Named and concurred licenses: what to choose?

Chat2Desk offers two ways to pay for the number of operators. They are called named and concurrent license. In this article we’ll reveal how they differ and when you need them.

Content

1. Why do you need licenses?
2. What do licenses provide?
3. Difference between named and concurrent liсenses
4. Economic benefit to the company
5. Summary

Why do you need licenses?

The price of the SaaS-service partially depends on the number of users. Usually the more employees you have, the more you have to pay. There are two types of licenses: by the general number of employees or by the number of employees who work simultaneously. 

What do licenses provide?

1. Statistics. You can collect information for each operator: workload, response rate, average score. All the data is contained in aggregated statistics.

2. Security. Each operator has its own password, which is changed periodically and is not transmitted. 

3. Logging. Every action of the operator in the chat is marked by the system. So you can control who logged into the system and at what time.

Depending on the number of people working at the moment, licenses can be named and concurrent. And each company benefits from a different approach.

Differences between named and concurrent licenses 

1. Named

This is a usual case for software vendors. Access to the program is provided to an employee, not to a computer or a workplace. For example, the staff has 30 employees and they all communicate with customers at the same time. So the company purchases 30 licenses, one for each operator. All you need to do is log in with your username and password at any time.

2. Concurrent

It comes from CRM systems, for which it's a way to save money. Licenses are provided to computers or workstations. These licenses allow operators to work one by one. For example, a company has 30 employees, who work in shifts. Five people communicate with clients at the same time. It makes no sense to buy licenses for all operators, so the company purchases only 5 licenses.

This approach is convenient if the software is little used and most of the work is done in other services. 

The economic benefit to the company

Example 1: when named licenses are profitable

The company "Dandelion" has 10 sales managers. All of them work full-time, which means that all the 10 employees must be at work at the same time. 

Named license

$10*10 licenses per month = $100/mo.

 

Concurrent licence

$35*10 licenses per month = $350/mo.

 

In the case where the majority of employees always work in parallel, it is more profitable to buy registered licenses. The difference in the example is $150 per month. 

Example 2: when concurrent licenses are profitable

The company "Tulip" employs 20 sales managers, 3 people per shift during the day, 2 people at night. In total, no more than 3 employees are at work at the same time.

 

Named license

$10*20 licenses per month = $200/mo. 

 

Concurrent license 

$35*5 licenses = $165/mo.

 

It turns out that concurrent licenses are $35 per month is more profitable than the named license. 

 

Summary

Licensing operators

 

	Personal license	Concurrent license
License price	1-10 licenses: $10/mo for 1 license   11+ licences: $9.5/mo for each next license	1-10 licenses: $35/mo for 1 license   11+ licenses: $25/mo for each next license
Accounts	Accounts are created for each user	Accounts are created for each user
Login to the system	All staff members with a named license	Only the number of operators for which you have paid
Suitable for	Companies of any size where all operators use the system at the same time	Large companies where the total number of employees is several times greater than the number of those who work simultaneously

 

Now you know the difference between two types of licenses in Chat2Desk. You can calculate them on our site on the Pricing page. If you still have questions about the types of licenses, then write to us through the widget on the site.