Volusion moving to fixed pricing based on sales volume starting Sept 5th - Ecommerce Forums
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Thread: Volusion moving to fixed pricing based on sales volume starting Sept 5th

  1. #1

    Volusion moving to fixed pricing based on sales volume starting Sept 5th

    https://helpcenter.volusion.com/run-...ricing-updates

    Don't bother calling, they don't have pricing yet...on something they are implementing on Sept 5th.

  2. #2
    This is disturbing. The article says they are implementing September 1st.

  3. #3
    Quote Originally Posted by OHC View Post
    This is disturbing. The article says they are implementing September 1st.
    Holly shit, earlier today that said Sept 5th!

    Because there might be edits to the page, here is the text of that page link above as of 28-Aug at 4:45pm CST:

    Taking It to the Next Level: Unlimited Bandwidth and Pricing Updates
    L
    Written by Liz Downs
    Updated today
    Volusion is simplifying its pricing and eliminating bandwidth overages, beginning September 1, 2018. Please refer to related FAQs below, and donít hesitate to contact us at 1-888- 997-0994 with additional questions.

    Why is Volusion removing bandwidth overage charges?
    Weíve recently audited our customer feedback and determined that bandwidth overages were a significant pain point with our founder base. The issue, in most cases, was that these overages took some of our merchants by surprise on occasion, and it hindered their ability to test and scale.

    Will Volusion start charging transaction fees?
    No, unlike our competitors, we will not be layering transaction fees on top of hosting plan fees. Weíre making this change in order to simplify our pricing, and to ensure that costs are as transparent as possible for our founders.

    Why is Volusion increasing monthly plan costs?
    While we donít take any change in our pricing model lightly, Volusionís goal is to continue improving our platforms for the long-term. Since weíre removing bandwidth overages and not charging transaction fees, we will be increasing the price of hosted plans. To put that in perspective, this will be Volusionís first price increase in the previous 15 years, despite large scale investments in Volusion platforms, people and infrastructure, overall pricing increases in the SaaS market, and inflation.

    When will this go into effect?
    The new pricing plans will go into effect beginning September 1, 2018.

    How do we determine a merchantís new plan level?
    Your plan level is determined based off of your gross merchandise volume and the number of products in your store.


    If Iím unsure how this will affect me, who should I contact?

    If youíre uncertain how this shift in pricing will affect you or would like more specifics, please reach out to us at: 1-888-997-0994.

  4. #4

  5. #5
    So, let me see if I understand this correctly. They are completely changing their pricing structure which will go into effect in four days and thus far haven't announced what the new prices for each plan will be? This can't be good. They've known about this "pain point" for years, and now, almost overnight, they plan to alter everything yet keep everyone in the dark?

    Marc

  6. #6
    Quote Originally Posted by Lightning2000 View Post
    So, let me see if I understand this correctly. They are completely changing their pricing structure which will go into effect in four days and thus far haven't announced what the new prices for each plan will be? This can't be good. They've known about this "pain point" for years, and now, almost overnight, they plan to alter everything yet keep everyone in the dark?

    Marc
    Something really weird is going on here. I'm wondering if this is targeted at "select" customers and wasn't intended for a broader audience. I obtained this link from another Volusion store that pays $500+ a month in bandwidth charges (he doesn't know how to manage his photos properly). He was provided this link in a chat session.

    I wonder if this is focused on those customers paying insane high amounts (this guy would be one of those) and it is a "hey, we hear you but don't leave, we will give you new flat rate pricing for XXX.XX per month instead" This way they keep the customer, that customer feels like they are "getting something" and they leave all the experienced clients that would see a rate INCREASE alone?

    This is like giving a discount to a customer for whom you screwed up their order.

  7. #7
    Hmm, could be. Their version of haggling without letting their existing customers know what's going on. I'm sure they have been losing customers en masse tired of paying exorbitant bandwidth charges no one else is nailing them for. Guess we will see on September 1st. If next month's bill changes for me, then its time for me to explore my other options again right after the holidays.

    Marc
    Last edited by Lightning2000; 08-28-2018 at 05:16 PM.

  8. #8
    That was my point to the sales guy - look, this isn't personal and it is just a financial decision but if you are cranking up my costs past what I can move to Shopify, let me know now so I can get a group of people working on it so we can cut over in 2019.

    This may be just a wait and see.

  9. #9
    After some additional digging, I confirmed that this response from Volusion was from a customer threatening to leave for bigcommerce. I am now almost convinced this is just a stop gap to keep customers from departing Volusion. I think you can stand down your guards now....

    On a side note, if you are paying more than $150 for bandwidth overages, reach out to me as I have a solution.

  10. #10
    For anyone that did get yesterday's email from V, here's the info they linked to:

    https://www.volusion.com/next-level

    Here's the new pricing:

    https://www.volusion.com/pricing

    The set monthly rate is going up but I should still come out better because we usually pay several hundred in bandwidth each month.

    There is also a 10% discount if you prepay for a year.

    No mention of V2.

  11. #11
    So, once again I am not clear. In a previous post, they said they were not applying transaction fees, yet the Professional and Business plans say they do. Also, nowhere does it say anything about no bandwidth charges. Am I missing something?

    Marc

  12. #12
    Under the FAQ at the bottom, it says they are not charging for bandwidth. It also says the SSL certificates are now included. Finally. I'll have to look at this closely to see if we save any money compared to our current plan.

    Marc

  13. #13
    So, before you jump on these plans, I just want to point out something to everyone. Under the Business plan, they are charging only $135 per month. Now, lets say you gross $1,000 per day for a monthly gross revenue of $30,000. At a .05 % transaction fee, that means you will pay an additional $1,500 for the month, bringing your total charges to $1,635. Sounds pretty hefty to me. If you're doing $2,000 revenue a day, you need to pony up $3,000 for a total cost of $3,135. Obviously, your mileage may vary depending upon your sales revenue and margins. A 10% annual payment plan only amounts to knocking off $13.50 per month, unless I have my figures wrong.

    Marc
    Last edited by Lightning2000; 08-29-2018 at 02:08 PM.

  14. #14
    I think I see where some of the confusion is coming from; their site previously had been redirecting over to a volusion.com/v2/ URL. So, if you try to view the pricing page and you're browser is caching the old redirect, you'll end up at volusion.com/v2/pricing, which shows the old page that mentions transaction fees and the old pricing plans.

    You need to make sure you are on volusion.com/pricing to see the new plans and pricing.

    Clear your browser data or try an incognito browser window or a different browser.

    You should see a pricing page with 4 plans (Personal, Professional, Business, & Prime)
    Attached Images Attached Images
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    Last edited by adventureguide; 08-29-2018 at 02:40 PM.

  15. #15
    I'll be outta here in a month or two and they will be outta business soon. There is no fucking way I am giving them .005%
    Last edited by Marc_NY; 08-29-2018 at 04:23 PM.

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