Databarracks launches 'simple' new pricing model into the channel

Peter Groucutt, managing director at Databarracks, explains the reason behind the transition: “When evaluating suppliers and buying a DR service there are a number of different factors that need to be considered. Understanding how the service is priced shouldn’t be an arduous task but a lot of pricing models can make it overly complicated. We have been guilty of it ourselves.

“Traditionally, our pricing for Disaster Recovery as a Service (DRaaS) was very specific but not necessarily very easy to understand. For an accurate quote, customers would need to do an inventory of their servers, storage and compute in order to get an accurate quote. This presented a few problems. Firstly, it was time-consuming for the customer and secondly, there was a risk of costing based on inaccurate data, leading to a higher monthly cost than expected.

“We’ve completely streamlined our DRaaS pricing model. Costs are fixed on a per-server and per-terabyte basis. It’s completely transparent and it aids conversations for buyers internally because there are no hidden costs – what you see is what you get, so it’s much easier to get buy-in from other key stakeholders.

“A financial director doesn’t care how great the technology is, or how knowledgeable the provider is, if you can promise him a reliable service and a transparent and consistent outgoing each month, that’s going to be a much easier conversation to have.”
Groucutt explains that not only does this simplified model make the buying process easier for the customer, it makes it an easier sale for the provider as they can give more accurate quotes:

“Partners can now produce accurate quotes on their own and can do it within minutes with just a small amount of information from the customer. It means instead of engaging in a long and complicated exchange with a prospective client to simply give them an estimated cost, they can spend more time building that relationship and adding value with our services.

“A big part of selling cloud services and maintaining your relationship with your customers is about building trust. By providing a pricing model that works and is honest, you create a relationship built on trust, which will last.”