periodic upgrades that grow with your business.
AI super apps are re-imagining the app world through their ability to assist with apparently different activities in your business.
Welcome to the flareAI family!
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