Picking the right learning management system, LMS, for the training and development of the company is halfway to the success of implementing an effective training program for the organization. With thousands of options available in the LMS market with unique features, choosing the one with an appropriate pricing plan that fits the business need and budget of the organization is not a piece of cake.
The need of the hour is a refined focus on the details of the required features. But in the end, it all comes down to price. Does it suit the budget for training? These are questions that should be answered before the selection process begins. But we need to understand that every advanced feature is not a requirement. Also, selecting the right pricing plan is not the only factor that decides the organization’s actual cost of an LMS.
Any surprising cost revealed after choosing the LMS, apart from the pricing plan, can downplay the reason for choosing an LMS for training and development in the first place.
Explore Litmos pricing plans to choose the industry’s best LMS that suits your training budget.
Considerations for the actual cost of LMS
So here’s a close look at the considerations to precisely handpick the suitable LMS with the right pricing plan and known actual cost.
Training needs analysis (TNA)
Buying an LMS is often driven by the feature list, which is the most expensive part of the entire LMS project. LMS adaptability and usability should be the top priority.
Every LMS has its unique set of capabilities. Many LMS systems are specialized to a specific focus—for example, some are focused on compliance, while others are focused on integrations and media or serving a specific industrial area.
You can use self-hosted, cloud-hosted, or SaaS LMS software. Each choice has benefits, and price plans will vary depending on your hosting.
If your security requirements necessitate total control over your systems, self-hosted platforms provide the most control, but at the cost of additional infrastructure and indirect costs.
If you don’t need a lot of control over your system, outsourced hosting, also known as cloud hosting, involves storing your LMS at a remote data center with its team to handle hardware, maintenance, backup, and security.
The third option is software-as-a-system. SaaS solutions work on a subscription basis, and you may access the LMS by logging into the program online. The disadvantage of a SaaS model is that you often have little control over your system integrations.
Content authoring tools
Many LMSs include content authoring tools. More advanced solutions, including quizzes, surveys, user feedback, and video, are also available if you want streamlined content that will engage your learners more but at a higher subscription cost.
Although many LMS software provides some level of reporting, it is essential to determine if a system delivers enough data and reporting to fulfill your training needs. LMS vendors might offer different reporting systems if required. But it comes with more features and a higher price tag.
Consider your branding and aesthetic requirements when choosing an LMS solution. Some LMSs will let you modify the UI to match your brand, while others may provide a few color options. If you want to trademark your online classes, select a system that allows you to customize colors and themes and integrate your company’s logos and visuals.
User training and customer support are essential factors when acquiring an LMS product. Find out if and how much training for the LMS is offered. Throughout the life of your LMS, ongoing application support is critical. Most support suppliers charge by the hour or include it in the application/hosting price.
Your LMS application will need to be upgraded at some time. Upgrades are essential for keeping software secure and ensuring that users have access to the most up-to-date features. Before you buy, find out if upgrades are done automatically and if there is a fee.
Several factors determine the overall cost of an LMS. Acquiring all pricing information is critical before deciding on an LMS for your company. Because if you do your homework, you’ll feel relieved that you’re receiving an LMS that meets your training and company goals without jeopardizing your finances.