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Re: Premiere Pro CC it is then?

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Bill Davis
Re: Premiere Pro CC it is then?
on May 6, 2013 at 7:58:21 pm

[Walter Soyka] "If Adobe is able to profitably raise Creative Cloud to a price where I can't profitably afford to use it, I am running my business wrong.
"


Having videotaped and sat through quite a few "efficient assortment" seminars for major retailers - I can tell you that there will be folks at Adobe looking at the optimum price point - and they will work like mad to make that price the exact number where lowering it by a percent will have more negative effect on bottom line sales than by raising it the same amount.

So the question is how many people are in the "price sensitive" group - compared to how many people are in the "price is secondary to features and utility" camps.

If part of this move is Adobe re-focusing on "facility level" players - the economics favor the latter camp and subscription prices will likely be forced higher spreading more of the cost over fewer seats.

With a subscription model the buying decision is ongoing - so the customer faces that decision over and over. Which is, to my thinking, less an "individual friendly" pricing model.

I wonder if Adobe is moving now partially banking on the fact that most of the leading economic indicators are trending a bit more positive. They may feel that people will iincreasingly think it's OK to "sign up" for a monthly credit card hit when things are looking a bit economically brighter. And while that may be statistically true, I'm not sure vast swathes of people "feel" that way yet.

Interesting times, indeed.

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