Xero to adopt three-tier price structure

Xero to adopt three-tier price structure

Xero is to make its online accounting application available in three different tiers from October 11.

The offering will be available in small, medium and large versions, as opposed to the current “one size fits all” package, the company says.

The small version will cost NZ$29 a month, the medium version will cost the same as the current $49 version, and the large plan will cost $64, delivering “sophisticated features than only some customers will need, such as multi-currency conversion for exporters and importers”, the company says.

Conversely, the small version is optimised for users who have lower numbers of transactions, such contractors and small property investors.

In a statement by Xero to the NZ Stock Exchange today, Xero CEO Rod Drury is quoted as saying “With recent investment in our hosting capability, we can now deliver Xero at a price point that will make Xero compelling to a further, large segment of the market, many of whom have been doing accounting manually or using spreadsheets”.

The three-tier structure will be made available in Australia, the UK and other overseas markets where Xero has a presence.

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