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Re: FTE-based pricing and usage-based pricing



Sally, The water and electricity user-based model is, in part, driven by environmental concerns. The hope is that by implementing a use-based model, use diminishes. Unlike what we hope for in our libraries, diminished use is a desirable outcome.

As for phones, if you lived in Australia, I think you would find your land line use greatly diminish after you saw your first use-based telephone bill - even if you had a teenager (just threaten to dock the cost from their allowance...)

With all due respect, I don't think the e-publishing and utilities sectors are comparable in this case.

Vivian Stieda, General Manager
Health Knowledge Network
1492 Health Sciences Centre
3330 Hospital Drive NW
Calgary, AB T2N 4N1
phone: 403-220-8250 / fax: 403-282-7992
email: vstieda@ucalgary.ca
URL: www.hkn.ca


Sally Morris (Chief Executive) wrote:

Usage-based pricing only discourages use at a certain level.

Do we refrain from using telephones?  Electricity?  Water?  Yet many
of us pay for these, at least in part, on a usage basis. It's all a
matter of pricing level, isn't it?

The trick would be to work out a pricing model which, in total,
produced the same amount of money (give or take) to producers, but
distributed its payment more fairly among users.  Of course, heavy
users who paid more would hate it - low users who paid less would love
it.  And that may, in fact, be the main obstacle!

Sally Morris, Chief Executive
Association of Learned and Professional Society Publishers
Email: sally.morris@alpsp.org
Website:  www.alpsp.org