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	<title>Uncarved &#187; Macheist</title>
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	<description>An ongoing tension of potential, or how i learned to stop worrying and embrace the iterations.</description>
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		<title>The Macheist Controversy</title>
		<link>http://uncarved.prometheas.com/2009/03/the-macheist-controversy.html</link>
		<comments>http://uncarved.prometheas.com/2009/03/the-macheist-controversy.html#comments</comments>
		<pubDate>Sat, 28 Mar 2009 02:08:25 +0000</pubDate>
		<dc:creator>John</dc:creator>
				<category><![CDATA[Responses]]></category>
		<category><![CDATA[business]]></category>
		<category><![CDATA[Macheist]]></category>
		<category><![CDATA[response]]></category>
		<category><![CDATA[shareware]]></category>

		<guid isPermaLink="false">http://uncarved.prometheas.com/?p=105</guid>
		<description><![CDATA[There has recently been quite a bit of controversy over Macheist, arguing that it&#8217;s unfair to the participating developers, largely due to the &#8220;steep discount&#8221; at which these (largely great) apps are being sold. Some other arguments are simply in the sensationalist vein. Agreed Benefits Even the critics of Macheist will concede to a number [...]]]></description>
			<content:encoded><![CDATA[<p>There has recently been quite a bit of controversy over <a href="http://www.macheist.com/">Macheist</a>, arguing that it&#8217;s unfair to the participating developers, largely due to the &#8220;<a href="http://www.marco.org/89711524">steep discount</a>&#8221; at which these (largely great) apps are being sold. Some <a href="http://www.heykurt.com/post/89726844/re-macheist">other arguments</a> are simply in the sensationalist vein.</p>

<h3>Agreed Benefits</h3>

<p>Even the critics of Macheist will concede to a number of upsides to participation, including:</p>

<ol>
<li>Macheist is clearly a great marketing opportunity for each developer&#8217;s product,</li>
<li>any opportunity at growing their product&#8217;s user base builds upon its chances of retaining customers (and thereby capitalizing on upgrade fees for major versions later), and</li>
<li>participation with one product stands to produce sales gains on <em>other</em> products made by that developer</li>
</ol>

<p>Naturally, these potential upsides are by no means guaranteed; if a product doesn&#8217;t compete well on its own merits, then its developer(s) will likely not capitalize on upgrade sales. But then Macheist can&#8217;t offer to make anyone&#8217;s products automagically good; this remains the responsibility of the developers, themselves.</p>

<h3>Argued Problems</h3>

<p>The basic arguments the critics have boil down to:</p>

<ol>
<li>Macheist sells their apps at a [very] steep discount to their normal sale price,</li>
<li>this stands to undermine their perceived market value, and</li>
<li>general participation in Macheist may work to undermine the generally perceived value of shareware apps</li>
</ol>

<p>As such, the critics argue that the developers may well be sacrificing more than they stand to gain in return for their participation.</p>

<p>These arguments, however, are missing a <em>critically</em> important point.<span id="more-105"></span></p>

<h3>The Oversight</h3>

<p>While it is certainly true that each developer could potentially make more money from any individual app (that is, <em>per sale transaction</em>), what these critics are overlooking is the fact that each of the participating developers also <em>stand to make more money in a given time span</em> than they would have if their apps weren&#8217;t part of the Macheist bundle.</p>

<p>As a quick aside, I would note that the Macheist sales are also final; even users that aren&#8217;t happy with any one app won&#8217;t demand their money back, which might well happen in the context of a single sale.</p>

<p>Consider, more importantly, the following screenshot (taken 27 Mar 2009, at ~20:15 EDT):</p>

<p><img src="http://uncarved.prometheas.com/wp-content/uploads/2009/03/macheist3-20090327.jpg" alt="Macheist 3 Performance as of 27 Mar 2009" title="Macheist 3 Performance as of 27 Mar 2009" width="492" height="109" class="aligncenter size-full wp-image-107" /></p>

<p>Note that 26,121 $39 bundles have been sold to date. Since 25% goes to charity, we&#8217;re talking $764,039.25 in gross sales.</p>

<p>Even if each developer takes just 1% of the pool, <em>and</em> if <em>no more sales are made in the 11 days that remain</em>, each participant would stand to take a $7,640.39 slice. I&#8217;m willing to bet that they&#8217;ll land a few more sales, and that developers may well make more than just 1% (anyone have any details?).</p>

<p>This, however, in the span of <em>two weeks</em>.</p>

<p>So, the question I&#8217;ll now pose to critics is: <em>what are the chances these developers will have made this much cash in the given time period, without Macheist?</em></p>

<p>Of course it&#8217;s very possible for a piece of software to achieve better sales performance without Macheist. Many pieces of software do. I&#8217;m looking squarely at many of the <a href="http://omnigroup.com/">OmniGroup</a>&#8216;s products. I&#8217;m willing to bet those developers happily avoid participation in Macheist.</p>

<p>For products have low sales (or even <em>no sales</em> yet), their income potential dramatically increases. Developers with multiple products stand a great chance to get their non-Macheist products on the radar of potential customers.</p>

<p>And so it&#8217;s really difficult to argue that the developers participating in the promotion actually lose.</p>

<h3>The Shareware Community</h3>

<p>Even so, there remains the argument that bundles such as Macheist — as well as similar ones organized by <a href="http://macupdate.com/">MacUpdate</a>, and others —  wind up harming the independent developers participating in the shareware market by undermining the perceived value of shareware apps as a whole.</p>

<p>In short, I would disagree.</p>

<p>My view here is that the shareware market is a commercial space like any other, and that such bundles are essentially yet another element of competition that&#8217;s simply part of the game. New entrants need a means by which to get their products noticed on the playing field, and everyone on the field must continually compete against each other to remain in the game.</p>

<p>Through it all, customers will continue to pay whatever price they feel is a good value. We are, after all, talking about a consumer demographic that choose to buy Macs over commodity PCs.</p>
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