Why unlimited or lifetime product plans are sometimes good

Syed Balkhi talks about product life cycles, churn, and marketing in his post about the psychology of unlimited or lifetime product pricing.

At one point or another, you’ve probably wondered should I implement unlimited in my business? Is unlimited really sustainable or should I charge annual fee?

I too had these same questions at one point, and my mentors helped me understand when unlimited makes sense and when it doesn’t. Anybody who gives you an absolute answer: “unlimited is awesome” or “unlimited is not sustainable” doesn’t see the full picture.

We need to understand how people make decisions to fully understand the true power of unlimited.

There’s a lot of good reasoning in his post. And I definitely agree that the decision depends on the situation and business. Also worth reading, Travis Northcutt’s editorial on iThemes’ decision to offer such a plan for BackupBuddy recently.

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