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LMS Pricing Models: A Guide

The learning management system (LMS) use has greatly increased in the past few years as the world gradually moves towards the online way of learning. LMS consists of various features that make online learning fun and interactive. Although organizations use innumerable LMS to train their employees, some of them, like Mindflash, really outmatch the others. The myriad of features that Mindflash has makes it stand out of the line, but what about the price? Are these LMS affordable, or do they charge an exorbitant amount of money? Let’s take a look at some LMS pricing models.

1. Pay Per Learner: 

This model is the most basic pricing model for an LMS. ‘Pay per Leaner’ signifies that an organization will have to pay a fixed amount for a certain number of learners. Under this model, training is compulsory. The learners cannot quit the training schedule in between.

2. Pay per active user: 

This model charges the company/organization for the number of users who used the LMS during the billing cycle. This plan is beneficial for organizations that conduct one-time training or run different training batches throughout the year.

3. Licensing/Subscription: 

Under the licensing/subscription model, the company has to buy packages and pay a fixed amount. The packages come with a pre-determined set of features, and any add-on in the features is supported after the company/organization pays an extra amount for the feature. This pricing model is highly beneficial for organizations housing a large number of learners. The buyer/subscriber must be aware of the list of features that he/she may need before going for the licensing model.

4. Open Source: 

The open-source pricing model does not require the buyer to pay any charges for access to the LMS service. However, this model requires tech knowledge to some extent for the set-up. The set-up, customization, and maintenance of open-source pricing models are a bit on the higher end of the budget. There are benefits when of using this model, such as:

  • liberty from vendors
  • high level and a variety of features
  • high user capacity

If a company has IT professionals who can handle HTML and programming, this pricing model can be useful.

5. Purchase outright or perpetual: 

If you want to stay free of charges, getting a perpetual license may be a good idea if you don’t want to pay monthly or annually for an LMS. This model requires the company/organization to pay just one time and grants it access to the learning management system. However, as good as it may sound, it does come with a downside. The drawback is that the perpetual license is of no use when the company/organization requires updating the LMS or adding features to it. In many scenarios, the company/organization may also need to download the software instead of accessing it directly via the cloud servers.

Apart from the above-mentioned pricing models, there are other models available as well. A company/organization or an individual doesn’t need to access LMS services by selecting a particular model. There are various options available, and the buyer can choose a model per their needs and preferences. One thing that should be kept in mind while choosing a pricing model is that most of these models require the buyer to pay extra for any feature add-on, upgrade and update.

Featured Image from Free stock photos from in Pixabay