What is Software Monetization?
What Exactly Is Software Monetization?
You may not have heard of the term Software Monetization before or maybe you have but are unsure of what it means. Most likely you are already embracing software monetization but you refer to it as licensing.
For many software vendors, monetization simply means collecting revenue by selling rights to use the software that they developed and protecting their valuable code. In this case monetization challenges revolve around protecting the revenue stream and defending themselves from piracy, theft, reverse-engineering, and misuse of software. But, monetization goes beyond just protecting revenue and involves enabling and sustaining revenue growth. With the adoption of cloud computing, virtualization, advancements in mobile technology and greater end user expectations for a great experience are forcing companies to change the way that they engage with their end users. For example, today’s end users want to do business with companies that provide them flexible licensing models (such as pay-per-use, user-centric, subscription), and provide a great experience and service- anytime, anywhere. In the post-sale economy, the relationship with the end user doesn’t end when the order is placed. As a market leader, your customers expect to be delighted and they expect that their interactions with your company will be simpler, faster and more intimate.
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As for preventive maintenance, it can enable medical manufacturers to meld the worlds of single-product sales with recurring revenues. That would involve a company selling a product that has the ability to alert the manufacturer and/or customer when the device is due for maintenance. And, Persky notes, the manufacturer could stipulate that the (revenue-generating) maintenance service can only be provided by its own dedicated technicians.
It's that time of year again, when Gemalto dedicates time to bringing thought leaders, customers and others in the industry under one roof to listen, network and interact about all the latest in software monetization.
Companies seeking to bring to market a Software-as-a-Service (SaaS) offering or software monetization for embedded solutions within their hardware products stand to benefit from this approach. With the market rapidly moving towards cloud computing, and the Internet of Things and machine-to-machine capabilities gaining ground, the opportunity to leverage a proven strategy in monetization is here. Taking advantage of the right approach ensures revenue and drives the ultimate value.
The Internet of Things (IoT) is set to herald in the next age of technology and computing, bringing with it all sorts of advantages and benefits as more devices connect in a myriad of ways. The IoT also poses significant challenges as networks evolve and change out of necessity, in order to handle the influx of traffic.
Cadac ultimately replaced its legacy licensing technology within days by building an SDK on top of the Sentinel Cloud SDK to support web-based applications and services. Gemalto's solution helped the company standardize on a single licensing technology for all software products, regardless of whether they reside on premises or in the cloud. The result has been reduced operational costs, an improved customer experience, and massive increases in efficiency, which Cadac has been able to pass along to its customers.
The cloud has afforded businesses all sorts of conveniences and opportunities previously off limits to most. In today's services-driven economy, customers are demanding more value, better service and innovation, and they're not afraid to do their research in order to find it. Businesses are under pressure to deliver that value while boosting revenues, innovating and simultaneously keeping their customers happy.
Gemalto also recognized the need to include flexibility in its solutions. Sentinel LDK and Sentinel RMS support a choice between hardware- or software-based protection keys, and the company's cloud-based solution, Sentinel Cloud supports a choice between software- or cloud-based license protection mechanisms.
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Software Monetization eBooks
Featured Case Studies
- Apollo Communications Protects its Intellectual Property and Enforces Software Licensing with Gemalto Sentinel
- Cadac Group Cuts Operational Expenses & Gains Licensing Flexibility with Gemalto Sentinel
- Sentinel LDK Assures Revenue, Expands Licensing Flexibility, and Reduces System Management Costs for CAD Software Company
- Softing Industrial Automation Works with Gemalto Sentinel to Monetize the IoT
- Miko Maximizes Software Revenue & Reduces Operational Expenses with Gemalto Sentinel
- Xsens Technologies Streamlines Operations & Expands Revenue with Sentinel
- Structural Test and Monitoring Software Protected by Sentinel Integrated with NI LabVIEW
- Seize the IoT Opportunity
- Format International Replaces Inflexible Software Protection and Licensing Dongles with Sentinel LDK with EMS
- Envitrans Reduces Software Piracy & Expands Revenue with Sentinel LDK and Sentinel EMS Business Challenges
- Snell Protects Valuable IP and Streamlines Licensing Operations with Sentinel RMS & EMS
- Following Several Acquisitions, Sage Implements Sentinel RMS to Harmonize a Multitude of Disparate Licensing Systems- existing on site now
- With SafeNet Sentinel, AEOL Protects their Market-leading Training Software while Driving Back-office Efficiencies- existing on site now
Featured White Papers
- Frost & Sullivan - Penny Wise, Pound Foolish: The Fallacies of Choosing to Build vs Buy a Software Monetization System
- NEW! Frost & Sullivan - Competitive Analysis of the Software Licensing and Monetization Market
- NEW! IDC Cloud-Based Software Adoption Delivering Value to Customers
- Frost & Sullivan - Get Connected to Profit: Embracing Software Propels Growth in IoT Era
- More Variety with Less Cost: Using Software Features to Achieve Product Differentiation
- Monetizing the IoT: Show Me the Money: A Grey Heron white paper sponsored by Gemalto
- Cloud-Based Software Licensing - A THINKstrategies white paper: Enabling Operational Efficiency, Delighted Customers and Sustainable Competitiveness
- Consolidating Software Licensing Technologies Post M & A: A survival guide for software publishers & intelligent device manufacturers
- 5 Tips for Software Monetization in the IoT
- IDC Supporting Software Business Transformation with Systems Designed for the Task
- How to Achieve a Cloud-Connected Experience Using On-Premise Applications
- IDC Meeting Customer and Business Needs in a Changing Market
- NEW! Cloud-Based Software Licensing: Enabling Operational Efficiency, Delighted Customers and Sustainable Competitive Advantage
- NEW! Pricing Model Flexibility as a Competitive Advantage
- NEW! Monetizing IoT - Show me the Money
- NEW! Monetization Strategies and Technologies to Future-proof Your Business