As our customers already know, Engine Yard introduced a new pricing model as of September 1, 2014 called “Transparent Value Pricing.” We’ve sent several communications to our customers to help explain this new pricing model and I want to take this opportunity to add a few points on why we have made this change.
Over the past few years, we have received a lot of feedback from our customers that the conventional way our industry prices its services—calculating PaaS costs as a percentage markup on IaaS costs and bundling them together in one price—was not working well for them or for us. We recognized that the value Engine Yard delivers depends a lot more on the software, services and support of our people than how much RAM is used each month.
As a result, we have taken the logical step of separating the price for Engine Yard value added services from the infrastructure instance price. Customers now see their PaaS and IaaS prices broken out on their bill from us each month. This approach solves a couple of issues:
First, as customers grow and move to larger infrastructure instances with Engine Yard they won’t be penalized by bundled “markup” pricing that makes them pay proportionately more for platform services. Customers will find it a lot more affordable to grow with us, deploying larger instances and newer technologies as needed.
Second, if an infrastructure supplier such as AWS changes its prices, customers of other PaaS providers who bundle their prices will not have visibility into the change in their IaaS price in comparison to a direct market price. Through Engine Yard, customers have full transparency of their IaaS and PaaS pricing.
You can visit www.engineyard.com/pricing to learn more about our Transparent Value Pricing.
Bottom line: With Engine Yard Transparent Value Pricing customers get the only sustainable pricing model that makes sense as they grow. Plus, as a major PaaS provider, we use our purchasing power to provide pricing advantages to our customers that they can’t get through direct market pricing.
At Engine Yard, we’ve built our business on delivering optimal performance, expert support, reliable security and high availability for our customers’ apps. Transparent Value Pricing is simply a better way to sustain the growth and success of our customers and our industry.