Asigra introduces ‘breakthrough’ pricing model

Technology has enabled business model revolutions in many markets that are fairer to customers, allowing significant savings and better overall value. This has resulted in pricing overhauls in several markets, including the music industry’s shift from albums to per-song pricing; telecom’s move from per-minute to per-second billing, and the auto insurance industry’s Pay-as-You-Drive (PAYD) performance-based pricing as an alternative to monthly premiums based solely on actuarial statistics. The Asigra Recovery License Model gives organizations the option of selecting a fair pricing model based on how little they recover. The model is enabled by technology and follows what many experts agree is an evolving movement toward performance-based pricing that aligns with the value derived by the customer.

“Business model revolutions have been proven to obliterate how buyers consume goods and services. A perfect example is Amazon’s Internet-based consumption model which turned retail on its head or iTunes which changed the way we shop for and purchase music. This ‘Amazon Effect’ is a business model shift that happens when a marketplace adopts a new approach to consumption,” said Steve Duplessie, Founding Analyst, Enterprise Strategy Group. “This is happening in IT and Asigra’s Recovery License Model is one such example that could cause an upheaval in the backup and recovery space.”

The Asigra RLM addresses the growing expectation from technology buyers that the software and services they purchase must be priced based on their value. RLM pricing gives IT professionals the ability to better control backup and recovery costs, even as organizational data grows rapidly. With this approach, fees are based on a Recovery Performance Score that is calculated over a 12-month period ( every 6 months in the first year). A waiver is provided for the single largest recovery event in any licensing term and only successful recoveries are included in the calculations. This allows customers who recover less to pay less, and costs are capped so customers never pay to recover more than 25% of their data which provides predictable costs.

Backup Cost Containment
With industry standard pricing based on backup capacity, costs increase as data volumes grow. The Asigra Recovery License Model is based on a low, limited recovery cost so that expenditures remain low even as data volumes rise. Those who adopt this pricing model can anticipate immediate savings of 40% and long term savings of 60% to 70% as a result of separating backup and recovery license costs and associating price with recovery performance. The Asigra Recovery Tracker™, proprietary analytics tracking software, generates actionable information to enable performance-based savings and more user control on how customers are billed for backup software/services. The revolutionary model keeps backup and recovery costs under control over time, even with the trend of rapid data growth showing no signs of slowing down.

The genesis of the Asigra Recovery License Model follows customer demand for pricing that prioritizes data recovery over the backup of data. This is reinforced by recent Enterprise Strategy Group (ESG) research of IT managers and/or staff who influence backup and recovery purchasing decisions. The research revealed a number of findings related to data recovery, including the fact that most of the respondents attributed higher IT costs to rising volumes of data (data capacity). Survey respondents also indicated that they anticipate an increase in backup and recovery costs over the next five years as these volumes grow.

“Across the technology spectrum, more vendors are moving away from established pricing models to alternatives based on performance and overall value,” said David Farajun, CEO, Asigra. “The backup and recovery market now enters a new era to address the industry value proposition on data recovery…not backup. The Asigra Recover License Model introduces a very clear pricing differentiator based on recovery that provides both immediate and long-term value to the customer on a significant scale.”