PosiTouch (Free upgrades for life)

[TobeThor]

As we narrow down the POS list I can't get over the local PosiTouch dealers claim that all users get free software upgrades for life. Nobody else is willing to do that. I am a business owner and can't understand how they can afford to do that. I called a few of their users and they told me
they've been on the same software version since they bought PosiTouch a few years ago. I asked the Posi rep why this was and he said "why upgrade if the system is running fine". I then asked "there must be new features that are available and would make users want to upgrade, especially if it's free". He just said they can upgrade anytime they want, all they have to do is ask. I asked if they might need to upgrade any of their hardware, he said "that's handled on a case by case basis but it is possible". I don't have a good feeling here, can you other dealers comment about this. Any Posi users that have gotten free upgrades without any hassles?

 

[AlohaWahini]

Though I haven't worked with Posi in years, I wanted to share your sentiments. I got some interesting advice from a business owner some years ago--he said "Anytime someone is offering something for free, I get a feeling similar to when something is crawling up the back of my leg." LOL. Loose translation being "Is anything really free?" Of course, we all know the answer to that question is NO--at least not long term. And that's exactly what they're offing... free, long term upgrades.

So, as a potential customer, my first question is ... "So, when the company that developed the software decides to give me their intellectual property for free, how do they make money?" That's a great question. And even though Posi has been around for years, I suppose that this strategy will yield one of three scenarios:

With few revenues coming in from this short sited approach:

1) quality will suffer tremendously (almost a certainty)
2) they will see this strategy is not feasible long term and discontinue this promotion
3) They will go out of business

In my opinion, Thor, you're right to be concerned about this. And their not the only POS company doing this... Maitre D also is doing this. I think this is a mistake. We've all seen Dell go from a decent company, who was so focused on competing on the basis of price, that eventually their margins went so low that their quality suffered as result. Tough to maintain quality when you don't have any money. An intelligent person might ask, "Hey, how are they making money when they sell me a computer, with a flat screen and printer for $399?" My guess would be they are not. That's why they are now selling handhelds, plasma tvs, and digital cameras. The difference being, a consumer can buy a new PC from a different company in 3 years. However, when you've invested a ton of time in money on your POS system, that option may not seem nearly as attractive.

Sounds like your gut is telling you exactly what it should be. Consumers often forget that businesses need to make money to survive... business owners, however, know that nothing is free.

Wish I could give you more specifics, but simple mathematics make this a scary proposition.

 

[DTSMAN]

I would guess that the software may be free but unless the customer does it themselves, they are going to have to pay a dealer to implement it if they don't have a maintenance contract that covers the upgrades.

TobeThor, please post back if find more details on how that works.

Bo

Kentucky phone support-
"Mash the Kentrol key and hit scape."

 

[Jcagle]

I am a POSi dealer and we do not charge our customers for upgrades on the software unless they are adding new modules. Our maintenance customers are provided the software and upgrade labor at no charge but pay for additional training. Non maintenance customers pays for the labor to upgrade also.

 

[TobeThor]

Thanks Jcagle (Posi dealer)
So that I understand it. If I buy Posi, for the life of relationship, I get free upgrades as long as I don't add modules or need training. How often does Posi release "New" versions and how to you handle it if new features are released that are part of the standard base software. I am skeptical, it's just hard to see how a "lifetime" offer can exists. In my restaurant, once you're done eating you're done. I'd go out of business if I offered pay once and eat forever. When I contacted Posi users, I couldn't find any that had received a free upgrade... no improvements/bugs in four years? Sorry I don't understand this stuff I just couldn't believe their offer. I would appreciate further comments from you thou, you laid it out better than our local rep. Thanks