news New payment system and new prices 2013-01-31

The Navigraph Credit system used for micro payments of charts and FMS Data is now discontinued. A new payment system based on credit card and PayPal transactions replaces the old credit system. In conjunction with the change of payment systems, prices for Navigraph products and services will also be revised. The introduction of the new system will be gradual. No new credits are sold, and when users reach a zero credit balance, the new payment system is activated. While the user still has a credit balance, Navigraph products and services are priced according to the previous price list. When a zero credit balance is reached, the new price list will be taken into effect. (FMS Data pricing, Charts pricing)

In the new system the user requests products and services by creating a download queue. The queue results in a Pending Payment which is settled directly with a credit card or a PayPal transaction. However, the new system also offers the possibility to connect a credit card or a PayPal account to the Navigraph account so that payments are automatically processed without the need for queuing or manual payment.

The decision to phase out the old credit system was taken because prices could not be flexibly adjusted. Nor could prices be changed with small enough increments. E.g. as a user purchases 100 credits for EUR 10.00 to be spent during the coming 270 days, one can expect to exchange the credits for 50 airports of two credits each during the period over which the credits are valid. If the price of an airport were changed during the 270 days it would effectively change the exchange rate between EUR and credits of a transaction which was already made. As users continuously purchase credits, the only option was to give notice of price adjustments 270 days in advance. Furthermore, as credits were handled as integers, the smallest adjustment of a two credit airport would be a 50% price increase.

These were the two major reasons for phasing out the credit system. Furthermore, the main purpose of the old credit system was to manage many small payments. Some dataa was so cheap that certain payment gateways would not permit amounts that small (or charge an overhead larger than the amount itself). Therefore the transactions had to be accumulated. The old credit system was designed to distribute the risk for the accumulated payments on the individual users by the use of pre-purchased credits. Or more simply put, Navigraph asked its users to pay up front. With the new system of connecting accounts, the risk is shifted from users to Navigraph by charging periodically after the time of consumption instead of at each transaction. This setup was not possible a few years ago since it was deemed that the users' trust in the security of a connected account setup was not sufficiently strong at the time. Today this setup has become more common, mainly within the entertainment industry, and therefore it is assumed that the acceptance among Navigraph users is sufficiently high to attempt a linked account setup.

To seamlessly phase from the old credit system to the new system with connected accounts and manual payments Navigraph will apply the following policy:

 

  1. We will stop selling credits with immediate effect upon launch of the new website and its new payment system, expected end January 2013.
  2. The credits can be used to pay for services for a period of 270 days after the launch of the new website which constitute a normal credit expiry period.
  3. Effective from the launch of the new website, credits expiry period cannot be prolonged since new credits can no longer be purchased. Instead, credits will not expire during the 270 day period following the website launch. The website will offer a function to convert the credits to a Navigraph issued coupon with a monetary value corresponding to the purchase value of the remaining credits. The user can choose to use the credits during the 270 days and select data from a price list based on credits, or convert the credits to a coupon and choose from a price list based on Euros. (Conversion back from Euro to credits is not supported.) At the end of the 270 days, any remaining credits will automatically be converted to coupons which are emailed to the respective user. Coupons are valid six months from the date of issue.
  4. The prices of Navigraph services will remain unchanged for credit users during the 270 days. Users who have spent all their credits, or who have converted credits into a coupon, or new users, will be offered data according to a new price list based on Euros.
  5. The website and download clients will display prices in credits for as long as the account has a positive credit balance and then automatically switch to monetary prices.
  6. The Payment History will fill the function of the previous Credit Log, but will display the previous credit payments with a leading "Legacy".