Hacker Chronicles 2/HACKER2.BIN/1122.SAUCS1.TXT

Text File | 1994-02-24 | 96KB | 2,160 lines

=======================================================================
                  Shareware Author & User Case Study
                             First edition
                   Copyright 1994, by Daniel Corbier
                         All Rights Reserved.
=======================================================================

Table Of Contents
-----------------

1. Abstract
2. Disclaimer
3. Preface
4. What exactly is shareware?
5. Shareware not GNU
6. Shareware not Public Domain
7. Shareware and Freeware similarities
8. Does shareware really work?
9. How long does it take?
10. Why do programmers create shareware?
11. How do authors get their programs "out there"?
12. Where do users find shareware programs?
    12.1 BBSes
    12.2 FTP sites
    12.3 Online Services
    12.4 Other
    12.5 Interdependency
13. Publicity
    13.1 Standing Out
    13.2 Word Of Mouth
    13.3 Online Forums
    13.4 Quotes
    13.5 Negative Publicity
14. Beta testing
15. What motivates people to register?
    15.1 Usefulness
    15.2 High Quality
    15.3 Shareware Concept
    15.4 Good Price
    15.5 Support
    15.6 Full Functionality
    15.7 User Friendliness
    15.8 Good Documentation
    15.9 Positive Attitude
    15.10 Easy Payment
    15.11 Other
16. Incentives used by authors
    16.1 Extra Features etc...
    16.2 Free upgrades
         16.2.1 To charge or not to charge for upgrades
    16.3 Printed Manual
    16.4 Nag Screens
    16.5 Other
17. Reasons people give for not registering
    17.1 Unreasonable Price
    17.2 Crippleware
    17.3 Nagware
    17.4 Payment Difficulties
    17.5 Expireware
    17.6 Bad Attitude
    17.7 Inferior Quality
    17.8 Lack Of Money
    17.9 Disappearing Authors
    17.10 Forgetfulness
    17.11 No Problem
    17.12 Other
18. How much do people pay for shareware programs?
19. How do successful authors price their programs?
20. Which methods of payment do people use?
    20.1 Checks
    20.2 Credit Cards
    20.3 Online
    20.4 Cash
    20.5 Money Orders
21. Overcoming problems with overseas currency
22. Demographics
23. What percentage of users register?
24. Profiles of the shareware user
25. How long does it take users to evaluate programs?
26. Do most users contact the author before registering?
27. How do users contact authors?
28. Additional words of wisdom from successful authors
29. Shareware Forecast
30. Survey digest
31. The Person behind the Program

APPENDIX
A. Distribution Channels
    A.1 Disk Vendors
    A.2 FTP sites
    A.3 BBSes
    A.4 File Distribution Networks
    A.5 Online Systems
B. Suggested Readings
C. Copyright
D. Glossary
E. Acknowledgements
F. How to register the Shareware Author & User Case Study
G. How to contact me
H. Concerning reaching me
I. Ultimate Calculator


1. Abstract
   --------

This document answers questions frequently asked by shareware authors,
such as what percentage of users register, what motivates them to
register, what prevents them from doing so, how much they are willing
to pay, how they make payments, demographics, how to get one's program
"out there", what makes some programs stand above the crowd and get
noticed by the press, just how successful some authors are, how long it
takes to succeed, and more.  Answers are based on survey responses from
shareware users and successful authors.


2. Disclaimer
   ----------

This document is provided on an "as is" basis without warranty of any
kind, expressed or implied.  The person reading this document bears all
risk as to the usefulness and accuracy of the information that is
presented.  The author will not be held liable for any special,
incidental, consequential, direct or indirect damages due to the user's
exposure to this document.  Special effort has been put forth in order
to avoid inaccuracies, however, mistakes are always possible.  Users
are encouraged to immediately signal any errors to the author.

The information in this document represents the author's own
interpretation of the data collected from participants of the two
shareware surveys.  The document as a whole does not necessarily
reflect the individual opinions of the participants, neither does it
necessarily represent the views of most shareware users and successful
authors in general.  Survey responses in the document do not always
coincide with the author's personal position on certain issues.

The author of this document should NOT be considered available for free
one-on-one advice about how to successfully develop shareware.
Although general questions about shareware are encouraged, they might
be answered in a future edition of this document, rather than being
answered individually.


3. Preface
   -------

As a programmer, I was trying to figure out the best way to market my
programs with the very little up-front capital resources that I had.
After seeing many programs distributed as "shareware", and hearing
about success stories, I decided to give it a try myself.
Unfortunately, it turns out that I didn't receive as many registrations
as I had anticipated or hoped for.  In order to learn how to better
market my programs, I read and participated in forums related to
shareware on various nets, such as Fidonet, RIME, Ilink, Usenet, etc...

The good news was that I found tons of information.  I learned about
effective distribution channels, registration incentives, how to
support customers, how to recruit beta testers, etc...  The bad news,
however, was also that there was a ton of information on the net.
Users often disagreed on the essential components of what makes
shareware work.  Here's a sample of the kind of ideas I would find on
the net (these aren't actual quotes):

"Shareware authors are greedy!  How can they charge more than $15 and
expect anyone to register.  If I wrote programs, I'd make them free."

"With free upgrades, personal support, professional interface, and
printed manual, I find that this $30 program is a bargain."

"Huh?  All I get for paying mucho $$$$ is a key with my name on it?!?"

"If an evaluation copy is not 100% identical to the registered version,
then I just press DEL *.*, and I tell everyone not to use it."

"I don't mind mild crippling, but I absolutely can't stand programs
that require you to press a random key at the beginning."

"Random keys are fine in the opening screen, but NOT upon exit!"

"Shareware doesn't work.  According to statistics, 0.017% of users
register if the author's lucky."

"Shareware works for me.  I estimate that 80% or more of those who use
my program register."

"CD-ROMS account for a number of my registrations."

"CD-ROMS are outdated & have bugs, and lower your registration rate."

"If I can't talk to the author on the phone, it's a no sale.  And I
speak for the average shareware user."

"If I need to contact the author, it means that the documentation isn't
clear.  So I look for other programs instead."

"I only register programs that offer free lifetime upgrades!  Everybody
I know feels the same way."

"The last programs I registered which offered free lifetime upgrades
were discontinued or renamed."

"Shareware is just a hobby.  You can't make any money out of it."

"I quit my job to take care of my booming shareware business."

"If your program is good, then everyone will register."

"It's been 2 years, and I got only 3 regs for my super duper program."

"Any program with a delay longer than 10 seconds is banned from my BBS,
and I'm sure all other sysops agree with me."

"If the 60 second delay appeared only once during the game, I wouldn't
mind, but since it came many times, I deleted it (I completed the whole
game first)."

"A program with ANY delay is immediately dumped.  There are always
other programs I can evaluate instead.  Authors should know better."

This confusing information was enough to make my head spin in an
infinite loop.  To make it even worse some users seemed to speak with
authority on behalf of all users, and some authors spoke for all
authors.  Also, some users spoke for authors, and vice-versa.  So, in
order to benefit from all the wisdom available on the net, I felt that
it was definitely necessary to sort these views, and find out which
ones translated into more registrations for the authors.  So, I
conducted two surveys, directed at people who should know.

One survey was aimed at users who have registered shareware programs,
to find out exactly what motivated them to send a payment, what might
prevent them from doing so, how much they were willing to pay, how they
paid, and how long they evaluated the programs before they paid.  The
other survey was aimed at successful authors -- the ones who's programs
you will no doubt recognize, as they are on many people's top ten
lists.  I set out to find out how they got their programs "out there",
what made their programs stand out, how long it took before they became
successful, the profiles of those who registered their programs, etc...

Most of the information in this document is based on the answers from
those two surveys.  Other bits of information come from discussions
which continued after the survey, and also from previous discussions on
the net.  There were over 100 participants in the user survey, and 13
participants in the successful author survey.

The purpose of this document is not to give advice on how to create
successful shareware programs, as there are already several other
documents which address that issue (see SUGGESTED READINGS).  Instead,
this is a survey analysis, which explores what motivates people to
register, and what authors have done to become successful in marketing
shareware programs.  Although there is some harmony in what the survey
participants have said, there are also points on which users, and
authors amongst themselves don't seem to agree.  So it's up to the
reader to decide what to make of this information.


4. What exactly is shareware?
   --------------------------

The term "shareware" refers to a method of marketing software, on a
"try before you buy" basis.  Potential customers often obtain shareware
programs from BBSes, FTP sites, disk vendors, CD-ROMs, friends, and
other similar sources, usually free, or for a nominal service fee.
Users are allowed to evaluate shareware programs for a certain amount
of time.  If a user decides not to continue using a shareware program,
then s/he can simply pass it on to a friend, or erase it, with no
obligation to the author.  If the user decides to continue using it,
then s/he is required to pay a "registration" fee to the author of the
program.

It is easy for a user to evaluate a program indefinitely, and never get
around to paying the author.  So shareware authors often offer various
incentives in order to encourage users to register.  These incentives
include goodies such as free upgrades, printed manuals, extra features,
source code, technical support, removal of reminder screens and
discounts.

Programmers often find it advantageous to market their software as
shareware, because distribution is generally cost effective, and
relatively painless.  It is not necessary for the shareware author to
buy expensive ads, or to package the software in fancy boxes, or to
sign contracts with distributors.  Because of this, shareware programs
are often less expensive then retail counterparts.  Since distribution
is not so difficult, shareware programs are written not only by
software companies, and professional programmers, but also by hobbyists
with various skill levels.


5. Shareware not GNU
   -----------------

These programs are distributed as free software.  Although they are
copyrighted, users are given the right to give, sell, modify, and/or
redistribute the software.  Source code must also be made available to
users.  In other words, the rights of the author are shared by others.

Someone reading the above description may well think that it refers to
shareware.  But instead, it refers to GNU (which stands for "GNU not
UNIX").  Although users may easily confuse it with shareware, it's a
whole different ball game.  As an author, it's important to make the
distinction.  If you release your program as GNU, then you might not be
able to change it to shareware later on.  The ideas in this document
are specifically geared towards shareware not GNU.


6. Shareware not Public Domain
   ---------------------------

When an author gives up all rights to a program, it is considered
Public Domain.  This means that others are free to do as they please
with the program, and there is no obligation to compensate the author
in any way.  In order for a program to be public domain, the author
must specifically state so in the program.  Doing so excludes copyright
protection.  Although public domain programs are often distributed
along side with shareware, and sometimes even confused with
shareware/freeware, they are very different.  The ideas in this
document do not pertain to public domain programs.


7. Shareware and Freeware similarities
   -----------------------------------

Technically, freeware is a term which was trademarked by Andrew
Fluegelman, a pioneer of the shareware concept.  Today, it is often
used in reference to copyrighted programs for which the author does not
require payment from all users.  Bannerware, which is software used to
advertise another product, can also be included in this category.
Freeware is closely related to shareware, therefore, this document
should also be useful to freeware authors.


8. Does shareware really work?
   ---------------------------

Beyond the shadow of a doubt, the answer is definitely and clearly "it
depends".  First it depends on what the author defines as shareware
success.  Some authors may be satisfied to know that their programs are
out there, on perhaps thousands of BBSes world-wide, which may possibly
lead to a job offer.  Others may be happy if they get enough money to
buy extra peripherals for their computer.  For others, success means
earning a substantial full-time income from shareware.  Secondly,
success depends on what goes into the program.  Quality, usefulness,
positive attitude, experience, patience, wide distribution, keeping up
with the competition, good incentives, and knowledge of the target
audience, are all variables which affect the prognosis of a shareware
author's success.

With the right ingredients and circumstances, shareware does work.  As
an example, Robert Jung (ARJ) said about his shareware:  "It provides
a more than adequate full time income."

Marshall Dudley (DOORWAY) said:  "In 1992 we had about 2500
registrations for a total of about $100,000."

Frisk (F-PROT) said:  "the program has been licensed for use on
somewhere between 1 and 2 million machines....and almost all of them
pay the annual renewal fee each year".


9. How long does it take?
   ----------------------

Releasing a program as shareware is easy, but making any money is the
not so easy part.  Just like any other business, success with shareware
usually doesn't happen overnight.  So before buying a programming book,
and taking the weekend off to write software, consider the amount of
time and work that is necessary before reaching success in marketing
shareware.

It took Frisk (F-PROT) 16 major version releases, and an additional 12
minor ones, over a period of about two years before he reached a
comfortable level of success.  It took Marshall Dudley (DOORWAY) 3
years and around 13 releases, and thousands of hours before being able
to quit his engineering job to support his shareware programs.  It took
Robert Jung (ARJ) around 8 months and several version releases before
becoming successful with his program.

Programmers considering shareware sometimes want to know how long it
might take before they receive their first registration.  Successful
authors generally reported getting their first payment within a few
weeks.  For some, it was a month or so.  An author should start
wondering, if a year passes and the first check hasn't come in.


10. Why do programmers create shareware?
    ------------------------------------

People are sometimes curious, and want to know what motivates authors
to create shareware programs.  Here's what several successful authors
responded when asked about it:

"I had already created the program for my own use and decided to make
it into shareware as an experiment.  I could use the money too <g>."
     Tony Caine (2COL/JETCOL)

"Wrote for my own use, was impressed with PC-Write, decided to try
shareware.  (I had written lots of commercial software, but wanted more
control.)"
     Mark Harris (Ample Notice)

"My son who was 13 at the time wanted to put a BASIC game he wrote on
his BBS.  He asked me to write the com routines into BASIC, but I wrote
a shell to do the redirection instead.  Thus DOORWAY was born."
     Marshall Dudley (DOORWAY)


11. How do authors get their programs "out there"?
    ----------------------------------------------

One of the objectives of shareware authors is to get their programs out
there to as many people as possible.  One way to do it might be to mail
out thousands of disks to distributors and potential customers.  This
can be expensive and time consuming.  Another option is to know which
key sites will maximize further distribution.  For instance, sending
your program to a site such as SDN (Shareware Distribution Network)
might be the equivalent of sending the program to thousands of BBSes
around the world.  When asked how they originally got their programs
out there, successful authors responded as follows:

"I originally uploaded to GENIE, Delphi, and some local BBSes.  I also
mailed to a few major vendors.  I also started using SDN fairly early."
     Tony Caine (2COL/JETCOL)

"We used key sites.  We use fewer and fewer sites as user uploads do
most of the distribution for us.  Also Mike Callahan did a bunch of
uploads for us which made a big difference."
     Tom Rawson (4DOS)

"I upload it to BBS.  Now I have my own distribution network, and I
upload it to SDN, EXEC-PC, Channel-1 and CIS."
     Winfred Hu (Telemate)

"Upload to CompuServe (after a couple of years, to GEnie)."
     Bob Berry (CompuShow)

"Ad in PC Magazine, submission to PC-SIG, reviews"
     Mark Harris (Ample Notice)

"Ftp upload to selected sites, distribution over Internet, mass
mailings to shareware distributors."
     Frisk (F-PROT)


12. Where do users find shareware programs?
    ---------------------------------------

    12.1 BBSes

A BBS (Bulletin Board System) is an online system that users can log
onto with their modems by dialing a certain number.  The majority of
survey participants indicated that BBSes were for them a primary source
for obtaining shareware programs.  A sizeable number of computer users
around the world have access to BBSes which are local to them.
Successful authors such as Tom Rawson (4DOS), Robert Jung (ARJ), and
others, mentioned BBSes as the distribution channel which accounts for
most registrations for them.


    12.2 FTP sites

An FTP (File Transfer Protocol) site is in a way similar to a BBS,
since it is a system which carries many files for people to download.
It is accessible to a large number of users around the world who have
an Internet account.  Those who have access to the Internet include
university faculty and students, researchers, government agencies,
corporations, and a rapidly growing number of users from the public at
large.  A good number of survey participants indicated that FTP sites
were for them a primary source for downloading shareware.  A number of
BBSes also rely on FTP sites as a source for obtaining up to date files
for users.  For successful authors such as Frisk (F-PROT), and Hector
Santos (Silver Xpress), distribution on FTP sites represents a major
source of registrations.


    12.3 Online Services

Commercial online services such as Compuserve, BIX, AOL, etc...  also
represent an important source of shareware for many users, resulting in
registrations for authors.  In fact, Compuserve has a registration
service which makes it easier, and more likely for a number of users to
register.


    12.4 Other

Other sources users mentioned for obtaining shareware included disk
vendors, CD-ROMs, rack vendors at the store, friends, file distribution
networks, file requests on Fidonet, and cover disks.


    12.5 Interdependency

Shareware distribution channels are very interdependent.  For instance,
a user may get a shareware program from a friend who download it from a
BBS.  In turn, the file may have been on a CD-ROM that the BBS was
carrying.  This CD-ROM could have been from a disk vendor, or an FTP
site collection.  As an example of interdependency, when asked which
distribution channel accounts for most of his registrations, Marshall
Dudley (DOORWAY) said:  "BBS's mainly, CD ROMS to a lesser extent.
Often it is both since DOORWAY is on many CD ROMS that BBS's put
on-line."

Unfortunately, some authors who might not be aware of this, choose to
restrict their programs from certain major distribution channels.  Some
feel that these restrictions are beneficial to the author, while others
feel the contrary.  This is often a hot topic of debate on various
forums, with endless arguments on both sides of the issue.  My personal
opinion is that blanket restrictions against certain shareware
distributors will greatly reduce the propagation of your software
(which may, however, be desirable if you are trying to abandon your
shareware audience while going fully retail).


13. Publicity
    ---------

    13.1 Standing Out

There are zillions of shareware programs out there.  A user might never
have the time to sort through all of them to find your program.  So, in
addition to being widely available, your program must also be noticed
by others.  In order for a program to receive some attention (of the
positive kind), it first needs to be very useful, and of high quality.
It needs to stand out above the crowd.  Once those two ingredients are
present, then your program is eligible for other forms of publicity.
Here's what made some successful programs stand out:

"I have tried to approach the design from the users point of view.  I
have a demo/tutorial which makes it very easy for the first time user
to be comfortable.  I do a lot of publicity on FIDO.  I have basically
concentrated on making one good program rather than a bunch of mediocre
ones."
     Tony Caine (2COL/JETCOL)

"Continual improvement, good value for the money."
     Bob Berry (CompuShow)

"More features and quality programming."
     Robert Jung (ARJ)

"LQ - it was a very early entry (1985)
 AN - more features, yet easy to use at basic level."
     Mark Harris (Ample Notice)

"We are just plain better - detect more viruses, disinfect more,
identify more accurately, and offer better generic detection than the
commercial competition."
     Frisk (F-PROT)

"Right now it is the only program to change a normal program into a
door.  For remote access, it is shareware so they can try before they
buy, it is a lot less expensive, works on more systems (with Desqview
for instance) than the competitors, and has a different mix of
features."
     Marshall Dudley (DOORWAY)


    13.2 Word Of Mouth

Here's how word of mouth might work.  A user downloads a program, and
finds that it's the best thing since sliced bread.  So, this user
enthusiastically posts a message on a forum like Fidonet's shareware
echo acclaiming the program's merits.  Then half a dozen sysops ask
things like "Is it on SDN?", "Which node can I FREQ it from?", "What's
the magic name?", "Was it hatched on Utilnet?", "Will it be coming down
the filebone?", which means in simple talk: "where can I get a copy".
When those sysops find that the program is as awesome as described,
they make it available to all their users for download, who in turn
recommend it to friends, and upload it elsewhere, and swap it at user
group meetings.  Publicity seems to come easier as the popularity of a
program gains momentum.


    13.3 Online Forums

Another way for your program to get noticed is to participate in
international online forums.  However, be 100 percent sure that the
particular forum rules allow you to announce and support your program,
before starting.  Any author serious about publicity should definitely
have access to networks which have online discussion forums, such as
Fidonet, Usenet, I-link, etc...  An Internet e-mail address is also a
must.  For instance all of the successful authors I surveyed are
reachable through Internet e-mail.


    13.4 Quotes

Here's how and why some successful authors started getting publicity:

"Online conference discussion, word of mouth."
     Winfred Hu (Telemate)

"Word of mouth, magazine reviews, on-line forums, Shareware of the
month club."  "I met an editor of COMPUTE in a Genie forum."
     Tony Caine (2COL/JETCOL)

"Boardwatch and BBS Callers found us.  We sent a review copy to PC
Sources (and about 200 other magazines which did not review it)."
"We have had a couple of good reviews in Boardwatch, BBS Callers
Digest, and in PC Sources.  We tend to see a surge in sales after a
review for maybe 60 days."
     Marshall Dudley (DOORWAY)

"Our first games, the Commander Keen series, got some press for being
the smoothest, Nintendo-like games for the PC.  It wasn't until the
ground-breaking Wolfenstein 3D was released that the press really
looked up and noticed who we were.  Now the press corp. took a great
interest in our current and future projects."
     Jay Wilbur (Commander Keen)

"Mike Callahan found BOXER on Channel 1 and just about fell off his
chair, from the way he told it.  I take no credit for using this as a
pre-conceived plan, but I believe BOXER got a big boost early on due to
its maturity upon first release.  I had worked on it for 5 years before
release, and field-tested it with several engineers, before having any
aspirations of commercial release.  So when the public first saw BOXER,
it was more market-ready than some products which tend to mature in the
public eye."
     David Hamel (BOXER)

"Sent press releases.  Made contacts"
     Andrea Santos (Silver Xpress)


    13.5 Negative Publicity

Word of mouth can also work against the author.  For instance, let's
say that an author distributes a program called make.floppy.cd, which
has an opening screen which reads like this:

"Hey!  My name is Jim Newbie.  Last year my computer was possessed, so
I created this neat program that can make your 360K floppy drive read
CD-ROMs.  It can also backup your hard drive onto 1 floppy disk.  Send
$10 to get an uncrippled version of the program!  If you just want to
get royalties for distributing this program, then send me your
address."

Unfortunately, many users fall for these kinds of pranks.  Programs
like these result in countless peeved sysops, and endless user threads
warning people to stay away from it.  And of course, future products
released by this author, even if they're really good, might be ignored.
Buggy, virus infected, severely annoying, and overhyped programs that
have been widely distributed tend to get a similar treatment.  Once a
shareware program is out, there's no calling it back.  So it might be a
good idea for authors to thoroughly self-examine their programs before
mass-mailing it to the four corners of the earth.


14. Beta testing
    ------------

After spending countless hours adding every last feature that comes to
mind, and ironing out every last known bug, it's not abnormal for the
author to feel confident, and even fall in love with his/her own
handiwork, while daydreaming of overflowing mail boxes, and fancy
vacations to come.  But it's also necessary to get a reality check in
the form of beta testing.  Beta testing is when you have other people
try your fantastic program before you officially release it.  These
people will help you find bugs that you would never find on your own.
They will also encourage you to improve the design of your program.  If
your program isn't that great after all, then candid beta testers will
certainly let you know.  If beta testers are enthusiastic about your
program, then they may be very helpful in distributing it.  When asked
how they originally recruited beta testers, here is what the following
successful authors said:

"Basically we would keep a beta version posted on the home board.
Anyone who wanted to test it that was a registered user could do so."
     Marshall Dudley (DOORWAY)

"If a user is active in the conference, ask him.  Also ask those who
frequently encounter problems, they are more likely to catch strange
bugs."
     Winfred Hu (Telemate)

"Contacted Pittsburgh area sysops and users and contacted others around
the country."
     Andrea Santos (Silver Xpress)


15. What motivates people to register?
    ----------------------------------

    15.1 Usefulness

A program may come with the best support, most affordable price,
highest quality, and greatest features.  But in order for people to
part themselves from their hard earned cash to register, it must be a
real necessity.  Useful programs are the ones which make life much
easier, more profitable, more efficient, or more enjoyable in some way
for the user.  It must fill a need, or create one.  Users are more
likely to register programs they use on a regular basis.  Programs that
are used extensively for a limited time, such as games, also get
registered, provided the right incentives are offered.


    15.2 High Quality

Shareware users are more inclined to register programs that are of high
quality.  Users describe high quality programs with characteristics
such as excellent, fantastic, professional, serious, solid, bug free,
name brand quality, better than 'commercial', fast, small file size,
well thought out, well written, powerful, does what it's supposed to do
and does it well.  High quality, just like usefulness, ranks as one of
most common motivating factors for registration.  When asked about the
key factors which motivate users to register, David Hamel (BOXER) says:
"I think I've been helped by a 'bowl them over with quality' approach.
Give them something so good they say 'Whoa, this guy deserves the
money!'"


    15.3 Shareware Concept

A good number of user survey participants mentioned in different words
that they were motivated to register because they understand,
appreciate, and want to support the shareware concept.  They register
not because of what they will get when they send a payment (although
some appreciate the extra goodies), but because the program that they
tested was good and useful to them.  They feel an obligation to
register.  They tend to appreciate the author's efforts, and feel that
the author deserves to be compensated.  Some of the users in this
category are shareware authors themselves, so they understand all too
well the importance of registering the shareware programs they use.
They know that when they pay, it will encourage the author to release
upgrades and new programs, while adding more support (hint, hint:-).


    15.4 Good Price

Users are motivated to pay when they feel that the registration price
is reasonable.  The price is reasonable to a user when s/he feels that
the program is worth the amount that is asked for, or in other words,
the program has a good cost/value ratio.  Some users feel that
shareware programs should be less expensive than equivalent programs
marketed through retail channels.  Some also appreciate programs that
are priced competitively compared to other shareware programs.
Sometimes users figure in the price of future upgrades, and bank
transactions, as part of the cost.  Special deals, discounts, and
limited time offers also encourage some users to register.


    15.5 Support

A number of users are motivated to register because of the availability
of technical assistance.  It can be offered by phone, FAX, e-mail,
postal mail, BBS, online support forums, regional agents, and other
communication channels.  Support can also mean printed documentation,
online registration, frequent upgrades, and publicity.  It seems like
the more support better.  Eric Isaacson (A86) says:  "My main
incentives are customer support, printed manuals, and (for ZIPKEY), the
latest data."

Some support should be extended to unregistered users also, as it often
results in sales.  But as an author, you should carefully plan the
extent of your support.  Otherwise, you may receive collect calls in
the wee hours of the night from unregistered users who want you to show
them how to do their school homework using your program.  They'll show
their gratitude by volunteering to be a beta tester (anticipating a
free registration).  An author who offers limited support might have
happier customers than one who promises more support than s/he can
really provide.


    15.6 Full Functionality

A number of users are more motivated to pay when they have a chance to
give the program a full test drive.  This is possible when the
evaluation copy is in complete working order.  If a certain feature is
missing, it may be hard for them to tell if it will work the way they
expect it to.  Some users want to pay for what they have, and nothing
fancier.  They simply want it to be "what you see is what you get".
When asked what motivates his users to send a payment, Frisk (F-PROT)
said: "We offer no manual, limited phone support, no nag screen...there
is no 'registered version' of the program.  Our package is just better
than most of the commercial products...that's all."


    15.7 User Friendliness

A program that is powerful, bug-free, and very useful, will not
necessarily get registered if users have a difficult time figuring out
how to use it.  Users prefer an intelligently designed interface, which
makes proper use of menus, visual aid, familiar editing keys, EMS/XMS,
and the mouse when necessary.  Helpful error messages should be present
when users make mistakes.  The author should not assume that all users
will make heavy use of the manual.  Users expect programs to come with
a good online help system that can be activated by familiar keys.
Also, not all users are patient with programs that have trouble with
self-installation.  The installation options should be well thought
out, and compatible with many of the various operating environments
people are using.


    15.8 Good Documentation

Users describe a good documentation with characteristics such as
complete, concise, clear, friendly, easy to understand, easily
accessible, properly formatted, containing enough examples, and having
answers to potential problems.  A good documentation also has a clear
explanation of what the program does, and information on how the user
can register or reach the author.  Documentation in windows format is
fine, but the essentials should also be available in a plain text file.
Extra time spent on improving the documentation might well relieve the
author of much technical support time after the program is released.


    15.9 Positive Attitude

Some people are motivated to register when they find that the author is
a nice and friendly person who is eager to help.  Some users gave
examples of how certain authors have gone out of their way to
accommodate them.  When this happens, an unexpected sale is sometimes
made.  An ounce of good will can go a long way.  News of an author's
positive attitude sometimes travels on the net.


    15.10 Easy Payment

Users are more inclined to pay when the registration procedure is
effortless.  This requires the presence of a registration form that is
easy to print and fill out.  Or, even easier for some, is the ability
to call a toll-free number and simply give a credit card number.  For
others, registration through a BBS door, or through Compuserve's GO
SWREG is the easiest.  Users in a different country than the author are
more likely to pay if they can do it by credit card or with their own
currency at little or no surcharge.  When asked which incentives most
people responded to, Dan Parsons (ROBOMAIL) replied:  "Good software at
a reasonable price.  Also, the ability to register quickly online."


    15.11 Other

Some users were also motivated to register because of free upgrades,
extra features, nag screens, printed manuals, and limited time offers.


16. Incentives used by authors
    --------------------------

In the user survey, in addition to asking what motivated them to
register, I also asked users what incentives were used by the authors
of the programs they registered.  Interestingly, aside from quality and
usefulness, the top reason users mentioned for being motivated to
register had something to do with an understanding of the shareware
concept, and doing the right thing.  Extra features, free upgrades, and
printed manuals were relatively low on this list.  Whereas, when asked
which incentives were used by the authors of the programs they
registered, users mentioned extra (or enabled) features the most,
followed by free upgrades, and printed manuals.

One possibility is that authors who offer extra features, free upgrades
or printed manuals, are wasting their efforts by doing so, and users
register in spite of the incentives, not because of them.  Another
possibility is that extra goodies do play a role in motivating users to
register after all.


    16.1 Extra Features etc...

This category is a bit broad.  It includes extra features, reserved
features, extra utilities, extra episodes, and other extras.  A number
of authors offer extras to those who register.  However, this seems to
be a touchy issue.  Some users register when the author promises enough
extra features for the registered version to be more useful and
powerful than the evaluation copy, while others seem to be offended by
those same promises.  Another group seems to be willing to register
either way.  When asked about which incentives most customers were
responsive to, the following successful authors said:

"Give them an Episode 1 which is of such high quality that they MUST
have E2&3."
     Jay Wilbur (Commander Keen)

"Reserved features."
     Bob Berry (CompuShow)


    16.2 Free upgrades

Free upgrades come in several forms.  An author may offer one free
upgrade, free maintenance upgrades until the next major release, free
upgrades for a period of time, or free lifetime upgrades.  The way the
free lifetime registration sometimes works, is that the user is given a
key that will register all future versions.  But it's up to the user to
download the new version.  Other authors do not offer a free upgrade,
but a discount on upgrades.  Even if there's no free upgrade, some
users appreciate an upgrade notice at the very least.


         16.2.1 To charge or not to charge for upgrades

People sometimes debate over whether or not authors should charge for
upgrades.  So, I've asked successful authors whether they get most of
their sales from first time registrations, or from upgrades.  Winfred
Hu (TELEMATE) responded:  "First time registration. (Our upgrades are
free as an incentive.)"  Andrea Santos (Silver Xpress) said that they
received sales from both first time registrations, and upgrades.  And
Frisk (F-PROT) said:  "Because of the constant need for upgrades, we
charge an annual license fee.  We have around 99% renewal rate, but
keep getting new customers too, of course."  So, it's up to the author
to decide whether or not to charge for upgrades.

Free lifetime upgrades do seem to entice a number of users to register.
However, before making any promises, authors must carefully plan ahead
of time how they will implement these upgrades.  Authors should have a
clear idea how much it will cost to provide upgrades, whether to send
disks or ask users to download the latest version, whether most of
their customers have access to a modem, whether you'll charge a small
fee if the customer wants it on disk, whether the printed manual is
also free, whether support will always be free, how often new upgrades
will be released, how to implement registration keys in the program,
whether users might be willing to pay for upgrades, and more.  A number
of authors seem do a fine job providing free lifetime upgrades,
however, others have had to end their promise.  Sometimes the author
sells the rights to a company who decides not to continue the free
upgrades.  Or, the author might redo a few things, give the program a
new name, and continue charging.  This may upset users.


    16.3 Printed Manual

A number of authors offer printed manuals to those who register.
Sometimes the manuals are bound, which seems to be a bigger incentive.


    16.4 Nag Screens

It seems as if no two users (or even authors) agree on how nag screens
should be implemented, except that they should not be overdone (if
present at all).  Users seem to respond better to nag screens that
serve as a reminder to register, rather than a cruel punishment for not
doing so.  Some prefer nag screens at the beginning, while others
prefer them at the end, and yet others tolerate them at both ends.
There is much less tolerance (although not total lack of) for nag
screens that appear during the course of a program.  Annoyance with nag
screens causes a number of users to erase the program as they burst
into flames, whereas for others, looking forward to removing the
irritating screen is precisely what motivates them to register.  In one
word, when it comes to nag screens, you just can't satisfy everybody at
the same time.  Deciding how to implement nag screens (or whether to
implement them) can be an agonizing task.

Nag screens when done the right way, do seem to work.  When asked about
how nag screens (and reserved features) affect the number of people who
register, here's what several successful authors had to say:

"If I didn't have nag screens and reserved features I would be getting
1/3 the registrations I get now."
     Tony Caine (2COL/JETCOL)

"We find it affects registrations very positively.  We often get people
calling saying they have never registered a product before, but they
have to get around the 10 minute time limit.  Compare our 80-90%
registration rate to the industry average."
     Marshall Dudley (DOORWAY)

"For large software or highly competitive program, reserving features
tend to be negative.  Minimum nag screen or a annoying flashing label
show to be positive.  Frequent nag screen is negative."
     Winfred Hu (Telemate)

BTW, I would be inclined to add a nag screen with a 15 second delay on
this shareware product, but since it's all text, you get off easy.  But
in case it's not beyond your tolerance level, please take a 15 second
break anyway, and read the top ten reasons why you should register this
product, found in the TOPTEN.TXT file :-).


    16.5 Other

Other incentives that were mentioned included source code, expiration,
random keys, delays, and price specials.


17. Reasons people give for not registering
    ---------------------------------------

All too often, shareware authors complain that they receive few
registrations, if any.  Assuming that your program serves a useful
purpose, and is well distributed, here are some reasons why people
might not be sending a payment:


    17.1 Unreasonable Price

The number one reason people give for not registering certain shareware
programs which they otherwise like is unreasonable prices.  Often
times, users compare prices with other shareware or retail software.
Some users have a price limit for which they are willing to pay for
shareware.  Some of them believe that shareware should cost less than
retail alternatives.  Some users are opposed to constant additional
charges for minor upgrades.  Also the lack of an upgrade policy
altogether can cause a user to hesitate to register.


    17.2 Crippleware

Crippleware is another popular reason people give for not registering.
Users often have a low toleration level for programs they consider to
be crippled.  If a program has a high price, then a number of users
will not send a payment, whereas if a program is deemed crippled, then
not only does it prevent some users from registering, but it also
causes fumes to come out of their ears, as they anxiously erase the
program.  Sometimes they actively encourage others not to use it.

A program is considered "crippled" when features that are essential for
it to operate properly are disabled until the user registers.  Many
users make a distinction between crippleware, and shareware programs
which offer additional features, as long as these features are not
necessary for a full evaluation of the program.  If this definition
seems a bit fuzzy, that's because it is.  What may seem like a fully
functional program to one person may well seem like crippleware to
someone else.  But what is for sure, is that the term "crippleware"
seems to have a negative connotation.

There are several reasons why people do not register crippleware.
Crippling tends to substantially reduce the usefulness of a program,
and users are not inclined to pay for something that is not useful to
them.  They are not willing to count on all the useful functions that
come upon registration.  Some fear that the touted features might not
be delivered.  Sometimes the very feature that is crippled is the one
that the user needs to evaluate before making the decision to purchase
the program.  Some users see crippleware as a sign of ill will from the
author.  A number of users are against any form of crippleware, while a
others are against *excessive* forms of crippling.  Tony Caine's
(2COL/JETCOL) advice is:  "Major features should not be held back but
you can hold back some little ones."

There is a dilemma in deciding what is and what isn't crippleware.  If
the extra features that are promised upon registration are too trivial,
then it might not be a worthwhile incentive.  On the other hand, if the
extra features (or disabled ones) turn out to be useful, then the
program is bound to be viewed by some as crippleware.  Marshall
Dudley's (DOORWAY) advice is "You don't want to withhold a feature that
the customer may doubt will work.  You don't want to hack him off."


    17.3 Nagware

The number of people who do not like nagware is approximately the same
as for those who don't like crippleware.  However, for many people,
it's excessive forms of nagging that presents the problem.  A number of
users tolerate one nag screen.  Some prefer it at the beginning while
others prefer it at the end.  Some will tolerate up to two nag screens.
Nag techniques that users particularly don't like are frequent
registration reminders that pop up randomly at inconvenient times,
programs that require the user to type in a code before continuing,
annoying whistles and sirens (especially for those who use the program
in an office setting or late at night), and long delays (for which
users have varying tolerance levels).  Users sometimes cannot put up
with excessive nags during the 2 or 3 weeks it might take for the
author to send the nag-free registered version.


    17.4 Payment Difficulties

A number of users have not registered certain programs because they had
difficulties sending a payment to the author.  A common obstacle is
currency exchange.  For instance, a user in New Zealand might have
trouble making a payment in US dollars, because bank transactions to
convert money can cost quite a bit.  This can be overcome when the
author accepts credit cards.  However, many authors accept only checks
drawn in US dollars, or some other currency.

Another problem is inadequate or absent registration forms.  It is not
convenient for the user to have to manually copy the registration
information off of the screen.  Often the presence of a simple
REGISTER.TXT file will suffice.  Some programs which print the
registration form hang the whole computer when the printer is not
ready.  This also deters users.


    17.5 Expireware

Several users have dropped certain programs because these programs
expired before giving a chance to be fully evaluated.  Some users
download a program, run it a few times, and then store it for latter
use.  When they find a use for the program a few months latter, they
find that the program refuses to run until the user sends a payment.
Users tend to simply remove the program when this happens.  Users also
express discontent when such "incentive" is not explained in the
documentation.  Users are concerned that there might be hidden files,
or that DOS/windows configuration or executable files might have been
tampered with, or that unrelated files might get damaged.  Programs
that self-destruct might be taken by the user as a punishment rather
than an incentive to register.


    17.6 Bad Attitude

Believe it or not, some users simply don't like the author's attitude,
and don't register because of it.  A user may have a negative
impression of the author based on what is written in the documentation.
Some authors come across as being paranoid, arrogant, greedy,
condescending, or offensive in some other way.  Sometimes, users feel
that the author assumes that they are untrustworthy and dishonest.
This tends to be reflected in certain nagware/crippleware programs.
Sometimes the bad impression comes from a sour e-mail or phone exchange
with the author.  Sometimes these feelings are based on the comments of
disgruntled users who post messages publicly on the net.


    17.7 Inferior Quality

Sometimes users don't register certain programs because the software is
not well implemented, even though the program might be a neat idea.
Users mention annoying glitches and oversights, and obvious bugs as
deterrents from registration.  Programs that hang the computer for
simple user mistakes are frowned upon.  The problem is worse when the
author does not respond to queries concerning possible bug fixes.
Excessive disk space used by programs have also deterred people from
using them.  Users find that bad or missing documentation is also a
serious dis-incentive to register.


    17.8 Lack Of Money

It shouldn't be a great surprise that some people don't register simply
because they don't have enough money.  Some users have a tight budget
which permits them to register only one or two programs at a time.
Others mentioned being currently unemployed, or simply not having
enough cash flow.  Some of them have a long memory, and intend to pay
whenever they are capable.


    17.9 Disappearing Authors

A number of users have not registered certain programs because they
could not reach the author.  Sometimes the program is very old, or the
author has simply dropped support.  Sometimes users send a check
anyway, but it comes back marked unforwardable.  Other times the author
cashes the check but doesn't send what is promised to the user, and
can't be reached afterwards.  Some authors don't respond to e-mail.
Others simply don't even have an e-mail address, making it difficult
for users to reach them.  Sometimes a user can't log on to the support
BBS, or the BBS software is not very user friendly.  Some users may
read about an author's poor track record from the net, and decide not
to register.


    17.10 Forgetfulness

Some users mention that in all honesty if a program is fully
functional, or has too few reminders, then it is easy for them to
forget to register.  Others simply feel lazy about filling out a form,
preparing a check and mailing it.  Sometimes, users procrastinate until
the program outlives it's usefulness.  These users often have good
intentions, but simply don't follow through on them.  Nag-free/cripple-
free programs, with no alluring incentives fall prey to these users.
In this regard, Marshall Dudley (DOORWAY) says concerning some
shareware authors:  "Many give away the farm, offering no real
incentive to registration", and Tony Caine (2COL/JETCOL) says: "Some
authors are too wimpy about asking for registrations and they don't use
strong enough incentives.  And they don't know how to ask.  You need to
gear your incentives and begging to your market and your type of
program.  There is no one answer."


    17.11 No Problem

Some users have not encountered any problems yet which would prevent
them from registering shareware programs that they found useful.  If
they have to have a program that they like, then they do whatever it
takes to register it.


    17.12 Other

It should be noted that the shareware user survey was targeted at users
who have registered programs in the past.  However, there are no doubt
many other users who do not register for various reasons not listed
above.  If asked, others might say things like:  "Oh, I already bought
a copy at the store", "It came built-in to my computer", "My friend
installed it for me and took care of everything", "The author won't
miss my dime", "I'd go broke if I registered everything on my
computer", "It's not like I *have* to pay or anything, is it?", "Nobody
else registers, so why should I?", "Registration??  What's a
registration?"

I've asked successful authors what they found to be lacking in other
shareware programs.  Here's what some of them said:

"Support, quality of program and documentation."
     Robert Jung (ARJ)

"Testing (or lack of it)...people are not going to register buggy
programs."
     Frisk (F-PROT)

"Many don't provide for a real need or have picked an area where there
is a lot of competition.  Some have a nice program, but the docs are
pretty miserable.  Many give away the farm, offering no real incentive
to registration.  Some write in a poor choice of programming languages
(ie. BASIC) thus getting a program which is unreliable and unstable.
Some people think that a utility that took 10 minutes to write is worth
a registration fee.  It should be freeware."
     Marshall Dudley (DOORWAY)


18. How much do people pay for shareware programs?
    ----------------------------------------------

In the survey, users indicated paying between $5 and $200 (US) for
shareware programs.  The price mentioned the most was $25.  Some users
paid a wide range of prices, such as $5-$80, or $10-$60.  Some had a
certain price limit beyond which they would look for alternative
shareware or retail programs instead.  Some users register many
inexpensive programs, and think long & hard before paying for higher
priced software.

The price users pay depends on the type of program they are using, and
the personal value it has to them.  They pay less for small or single
purpose utilities, and more for complex applications.  Higher quality
also adds a bit to the price people are willing to pay.  Users who
normally pay no more than a certain price for shareware sometimes make
an exception, and pay quite a bit more for an unusually outstanding
program.

Users consider the price of shareware programs to be of great
importance in their decision to register.  In fact, unreasonable prices
represents the number one reason given for not registering shareware
programs that are otherwise fine.  Users register programs with a good
"cost/value" ratio.

Other things which are part of the cost to the users of shareware
programs include the price of upgrades, charges for obtaining the
proper currency required by the author, and to some extent support.
Users are more willing to pay for a program when it has a cost
effective upgrading policy, when there is consideration for overseas
currency, and when there are cost effective ways of reaching the author
(for programs that depend on more support).

The following is a graph showing how much people are willing to pay for
shareware.  Users were asked to give the average price they paid.  Some
gave a range instead of an average.  So the graph represents a rough
figure.


Percentage
of people

   22 │                   ▄▄
   20 │                   ██
   18 │             ▄▄    ██    ██
   16 │             ██    ██    ██
   14 │             ██    ██    ██
   12 │             ██    ██    ██          ▄▄
   10 │             ██    ██    ██    ██    ██
    8 │             ██    ██    ██    ██    ██         ▄▄
    6 │             ██    ██    ██    ██    ██         ██
    4 │       ██    ██    ██    ██    ██    ██         ██
    2 │ ▄▄    ██    ██    ██    ██    ██    ██    ▄▄   ██
      └─────────────────────────────────────────────────────────
        10    15    20    25    30    35    40    45    50    60
                How much people pay for shareware (US $)


19. How do successful authors price their programs?
    ----------------------------------------------

Successful shareware authors generally compare competing programs in
order to set the right registration price.  Authors want to set a good
price.  Beyond that, the precise amount might be determined by a gut
feeling after a good meal.  Andrea Santos (Silver Xpress) says: "Our
pricing changes periodically and is dependent on what we feel is a fair
market price, along with the prices of our competitors".  The price
should not be good only for the user; it should also be profitable for
the author.  Here's how Frisk (F-PROT) priced his program:
"Significantly lower than my competitor's pricing, but still high
enough for me to make a nice bit of money :-)".  As mentioned before,
some users have a limit on what they are willing to pay, no matter how
good a shareware program is.  In this regard, Winfred Hu (Telemate)
advises:  "Never go over US$50 and never under US$20.  Check the price
for a similar product and price around it".


20. Which methods of payment do people use?
    ---------------------------------------

    20.1 Checks

More than fifty percent of the surveyed users said they registered by
check.  Some of those who use checks also use credit cards, while
others have strong feelings against it.  Some users are cautious about
giving out credit card numbers in general.  Others do not trust giving
out credit card information over the phone or by mail.  Users have also
pointed out the potential dangers of sending credit card numbers
through open networks, since if mail travels through several systems
before reaching its destination, it may be possible for lurkers to
stick their noses into other people's e-mail.  Some users are reluctant
to give a credit card number to a foreign or unknown author with an
unproven track record.  Some users simply don't do plastic at all.


    20.2 Credit Cards

Although many people use both checks and credit cards, some use one or
the other exclusively.  A number of them have a strong preference for
credit cards, especially because they're more convenient.  For one,
credit cards are much easier for making payments in foreign currencies,
without the large extra cost which may be necessary for check and money
order payments.  Also users find that it's easy to do the transaction
by phone or e-mail.  Users also feel a sense of security.  If there's
some kind of problem, such as the author not delivering the product
that is due, there may be a recourse.  Another advantage is quick
processing, unlike a check which may take some time to clear.  There
are also reputable services such as PsL (Public software Library) which
handle registrations for many authors.  For convenience, they can be
reached by FAX, e-mail, postal mail, or by a toll free number.  Some
users are more likely to register if it just involves giving a credit
card number, rather than going to the bank to prepare a money order or
check in foreign currency.  Most of the survey participants from
outside of the USA register by credit card.


    20.3 Online

Some users find it very convenient to register online.  Some authors
have a support BBS, which users can log on to, and give their credit
card number, and receive the registration code promptly.  There is also
a service on Compuserve called GO SWREG.  Instead of having to pay up
front, the amount is simply charged on the user's Compuserve bill.
Some users are more likely to register because of that.


    20.4 Cash

Some users find it easiest to mail cash, especially to overseas
authors, and for small utilities.  Those who register by sending cash
also use other methods to register when possible.


    20.5 Money Orders

A number of people register with a money order.  A money order in USA
funds can save the author time, money and trouble.  Many of those who
register by money order also register by check or credit card.


21. Overcoming problems with overseas currency
    -------------------------------------------

Successful authors usually receive many registrations from around the
world, not just their home country.  Without proper arrangements,
processing an overseas payment may end up costing the author more than
what the user paid to register.  Therefore, prospective authors should
give consideration to the global nature of their market.  Here's how
several successful authors handle international payments.

"Accept all major credit cards.  Then there is no problem with currency
differences.  Otherwise require a check drawn on a US bank, which most
people can acquire by visiting their local bank.  Customs only requires
filling out the green stick on form.  Tariffs and VAT are paid by
customer and are not a concern."
     Marshall Dudley (DOORWAY)

"I have a bank that will cash all foreign checks at no cost.  I also
have a credit card service.  I send out a very light registration
packet and charge no extra fees to foreign users."
     Tony Caine (2COL/JETCOL)

"No problem with customs.  We encourage credit card purchase for our
overseas customers and we also have 5 overseas registration/support
sites to handle registrations."
     Andrea Santos (Silver Xpress)

"Many Europeans have Eurocard (Mastercard), or can get International
money orders (eg. American Express) locally."
     Bob Berry (CompuShow)


22. Demographics
    ------------

More than 60% of the user survey participants were from the USA.  The
rest of them were from Canada, Europe, Australia/New Zealand, and South
Africa.  This coincides more or less with the registration demographics
given by successful authors.  For instance, Marshall Dudley (DOORWAY)
says:  "Most sales come from USA followed by Canada.  Europe is next,
followed by Australia then pacific rim and South Africa.  Occasionally
we see a registration from South America".  Winfred Hu (Telemate)
breaks it down as follows:
"North America: 60%
 Europe:        30%
 Australia:      5%"
This along with the data for several other authors clearly shows a
significant portion of registrations coming from the USA.  It not only
holds true for shareware programs written in the USA, but also for
programs written elsewhere.  For instance Frisk (F-PROT) who comes from
Iceland has the following figures: "US 70%  Canada 10%  Australia/New
Zealand 10%  Europe 10%".


23. What percentage of users register?
    ----------------------------------

Prospective authors often want to know what percentage of users
register shareware.  The answer is anything between 0% and 80% or more.
Unfortunately for a number of authors, years have passed, while they
have yet to receive one registration.  This may be for any of a number
of reasons, such as the ones discussed earlier.  For those who do get
more than 0% registrations, the percentage of users who register also
depends on many factors, such as incentives, price, target audience,
etc...  The actual percentage of users who register is not always easy
to assess.

With all that said, several successful authors estimate that around 5
to 10 percent or so of those who use their programs register.  Frisk
(F-PROT) who estimates a 10 percent registration rate, has his program
free for personal use.  Most of his registrations come from
institutions, and corporations, while virtually none come from personal
users.  Marshall Dudley (DOORWAY) has determined based on a survey,
that 80% to 90% of those who use his programs have registered.  4/5 of
his registered clients are sysops or corporate users, and the rest are
home users.  Other successful authors have a different combination of
"target audience"/"registration rate".  So as mentioned before the
percentage of those who register really depends.

Potential authors sometimes want to know if there's a correlation
between the number of BBS downloads (or disk vendor sales) and the
number of registrations for any given shareware program.  Some programs
get many downloads, and have a 0% registration rate.  In this
situation, there's probably no correlation at all.  Some successful
authors do suspect the existence of a correlation for their programs,
but they find it tricky to measure.


24. Profiles of the shareware user
    ------------------------------

Here's a sample of the kind of people who register shareware programs:

"About an even mix of individual and corporate users."
     Tom Rawson (4DOS)

"Businesses of all sizes."
     Robert Jung (ARJ)

"Home users."
     Winfred Hu (Telemate)

"Most customers are individuals, although businesses, colleges,
universities, government agencies, etc. are more concerned about
registering ShareWare."
     Bob Berry (CompuShow)

"For me, BBS and OnLine Service users are far and away the most
frequent registrants.  I think they represent about 75% of my customers
now."
     David Hamel (BOXER)


25. How long does it take users to evaluate programs?
    -------------------------------------------------

Some people decide to register after an hour of evaluating a shareware
program, while it may take others up to five years or an indefinite
amount of time of using a program before they register.  Some users
evaluate programs within the 20 to 30 day limit given by some authors,
while others find the time limit insufficient, so they use their own
time frame instead.  A number of users don't actively keep track of how
many days they have used a program.  Instead, they let the program
gradually seep into their daily working habits.  Once they find that
the program is being used often, they register.

There are several factors which determine the amount of time it takes
people to evaluate a given program before sending a payment to the
author.  Since it takes time to master complex programs, the higher the
learning curve a program has, the longer it may take for some users to
evaluate it.  Utilities which are used only once a week tend to require
a much longer evaluation period than those that are used on a daily
basis.  Some users tend to register quicker when there are special
limited time offers, such as price reductions for those who register
before a given date.  For a number of users, when they register depends
on when they have enough money.  Because of this, programs which cost
more may take a longer time before they can afford to pay.  It takes a
while for some users to evaluate a particular program, as they search
and compare other similar ones.

Users do not always start evaluating programs right after obtaining
them.  Sometimes a user will download a program, and maybe play with it
for a while, and then store it on the hard drive.  Weeks or months
later when a use for it arises, the user then reevaluates the program,
and then decides whether to register.  Programs that expire after a
certain number of days, instead of number of uses tend to cause
problems for these users.


26. Do most users contact the author before registering?
    ----------------------------------------------------

When asked if they usually contacted the author before registering,
most survey participants simply said "no".  Some users contact the
author only if there is a bug that needs to be resolved.  Others
contact the author if they have trouble setting up the program.  Even
if the author is not contacted, a number of users feel more comfortable
if they know how to reach the author when necessary.  Some users
already have an idea who the author is, sometimes because of their
presence in support forums.  Sometimes users take note of whether or
not the author actually participates in the forum.  Some users never
contact the author because they've never had a bad experience before.

A number of other users, however, do usually contact the author before
registering.  They want to check out the author or technical support
staff to see if it's worth the trouble registering.  Sometimes users
check for upgrades, to see if they are using the latest version before
registering.  Some users have had a bad experience before, so they want
to make sure the author's address is still valid, and also test the
author's interest and support for the program.

Many times it simply depends.  Some users will check with the author
when the program is fairly old, or if they haven't heard much about the
program or author.  Sometimes if the documentation that comes with the
program is not very clear, then users might contact the author.  Some
users are more inclined to register if they have had a chance to chat
with the author.  Sometimes users contact the author to signal bug, or
to make a suggestion, to see how the author responds.  Some authors go
out of their way to accommodate users, who in turn are impressed and
then decide to register.


27. How do users contact authors?
    -----------------------------

I've asked successful authors which communication channels most
customers use in order to reach them.  Listed in the order starting
from those most frequently mentioned were phone, e-mail, fax, postal
mail, support conference, and support BBS.  It should be mentioned that
all author survey participants are reachable by Internet e-mail.  Any
author who is serious about shareware should definitely get an e-mail
address, since it is generally fast and cost effective.  Other systems
such as Compuserve, AOL, Fidonet, BIX, etc...  are also reachable by
Internet e-mail.


28. Additional words of wisdom from successful authors
    --------------------------------------------------

"Find a niche, fill it well, and be sure there is some type of
registration incentive."
     Marshall Dudley (DOORWAY)

"Potential shareware authors should not expect to earn their living off
shareware right away (or ever).  They should look at shareware as a
part-time hobby and whatever they take in is gravy.  This prevents
making bad judgements out of desperation.  Don't spread yourself too
thin.  Have lots of patience.  Be prepared to learn.  Don't assume you
know everything.  Listen to your users and make adjustments in your
approach based on what you hear.  It takes creativity to stand out from
others.  If you can't take a creative approach you won't succeed.
Above all, experiment and be prepared to make mistakes.  Be prepared to
get some people angry at you along the way.  Try many different
approaches and see what works."
     Tony Caine (2COL/JETCOL)

"Don't waste your time on writing yet another small utility where
dozens already exist - you have to be unique.

"    If you are going after some big market, consider competition from
the big companies....they have resources you don't have, so to
successfully compete against them, you must either move faster (big
companies move slowly...a small, fast-moving mammal can outlive a huge
dinosaur), and enter a fast-moving market (in my case anti-virus), or
simply be first.

"If you aim for a niche product, in a market too small for the big
companies to be interested, shareware may not be the best approach, as
a product few people are interested in may not be distributed widely.

"The most successful shareware products are games and utilities."
     Frisk (F-PROT)

"Get your program on as many BBSes and file distribution networks as
possible.  Recruit supporters to help also.  People can't carry
something that is not available.  We have our own Distribution network,
with almost 40 members here and overseas.  We send our files to the
SDS, RADIST, Compuserve, EXEC-PC and have others who forward them to
the other Big BBSes and dump files on all local boards.

"Get good and loyal beta testers.  We have close to 50 worldwide who
test and promote Silver Xpress.

"If you are in this market for more than hobby purposes, advertising in
a magazine such as Boardwatch or Shareware is extremely beneficial.
This is quite expensive, but subscribers know this and make conclusions
that the program must be good if you advertise in there.  It is tough
to make money strictly in the hobbyist market."
     Andrea Santos (Silver Xpress)


29. Shareware Forecast
    ------------------

From time to time on the net, unsatisfied users as well as authors say
that shareware isn't what it used to be.  They find that the golden age
of shareware is over, and that success stories are a thing of the past.
When asked if it's becoming more difficult for shareware authors to
become successful, here's what several successful ones said:

"Yes, considering:

. commercial software price are dropping below the $150 mark (some even
  $100)
. commercial software are filling the gaps that used to be filled by
  shareware
. more sharewares are now available

However, if you have a good shareware, you could become successful
easier because we have

. more modem users now
. high speed modem is cheap so users can download larger files in less
  time and try out new programs

Overall, it is more difficult to become successful."
     Winfred Hu (Telemate)

"No, quite the contrary, I would say."
     Frisk (F-PROT)

"There is a lot of competition out there.  It is more difficult in that
sense.  But there are also a lot more people who have access to
shareware and BBSs than there were a few years ago."
     Tony Caine (2COL/JETCOL)

"I believe so, there are lots of people writing shareware now.
However, the market is much bigger, so I think you will see more
losers, and more really big winners as well.  Where mediocre programs
did fairly well before, now they will do badly, but the cream of the
crop can reap really large rewards."
     Marshall Dudley (DOORWAY)

"I don't think so, provided you have a program that addresses a need.
The more people who have that need, the better your chances.  As
mentioned earlier, there are many off-line mail doors and readers
on the market.  Anyone who introduces another one at this point
must have something that is leaps and bounds better than what
is already out there, or must be addressing a platform for which
the current products don't."
     Andrea Santos (Silver Xpress)


30. Survey digest
    -------------

* The #1 reason for not registering programs is unreasonable prices.
* On average, users pay around $30 (US) per shareware program.
* The most popular source for obtaining shareware is BBSes.
* Few people contact the author before registration.
* The overall preferred method of paying for shareware is by check.
* Most overseas users register by credit card.
* The first registration often comes within a few weeks of release.
* It can take 8 months to several years before becoming successful.
* Extra features are the most common registration incentives.
* Usefulness & quality are the most common reasons users register.
* 0% to 80% of users register shareware.  It depends on the software.
* It takes users a few hours to a few years to evaluate sw programs.
* Most shareware registrations come from the US.

(Please keep in mind that the above is based on the surveys.  This
information might not be universal).


31. The Person behind the Program
    -----------------------------

Shareware authors are often known only for their programs.  For the
high quality software they produce, you'd think that they are glued to
the computer 24 hours a day.  However, in reality many of them do more
than just computers.  Here's what a few of them said about themselves:

"I'm learning to fly an airplane, I like all kinds of music, I have
both a hardware and software background and I like to work with
mechanical things (carpentry, wiring, fix the car, etc.), not just
software.  I like to bicycle but it's tough in Boston, where I swear
the cars deliberately set out to kill the cyclists!"
     Tom Rawson (4DOS)

"I am a born-again Christian who likes science fiction and action
movies."
     Robert Jung (ARJ)

"I have an interest in exploring the unknown.  I enjoy caving, and last
year was part of a scientific team investigating Crop Circles in
England."
     Marshall Dudley (DOORWAY)

"I have been to over 3000 of the 3140+ counties of the US.  I prefer
mid-60's oldies."
     Eric Isaacson (A86)

"Me: My family.  When I am not working I am at home with my loving
wife, Billie Jo and my two boys (Josh: 3 yrs and Nick: 6 months) id:
writing games, playing games, eating pizza, etc."
     Jay Wilbur (Commander Keen)


APPENDIX
--------

A. Distribution Channels
   ---------------------

Before sending programs to major distribution channels, be sure that
your program is of high quality.  If you are not sure, then upload it
to local BBSes first to see how people react.  The following items
represent only a sample of the different distribution channels.


    A.1 Disk Vendors

Public (software) Library
P.O. Box 35705
Houston, TX 77235-5705

PC-SIG (Shareware Magazine)
1030 D East Duane Avenue
Sunnyvale, CA 94086

The Software Labs
100 Corporate Pointe, Suite 195
Culver City, CA 90230

Public Brand Software
P.O. Box 51315
Indianapolis, IN 46251


    A.2 FTP sites

garbo.uwasa.fi (128.214.87.1)
Timo Salmi, [e-mail]
University of Vaasa, Finland
msdos, windows, etc...
For uploading instructions, see /pc/UPLOAD.INF and /pc/UPTEXT.INF

SimTel mirror
oak.oakland.edu (141.210.10.117)
Keith Petersen, [e-mail]
Oakland University, Rochester, Michigan, USA
For uploading instructions, see /pub/msdos/README.how-to-upload

Ulowell
ftp.uml.edu (129.63.17.1)
Brian O'Neill, [e-mail]
University of Massachusetts at Lowell, USA
msdos games

Cica
ftp.cica.indiana.edu (129.79.20.17)
Michael Regoli, [e-mail]
Indiana University, USA
Windows


    A.3 BBSes

Channel 1
Brian Miller
617-354-8873

Exec-PC
Bob Mahoney
414-789-4210

Invention Factory
Michael Sussell
212-274-8110

The Right Place
Roger Sligar
404-476-2607

NOTE:  Many sysops prefer to carry programs which contain a FILE_ID.DIZ
description file.  For a more detailed explanation on how to implement
it, obtain a copy of FILEID.ZIP, written by Richard Holler.  As of this
writing, there is a new standard called VENDINFO, which authors should
also look into.


    A.4 File Distribution Networks

SDN International
Fidonet author-direct Shareware Distribution Network.  Download the SDN
kit for authors from the SDN BBS, at 203-634-0370.
Coordinator:  Ray Kaliss

Utilnet
Distribution network for selected popular shareware programs.
Coordinator:  Jerry Seward

PDN
Distribution network for programming tools.  The PDN BBS number is
914-344-0350.  Coordinator:  Janis Kracht

FDN (Author-Direct)
Distributes ASP products.  Call the Roadhouse BBS, and log in using the
name AUTHOR DIRECT, with password NETWORK, and then download AD-AUT.ZIP
and AD-NOD.ZIP, for author and "end node" information.  These files can
also be Freq'ed from 1:231/290.  Coordinator:  Richard Holler


    A.5 Online Systems

Ads for access to online systems such as Compuserve, Delphi, GEnie,
AOL, BIX, etc... can often be found in computer magazines.


B. Suggested Readings
   ------------------

. The Shareware Book, by Bob Schenot
. Shareware Registration Guide (PsL), by Nelson Ford
. Guidelines for Shareware Authors (PBS), by Bob Ostrander
. Writing and Marketing Shareware, by Steve Hudgik
. HomeCraft Small Business Journal, by Steve Hudgik
. Shareware Magazine
. Boardwatch Magazine
. Compuserve Magazine
. Computer Shopper


C. Copyright
   ---------

Your shareware program is copyrighted the moment you write it, unless
you explicitly label it as Public Domain.  Although not required, it is
highly recommended that you place an explicit copyright notice in a
visible location of your program.  This will let the public know that
your work is protected by copyright, and a user violating these rights
will not be able to claim "innocent infringement" in court.

The copyright notice consists of the word "Copyright", or "Copr.", or
the letter C enclosed in a FULL circle, and the year of first
publication, and the name of the owner of the copyright.  The letter C
inside parenthesis  (C)  is not a valid substitute for C in a full
circle.  It is, however, often used on computers which have no ASCII
copyright symbol.  Using it should be no problem as long as it is
accompanied by "Copyright", or "Copr.".  For an added measure, you may
want to add the phrase "All Rights Reserved."

Although not required, you may also want to register your software at
the copyright office.  This establishes a public record of the
copyright claim, and is necessary before an infringement suit can be
filed in court.  For software, usually the TX application form is used.
You may obtain an application and circular forms free of charge from
the following address:

Copyright Office
Information Section, LM-401
Library of Congress
Washington, DC 20559
[phone]

A thread that never seems to die says that you can get copyright
protection by mailing yourself a copy of the source code in a sealed
envelope.  If your program is worth more than a stamp, then consider
registering the proper way with the Copyright Office instead.  The
sealed envelope might not stand up in court.

Although other countries may have similar rules, this copyright
information pertains specifically to the U.S.  Request circular forms
1, 2, and 61 from the Copyright Office, or consult with your attorney
for official information regarding copyright laws.


D. Glossary
   --------

ASP       Association of Shareware Professionals.  Trade organization
          for the promotion of shareware.

BANNERWARE  Program distributed as freeware, serving as an
          advertisement for another product.

BBS       Bulletin Board System.  It refers to a special computer that
          people can log onto with their modem.  BBSes often have many
          files for download, and also carry message areas.

BBS DOOR  A special BBS service, other than the regular file, bulletin
          and message base which are commonly offered.

BETA TEST  Testing of the pre-release version of a program, done by
          people other than the author.

BTW       Acronym for "By The Way".

BUG       A programming mistake which causes software to misbehave.

CD-ROM    Compact Disk - Read Only Memory.  These disks often contain
          thousands of shareware programs.

CRIPPLEWARE  See the registered version for a definition (just kidding
          :-)  Refers to a program with certain essential features
          available only to those who register.

DISK VENDOR  Company which sells disks containing shareware.

DOWNLOAD  The process of retrieving a program from a BBS, FTP site, or
          other online system.  See also UPLOAD.

ECHO      Online discussion group, which is often international in
          nature.  This word is used in networks such as Fidonet.  See
          also NEWSGROUP and FORUM.

E-MAIL    Electronic Mail.  Private mail which travels through a
          computer network, and is sent from one person to another.
          Many major networks are linked to the Internet, thus
          providing a way for many people to send each other e-mail.

EXPIREWARE  A program which ceases to operate after a number of days,
          or after having been run a certain number of times.

FIDONET   Hobby network which links thousands of BBSes worldwide.
          Fidonet has many discussion echoes (including one for
          shareware).  There are several file distribution networks
          which circulate shareware programs on Fidonet.

FILE_ID.DIZ  File which contains the description of a shareware
          program.  It helps sysops automate the process of adding
          files to their BBS shareware collection.

FORUM     Online discussion group.  See also ECHO and NEWSGROUP.

FREEWARE  Commonly refers to programs for which the author does not
          require a payment from all users.

FREQ      File REQuest.  A method Fidonet sysops use in order to obtain
          files from other BBSes.

FTP site  File Transfer Protocol.  System somewhat similar to a BBS,
          which has many files available for download, and is
          accessible to many users who have an Internet account.

GNU       GNU not UNIX.  GNU programs are distributed as free software.
          Everyone else shares with the author the rights to give,
          sell, and modify the program.  Source code is accessible to
          all.  Not to be confused with shareware.

INTERNET  Very large system of computer networks which hooks up
          universities, research institutions, government offices,
          corporations, and also commercial online services.  Shareware
          programs are available to Internet users on FTP sites.

NAGWARE   Program which reminds users to register with message screens,
          often accompanied by delays, beeps, or random key presses.

NEWSGROUP A Usenet discussion group on a given topic.  There are
          several newsgroups related to shareware.  See ECHO and FORUM.

NET       Short for NETWORKS.  Used loosely in this document in
          reference to newsgroups, echoes, online forums, etc...

NETMAIL   Private mail, as opposed to echomail (which is a public
          message).  This word is used on Fidonet.  See also E-MAIL.

PUBLIC DOMAIN  Unlike shareware, it refers to a program void of
          copyright.  Users are free to do as they please with these
          programs, and have no obligations towards the author.

RACKWARE  Evaluation copies of shareware programs that are sold in
          racks, at many stores.

REGISTRATION  The process of sending money to the author in order to
          have a license to continue using the shareware program.
          Registration sometimes entitles the user to a printed manual,
          more support, extra features, or other goodies.

RETAIL    Software marketing channel with outlets in stores.  Unlike
          shareware, these programs usually cannot be evaluated before
          being purchased, neither can they be freely distributed.

SDN       Shareware Distribution Network.  File distribution system
          which reaches many Fidonet BBSes worldwide.

SHAREWARE  Cost effective method for marketing software, where users
          can try before they buy.  Shareware programs are usually
          distributed through BBSes, disk vendors, FTP sites, etc...

SMILEY    Symbol such as  :-)  which is used to indicate a grin in e-
          mail messages.  The proper way to view it is to rotate your
          monitor 90 degrees clockwise (or tilt your head 90 degrees
          towards your left shoulder).  Don't try this at work :-)

SYSOP     SYStem OPerator.  Person in charge of operating a BBS.

UPLOAD    The process of transmitting a file from your computer to a
          BBS, FTP site, or other online system.  See also DOWNLOAD.

USENET    Network which has many discussion newsgroups, including some
          related to shareware.  USENET is generally accessible to
          Internet users, and also to a growing number of BBS users.

USER      Used in this document in reference to people who use
          shareware programs.

VENDINFO  A new system which should soon replace FILE_ID.DIZ, and other
          description files.

VIRUS     Malicious program, which attaches itself to software, and
          tries to copy itself to other files.


E. Acknowledgements
   ----------------

Successful shareware authors are usually very busy people, however,
some of them have taken the time to share their wisdom with the rest of
us.  You will no doubt recognize them by their popular programs.  I
would like to thank the following author survey participants:

Bob Berry                   CompuShow graphics display utility
Tony Caine                  2COL/JETCOL printing utility
Fridrik Skulason (Frisk)    F-PROT anti-virus utility
David Hamel                 BOXER editor
Mark Harris                 Ample Notice appointment calendar
Tsung (Winfred) Hu          TELEMATE communication
Eric Isaacson               A86 assembler
Robert Jung                 ARJ compression
Dan Parsons                 Robomail reader
Marshall Dudley             DOORWAY remote communications
Jay Wilbur                  Commander Keen series
Tom Rawson                  4DOS
Andrea Santos               Silver Xpress mail reader

I would like to thank David White for his valuable comments concerning
this document.  I would like to thank him and Roderick Begbie for
taking overseas registrations for me.  I would also like to thank the
many people who participated in the user survey, and those who
participated in the discussions.


F. How to register the Shareware Author & User Case Study
   ------------------------------------------------------

Print out the registration form by typing "COPY REGISTER.TXT PRN" at
the DOS prompt.  Or you can simply send your $20, and mention the
registered version of the Shareware Author & User Case Study (item
#11170).

Credit card registrations may be made by the following methods:
(Please note that I can NOT be reached through PsL.)

-- PsL phone numbers:
800-242-4775  Toll free US number for credit card registrations.
713-524-6394  Phone number for international callers.

-- PsL FAX number: 713-524-6398

-- PsL CompuServe userid 71355,470

-- PsL postal mail address:

The Public (Software) Library
P.O. Box 35705
Houston, TX 77235-5705
USA

If you are outside of the US, it is preferable to use a credit card, or
international money order.  If you use a foreign check, then any
surcharges resulting from funds drawn from a non USA bank must be
prepaid in addition to the registration cost.

Credit card processing is done by PsL.  At my address, I can only
accept US postal money orders, international money orders, and checks
(and cash on an experimental basis).  Please allow 3 weeks delivery
when sending a check.

The following services can also take registrations for the Shareware
Author & User Case Study:

Europe
------
Hillfoots Data Services,
Mains House,
Tillicoultry,
Clackmannanshire,
FK13 6PQ,
UNITED KINGDOM.
Phone [phone]
Fax [phone]
Compuserve 70374,2367
Check, EuroCheck, or money order payment (no credit card)
Exchange rate:  1 Pound Sterling = US$1.50 (this may vary)
Contact: Roderick Begbie

New Zealand
-----------
NZ Shareware Services
24 Finn Place
Glenfield
Auckland 1310
Phone [phone]
Fax   [phone]
American Express, VISA, MasterCard, or cheque payable to "PC Help"
Exchange rate:  NZ$1 = US$0.55 (this may vary)

I would prefer that orders be placed through one of the services,
and comments be sent to me.


G. How to contact me
   -----------------

Daniel Corbier
11670 NE 20th Drive
Miami, FL 33181

Internet e-mail:    [e-mail]
Compuserve e-mail:  INTERNET: [e-mail]
Fidonet e-mail:     Daniel Corbier, 1:135/110 or 1:135/23

I usually frequent the following discussion groups related to
shareware:

Internet:  comp.archives.msdos.announce, comp.archives.msdos.d, etc...
Fidonet:   Shareware echo
RIME:      Shareware echo (less frequented due to long distance)
I-LINK:    Shareware, and Shareware issues (less frequented due to ld)

I frequently log on to the following BBSes:

MACC              305-596-1854
SOX               305-821-3317
Telcom Central    305-828-7909


H. Concerning reaching me
   ----------------------

The same people who answered the shareware user and author surveys also
frequent discussion forums such as the ones mentioned above.  For
general questions related to shareware, please ask in those forums.  I
also participate sometimes when I have an answer.  If your question is
specifically related to this document, then you can ask me by private
e-mail.  Correspondence which requires a response to questions should
be done by postal mail only if you cannot reach me by e-mail.

This document represents a lot of what I know about shareware.  Any
questions beyond this information might easily stump me, resulting in
responses such as "I don't know", or "I'm not sure".  Do not hesitate
to ask questions that I can't answer, as I may redirect them to those
who might have an answer.  Then I might include the answer in a future
edition of this document (a personal response to the person who asked,
is not guaranteed however).  I will also be happy to receive other
correspondence concerning this document.  I would especially like to
hear your comments and suggestions.  Also please report any errors
found in this document, or anything that needs clarification.


I. Ultimate Calculator
   -------------------

For those who are interested, I have created another shareware program
called UCALC (Ultimate Calculator).  It is an easy to use math
expression evaluator which has been designed based on the suggestions
of many users.  It can be used for anything from simple arithmetic at
the DOS prompt, to scientific or financial calculations in the
interactive mode.  As of this writing, the file name is UCALC18.??? or
UCAL18.??? on Compuserve (??? is ARJ, ZIP, SDN, etc...).