International Pricing of Software [closed]
- by arachnode.net
I operate a small company that charges $99 for a piece of software.
I'd like to know what would be a fair price for non-US customers.
Today I sold a license to a party in South Africa. He told me he had been watching the project for two years while business justification could be made for the purchase as SA's currency is nine times weaker than the US dollar.
I found this resource detailing how much a Big Mac costs in various countries: http://howmuchatyourplace.com/how_much_does/Big%20Mac_cost.php
I realize that the cost of producing a Big Mac varies from locale to locale as does the demand for one.
I am aware that many software companies charge prices in local currencies that equate to the price in US dollars.
I am aware that my costs remain fixed, and I obviously I cannot discount the rate at which my time costs me. I'm OK with earning less per sale as I would rather get my software onto the desktops of those that need it rather than having them try to write it themselves. Support is light and I can usually point a user to an existing blog or forum post.
Being a resident of Hawaii, I am aware that certain goods and services cost more here. Power is up to six times as much per KWH as it is in, say, Seattle, and wages are approximately 60% of what they are for my profession (programmer).
I'd like to offer my software at a price that would be fair for everyone around the globe. If a currency is 2 foreign units to 1 US dollar, and goods and services cost 50% more and pay for an equivalent job is 50% of what it is here, should I charge, say, $50 instead of $99?
Is there a resource which would allow me to input a price in US dollars and adjust for a list of international locations?