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cnno_dev AppExchange vs Embedded License
Hi after reading the document ISV Program Guide. I still find it difficult to decide which license to use.
Is there any good link with advantages and disadvantages of each of this licenses?
From what I understood, I guess I would just use AppExchange ONLY if my applicationes makes use of the salesforce app. Otherwise, in case I would just use force.com resources in my app, I would use the force.com embedded license. Is this correct?
Costs involved
AppExchange:
Customer must pay: salesforce.com license + the license of MY app published in AppExchange.
In addition, I should pay a security review, which is USD 5K.
Listing fee: what is not very clear when I must pay it.
Are these assumptions correct?
Force.com Embedded License:
From what I understood I should pay USD 15 to force.com per user. And my customer pays: usd 15 + myEarning.
Again, are these assumption correct?
I hope you can help me with this questions. I honestly found it very difficult to get clear information about this.
Thank you very much in advance!
I don't think it's a question of one versus the others because they both have benefits for varying situations. I'll try to explain when both are recommended.
AppExchange is ideal if you plan to sell to existing Salesforce CRM customers. When you publish to AppExchange, majority of those viewing your listing already have Salesforce CRM and are looking for additional functionality. The benefit to you, you can build an app and instantly have access to over 55,400 new customers. Plus, if you build a native app, your security review fee is waived. This means today, you can build and publish a Force.com app for free. When you sell on the AppExchange, we do not collect anything because the customer installing your app already has a Salesforce license.
Force.com Embedded License is ideal if you plan to sell to net-new customers. These are customers who don't have Salesforce CRM. As a result, AppExchange may not be ideal because you can't install an AppExchange app without already having Salesforce CRM. Therefore, you use the Force.com Embedded License to sell your app and the underlying Force.com license (powering your app) in union. It's an easier experience for a net-new customer and you can market and charge as you wish. The customer then pays you what you charge and you pay Salesforce the $15/user/month - the customer does not pay anything to Salesforce in this situation, you facilitate the relationship.
If you haven't attended this webinar, I highly recommend you attending the bi-monthly business session for ISVs. This topic is discussed and there is time at the end for live Q&A.
Hope that helps,
Sati
All Answers
I agree with you, there's no clear information about the embedded license, what are the limitations of this type of license?
Any case studies of companies that used this type of license?
Please provide more information about this.
I don't think it's a question of one versus the others because they both have benefits for varying situations. I'll try to explain when both are recommended.
AppExchange is ideal if you plan to sell to existing Salesforce CRM customers. When you publish to AppExchange, majority of those viewing your listing already have Salesforce CRM and are looking for additional functionality. The benefit to you, you can build an app and instantly have access to over 55,400 new customers. Plus, if you build a native app, your security review fee is waived. This means today, you can build and publish a Force.com app for free. When you sell on the AppExchange, we do not collect anything because the customer installing your app already has a Salesforce license.
Force.com Embedded License is ideal if you plan to sell to net-new customers. These are customers who don't have Salesforce CRM. As a result, AppExchange may not be ideal because you can't install an AppExchange app without already having Salesforce CRM. Therefore, you use the Force.com Embedded License to sell your app and the underlying Force.com license (powering your app) in union. It's an easier experience for a net-new customer and you can market and charge as you wish. The customer then pays you what you charge and you pay Salesforce the $15/user/month - the customer does not pay anything to Salesforce in this situation, you facilitate the relationship.
If you haven't attended this webinar, I highly recommend you attending the bi-monthly business session for ISVs. This topic is discussed and there is time at the end for live Q&A.
Hope that helps,
Sati