CodeMeter levels up software distribution

The Challenge

Deceptive simplicity or maddening complexity, fairness and trust in the user or an open invitation to pirates: Software distribution is fraught with complexities and contradictions. The seemingly straightforward task of offering both a free demo and a secure premium version of a software can become a headache for every party involved. ISVs want to avoid the hassle of distributing two distinct sets of their products, complicating their logistics and forcing their users to juggle separate versions of the same software. The solution is evident: Free demos should come with the full feature set preinstalled, but restricted until the user activates them with the right license. But what seems clear-cut on the surface is a major undertaking on the technical and commercial side: It needs a robust licensing system, protected from increasingly sophisticated software pirates, and full integration with CRM and ERP processes.

The Solution

To master this balancing act between a software buying experience that does not create undue complexities for the user and a distribution system that gives the developers their fair claim to a strong and secure revenue stream, clients turn to Wibu-Systems, whose flagship technology CodeMeter could be used to create a new sales process. The user registers for the free demo or the premium version; a ticket is needed to activate the premium features. During registration, a fingerprint of the user’s computer is created and sent back to the back-office system, which returns a secure license if the user’s ticket is all present and correct. All of this happens in the background, with nothing but the regular registration dialog for the user to complete.

The Results

A dedicated registration module in Wibu-Systems’ CodeMeter License Central interfaces directly with the ISV’s CRM system. Offline registrations are also possible by later syncing via WebDepot, which works seamlessly with the CodeMeter License Central solution. All transactions are fully encrypted to keep the flow of sensitive data between buyer and seller secure from prying eyes and even from Wibu-Systems, the vendor providing this secure channel. The chosen setup ensures that the customer data is properly aligned between the users in the field and the ISV’s internal databases. It represents a genuine win-win solution: For users, there is no difference in effort between using the free demo or activating the premium version, making it easier for an already loyal base of demo users to make the switch. For the ISV, the system offers full control over the exact volume of distributed licenses.

Breakthrough

With Wibu-Systems’ attractive and technologically convincing solution, clients manage to increase the number of premium users tenfold within a single calendar year.

Flexible, Fully Integrated, and Unfailingly Discreet

Ease of use for the buyer should not be the only consideration when ISVs start thinking about how they will sell and distribute their products. The chosen solutions need to respect their own technological and commercial needs. A free demo version might have won them a loyal fan base; they do not want to put off potential switchers to the premium software with a buying or licensing process that is too complicated or betrays a lack of trust in the legitimate user. The solution should also work seamlessly with the CRM systems already installed and not need too many unwieldy interfaces on top to handle the flow of customer data, the sales process, distribution, registration, or licensing. Finally, the solution needs to be flexible and pliant enough to master any scenario it might encounter in the real world: Users that want to buy the premium version outright or those that have already been using the demo for a while, and registration working online or in settings where the user might not have access to an Internet connection.

Wibu-Systems’ CodeMeter License Central masters any and all of these challenges. With the design of a special registration module that springs into action after the user installs the software, a dialog box prompts the user to register, irrespective of whether he is going for the demo or the full version. Along with the registration, the SmartBind technology creates a fingerprint of the user’s system that reliably identifies the computer on which the software is running, with a degree of leeway in terms of changes to that system that the ISV can predetermine. The registration data and the fingerprint are encrypted before being sent back to the ISV, where either a demo license is created for the demo version or a premium license is released if the user has bought a ticket for the full software. If the registration is handled over the Internet, all of this happens on the fly and in the background for the user. Registering software offline used to be excessively complex, usually working by having the user handle separate physical sets of software. With Wibu-Systems’ solution, this has all been streamlined, with only a single additional step required: The offline user registers as usual, and the software automatically creates an xml file with the data usually transmitted online. With WebDepot, the user simply needs to bring this file to a connected PC to upload the registration file and receive his license in return. As the communication process is designed to be secure from the outset with encrypted files moving between systems, this offline process is a viable option even for scenarios in which the user’s computer is not cut off from the internet for a simple lack of connectivity, but for security reasons.

The versatility of Wibu-Systems allows custom-made software registration systems that are built on the tried-and-true foundations of CodeMeter License Central, but fully tailored to the established technologies and the corporate design of the ISV. The ISV has full control over the software in the field and full access to invaluable customer data for developing his business further. The established SAP back office systems can stay in place for selling the premium software, as the tickets the users need to get their licenses can be distributed directly from within SAP. And on the users’ side, a simple registration dialog in the client’s corporate design means that nothing suggests the presence of the sophisticated licensing solution acting as the middle man: Everything just works – smooth, seamless, and discreet.