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Pricing Models on AppExchange: A guide to buying Salesforce applications

We have all learned this lesson already—just because an app has the word ‘free’ next to its name, that doesn’t mean all of its functions are free forever.

In our latest article, we talked more about what AppExchange is, while briefly touching on the topic of app pricing as well.   But here, we wanted to take a closer look at the pricing models available on AppExchange, and how that affects the AppExchange consumer.

As you already know, Salesforce has most of the educational material readily available, so if you would like to know more about this specific topic, go for it. Our suggestion is to start by browsing the trailhead here.

However, if you are in a rush, we recommend scrolling through our list of essential nuggets of AppExchange pricing models.

 

AppExchange Pricing Model Types

On AppExchange, the application (or any other type of solution) pricing is closely related to licensing. When you buy an AppExchange product, you will find different pricing options that will reflect the licensing type.

 

Open solutions

Some of AppExchange’s most popular solutions are free, for instance—Salesforce Labs solutions—built by Salesforce employees. Even though Salesforce Labs apps are developed in-house, they are not official salesforce.com products and in essence, are more of community projects.

 

Free trials

The free trial includes a time limit on the application use, after which the cost will go back to standard pricing. AppExchange partners and solution developers often use trial periods to give customers a ‘test run’. These trial periods can vary in longevity, which is why we advise double-checking with the solution provider whether if after the period ends, the payment is automatic. You may get a surprise in the form of a massive bill if you don’t take extra caution.

 

Per-user pricing

Per-user pricing is unit-based pricing in which the solution vendor grants access to an agreed-upon number of users. Usually, in this form of pricing, customers can add more licences in the future, which are charged again, per number of user units.

 

Per-company pricing 

Per- company pricing is the second form of unit-based pricing in which your chosen solution comes with an all-inclusive cost—per application. This type of pricing means there is no limit on the number of users/licenses.

 

Subscription pricing

Subscription pricing stands for recurring payments, whether it’s monthly or yearly. We always recommend checking the pricing terms beforehand, because sometimes the application can be starting with a free trial, and then followed by a non-refundable subscription payment.

 

Final Thoughts

Before any new application acquisition, it’s always good practice to double-check if all of the solution’s requirements, functionalities and pricing match your needs. Hopefully, now you have a greater awareness of how AppExchange works, and therefore you can be more proactive in extending your Salesforce instance.

And in case you need any help, you can always reach out to Cloud Orca.

 

About Dare Akande information

Daré is a Salesforce 18 x Certified Salesforce Application & System Architect with over a 
decade of experience working with the 
platform including implementation across 
several household name brands

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