NEVER sell routers.

Lease them for somewhere in the $5 – $10 range, I would expect the Calix device 
to be toward the high end of that range.  Lease includes management, 
troubleshooting, and free replacement.

Difference is when you sell a router, they still expect all those things, but 
with no recurring revenue.  Whenever I have sold or given away routers, I have 
regretted it.  Never again.  We do include a Mikrotik router as a demarc with 
business service, but essentially it is leased, just included in the cost of 
the service.


From: Christopher Gray 
Sent: Wednesday, June 01, 2016 11:56 AM
To: [email protected] 
Subject: [AFMUG] Pricing for Managed Customer Routers?

All this looking cnPilot and GigaCenter has me thinking about pricing models 
for managed customer routers...


What pricing models are others using for the R200/R201/844E managed home 
routers? Do you sell the customer the router, lease it, just give it, charge 
for management, sell it without management, etc?



[During a promotional time, I have been using the R200 and sell it to new 
customers for $50 (at a loss to help adoption). Then, I don't charge for remote 
management. I've been pretty pleased, but I'm debating whether to sell the 
router (since it requires convincing the customer) or just including it. Also, 
I want to start charging for management, but I'm not sure what a reasonable 
rate is. I recognize it will vary by area, but I'm looking for some ballpark 
numbers.]


Thank you, 

Chris

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