Shareware Profitable?

3/17/2004 2:47:41 AM

Shareware Profitable?

Recently, a shareware author wrote that one can no longer sell traditional shareware. What he meant was that successfully selling shareware products now requiring a level of marketing and development effort that is becoming indistinguishable from that required by full software companies. Perhaps, there are too many applications available now competing for buyer's attention and dollars.

I came across an article that suggests that shareware can be profitable. In this post on why people register products, The author claimed that crippling software does in fact lead to substantially higher registration rates and revenues. He performed an experiment by writing an application, Smart Doc, in a few days and releasing it to the web. The software used a random number generator to decide with a 50% chance whether the application installed would be "crippled." The application generated $34,075 after one year of release. Had all copies of the software been crippled, the revenues would likely have gone up by $17,125 to $51,200.

It was enlightening to see that a few days of effort could generate over $50K, but this was back in 1995.

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My name is Wesner Moise. I am a software entrepreneur developing revolutionary AI desktop applications. I worked as a software engineer in Microsoft Excel group for six years during the 1990s. I worked on PivotTables and wrote the most lines of code in Excel 97-- about 10 times the median developer. I have a Harvard BA in applied math/computer science and a UCLA MBA in technology entrepreneurship. I am a member of the Triple Nine Society, a 99.9 percentile high-IQ society.

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