Gov/en/Portal:R&D/Innovations:Subscription: Difference between revisions
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Terminology: Rewards -> Subscription Tokens |
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{{KidsIntro|A subscription means paying a small amount every month to use the platform, instead of a big fee each time, like a monthly pass. The price only covers what the platform really costs: nobody makes a profit.}} | {{KidsIntro|A subscription means paying a small amount every month to use the platform, instead of a big fee each time, like a monthly pass. The price only covers what the platform really costs: nobody makes a profit.}} | ||
{{ExpertIntro|Initial hypothesis for WikiDeal's revenue engine: a CHF 1/month subscription billed at transaction time, intended to run the platform at real cost with no third-party profit. Subscribers would also be members with voting rights and a path to co-ownership. Revenue would first cover | {{ExpertIntro|Initial hypothesis for WikiDeal's revenue engine: a CHF 1/month subscription billed at transaction time, intended to run the platform at real cost with no third-party profit. Subscribers would also be members with voting rights and a path to co-ownership. Revenue would first cover Subscription Tokens, operating costs and open-call awards. Subscriptions could also be offered.}} | ||
{{ArticleSummary| | |||
* [[#governance-costs|Governance costs, no profit]] | * [[#governance-costs|Governance costs, no profit]] | ||
* [[#at-a-glance|Subscription model at a glance]] | * [[#at-a-glance|Subscription model at a glance]] | ||
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* [[#see-also|See also]] | * [[#see-also|See also]] | ||
* [[#state-of-the-art|State of the art]] | * [[#state-of-the-art|State of the art]] | ||
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__NOTOC__ | __NOTOC__ | ||
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The WikiDeal Subscription Model is intended to be the revenue engine that would make the entire system sustainable, and the source of funds that would ultimately pay back Early Supporters through [[Gov/en/Portal:Economy/ | The WikiDeal Subscription Model is intended to be the revenue engine that would make the entire system sustainable, and the source of funds that would ultimately pay back Early Supporters through [[Gov/en/Portal:Economy/Subscription Tokens|Subscription Tokens]]. At CHF 1/month, it is designed for global accessibility: approximately equivalent to 1 EUR and 1 USD (not an exact equivalence), making it one of the most affordable community schemes in the digital economy. | ||
CHF 1/month is not intended as a price for a service: it would work as a subscription to a community-governed commons. Every franc is intended to go back to the community. | CHF 1/month is not intended as a price for a service: it would work as a subscription to a community-governed commons. Every franc is intended to go back to the community. | ||
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* '''Monthly:''' CHF 1.00 per month | * '''Monthly:''' CHF 1.00 per month | ||
* '''Annual:''' CHF 10.00 per year. Written in black and white: the annual rate covers 12 months at a reduced price. Paying a year in advance costs CHF 10 instead of the CHF 12 that 12 monthly payments of CHF 1 would total, a discount of CHF 2 (about 17%) for early annual payment. In practice, many scenarios could coexist: some users would cancel or suspend their subscription, some would add donations on top, some would obtain months of subscription in exchange for Karma tokens earned through contributions, and advantages for contributions are being considered. On average, the working assumption is therefore CHF 10 per user per year. New users would be encouraged from the start to take the annual subscription; the monthly option at CHF 1 is intended for cautious people who prefer to start small. | * '''Annual:''' CHF 10.00 per year. Written in black and white: the annual rate covers 12 months at a reduced price. Paying a year in advance costs CHF 10 instead of the CHF 12 that 12 monthly payments of CHF 1 would total, a discount of CHF 2 (about 17%) for early annual payment. In practice, many scenarios could coexist: some users would cancel or suspend their subscription, some would add donations on top, some would obtain months of subscription in exchange for Karma tokens earned through contributions, and advantages for contributions are being considered. On average, the working assumption is therefore CHF 10 per user per year. New users would be encouraged from the start to take the annual subscription; the monthly option at CHF 1 is intended for cautious people who prefer to start small. | ||
* '''Annual value increase:''' a possible annual increase of the subscription amount, of up to 5% per year, is under discussion as an initial working hypothesis through a draft [[Gov/en/Portal:R&D/Open-Calls:Progressive-Subscription-Increase|Open Call]] (not yet launched); no percentage is decided. A related but distinct question, a possible annual percentage increase on | * '''Annual value increase:''' a possible annual increase of the subscription amount, of up to 5% per year, is under discussion as an initial working hypothesis through a draft [[Gov/en/Portal:R&D/Open-Calls:Progressive-Subscription-Increase|Open Call]] (not yet launched); no percentage is decided. A related but distinct question, a possible annual percentage increase on subscription tokens, is under study at [[Gov/en/Portal:R&D/Innovations:Annual Value Increase|Annual Value Increase]]. | ||
=== Why CHF 1/month? === | === Why CHF 1/month? === | ||
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At the beginning, during the startup phase, subscription revenue is intended to cover three things: | At the beginning, during the startup phase, subscription revenue is intended to cover three things: | ||
# ''' | # '''Subscription Tokens for the Early Supporters''' who believed in the project by supporting it at its riskiest stage. These [[Gov/en/Portal:Economy/Subscription Tokens|Subscription Tokens]] are tied to the deliverables of the first funding round: see [[Gov/en/Portal:Meta/Prototype-1-Deliverables|Prototype 1 Deliverables]]. | ||
# '''Operating costs:''' servers, the coordination team and the committee. | # '''Operating costs:''' servers, the coordination team and the committee. | ||
# '''Awards (prizes) for the [[Gov/en/Portal:R&D/Open-Calls:Main|Open Calls]].''' A note on terminology: on WikiDeal, " | # '''Awards (prizes) for the [[Gov/en/Portal:R&D/Open-Calls:Main|Open Calls]].''' A note on terminology: on WikiDeal, "subscription tokens" designates the compensation of supporters under the funding model, while "awards" designates the prizes of the Open Calls. The two words are deliberately kept distinct. | ||
<span id="startup-transition"></span> | <span id="startup-transition"></span> | ||
=== A startup model, not the definitive model === | === A startup model, not the definitive model === | ||
Within Prototype 1, in order to give a starting impulse, the [[Gov/en/Portal:Economy/Bonding-Curve|bonding curve]] is used and a share of the revenue would return to the Early Supporters as | Within Prototype 1, in order to give a starting impulse, the [[Gov/en/Portal:Economy/Bonding-Curve|bonding curve]] is used and a share of the revenue would return to the Early Supporters as Subscription Tokens. This subscription tokens model, tied to the initial support, is not intended to be the definitive model: it is a startup and incubation model. Progressively, there would be no new supporters of this type, only subscriptions, and subscription revenue would then serve exclusively the operating and development costs of the platform. | ||
Beyond this, many complementary mechanisms are being considered and are intended to be added over time: compensations, incentives, non-discrimination safeguards, positive discrimination programmes, support for community programmes, and more. | Beyond this, many complementary mechanisms are being considered and are intended to be added over time: compensations, incentives, non-discrimination safeguards, positive discrimination programmes, support for community programmes, and more. | ||
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== Subscription revenue and supporters == | == Subscription revenue and supporters == | ||
The subscription model is intended to be the direct source of the revenue that would pay back Early Supporters. When you support WikiDeal today, the underlying hypothesis is that subscription revenue would grow to the point where your [[Gov/en/Portal:Economy/ | The subscription model is intended to be the direct source of the revenue that would pay back Early Supporters. When you support WikiDeal today, the underlying hypothesis is that subscription revenue would grow to the point where your [[Gov/en/Portal:Economy/Subscription Tokens|Subscription Tokens]] could be converted to CHF. The subscription model is therefore not just a pricing decision: it is the financial mechanism intended to make the entire Subscription Tokens system work. | ||
ℹ️ The subscription model is separate from the Funding Contract. The Funding Contract would govern support contributions and | ℹ️ The subscription model is separate from the Funding Contract. The Funding Contract would govern support contributions and Subscription Token allocation. The subscription model would govern ongoing usage fees. These are two distinct financial flows. | ||
<span id="naming"></span> | <span id="naming"></span> | ||
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* On recurring-revenue models in general: [https://en.wikipedia.org/wiki/Subscription_business_model subscription business model on Wikipedia]. | * On recurring-revenue models in general: [https://en.wikipedia.org/wiki/Subscription_business_model subscription business model on Wikipedia]. | ||
'''See also:''' [[Gov/en/Portal:R&D/Innovations:Subscription-or-Membership|Subscription or Membership]] · [[Gov/en/Portal:Economy/ | '''See also:''' [[Gov/en/Portal:R&D/Innovations:Subscription-or-Membership|Subscription or Membership]] · [[Gov/en/Portal:Economy/Subscription Tokens|Subscription Tokens]] · [[Gov/en/Portal:Economy/Main|Why Fund WikiDeal]] · Fund WikiDeal · Funding Contract · [[Gov/en/Portal:R&D/Innovations:Need-Driven Funding|Need-Driven Funding]] | ||
💡 '''Improve this concept:''' submit a proposal via [[Gov/en/Portal:R&D/Open-Calls:Main|Open Call]] | 💡 '''Improve this concept:''' submit a proposal via [[Gov/en/Portal:R&D/Open-Calls:Main|Open Call]] | ||
[[Category:Innovation]] | [[Category:Innovation]] | ||
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