Cath Ellis Learning Design Logo

How to Survive the LMS Buying Nightmare

An LMS is a massive investment—don’t get stuck with a lemon. Learn why you must shop around, demand extended trials, and avoid the “contract trap” before signing on the dotted line.

Reading Time: mins

An older man in a suit and glasses smiles while shaking hands with another person across a desk with a laptop and papers, sealing an lms buying deal.

It is a story I see play out with heartbreaking frequency.

A business realises it needs a Learning Management System (LMS). They get dazzled by a slick sales presentation, seduced by buzzwords like “AI-driven ecosystem,” and pressured by an “end of quarter” discount.

They sign the contract.

Six months later, they are stuck. The system is too complex for their needs, the “hidden” implementation costs have ballooned, and their staff hates logging in. But they can’t leave, because they are locked into a 12-month agreement with a vendor who has stopped returning their calls.

An LMS is one of the most expensive and critical infrastructure decisions your L&D team will make. You cannot afford to get it wrong.

Here is how to navigate the minefield without getting trapped.

1. The Market is a Jungle (Shop Around)

There are literally hundreds of LMS platforms on the market. From massive enterprise ships to agile, cloud-based speedboats.

Do not just buy the first one you see on Google. Do not just buy the one your competitor uses.

  • Define your “Must-Haves”: Do you need to sell courses or just train staff? Do you need strict compliance reporting or social learning?
  • Cast a Wide Net: Compare at least 3-5 different vendors. The difference in pricing and usability between them can be staggering.

2. The “Sandbox” Rule: Demand a Demo

Never, ever buy software based on a slide deck.

A sales demo is a choreographed performance. The sales rep knows exactly where to click to make it look smooth. They won’t show you the clunky back-end or the glitchy reporting tab.

You must get your hands dirty.

  • Request a Trial: Most reputable vendors offer a 14-day or 30-day free trial.
  • The “Extension” Hack: If 14 days isn’t enough to test your specific use case, ask for longer. Tell them: “I need another week to test our SCORM files.” If they want your business, they will say yes. If they say no, walk away.

3. Transparent vs. opaque Pricing

Be wary of the “Call for Quote” button. This often means the price is high, variable, and negotiable depending on how much budget they think you have.

Look for transparency.

  • Example: Take a platform like TalentLMS. You can go to their site right now, see the exact pricing tiers, and sign up for a free account instantly to test it. There are no gatekeepers.
  • Example: For course creators, platforms like Kajabi offer similar transparency.

This doesn’t mean these are the only good systems, but they represent the standard of transparency you should look for. You should know exactly what your monthly bill will be before you sign.

4. Beware the “Contract Trap”

The most dangerous part of the LMS nightmare is the lock-in. Many vendors will push for annual contracts paid upfront. If the system turns out to be a lemon, that money is gone.

  • Start Monthly: If possible, negotiate a month-to-month rolling contract for the first quarter.
  • Read the Exit Clause: How do you get your data out if you leave? Do you own your learner history?

The Bottom Line

Your LMS should serve your business, not the other way around.

If you are feeling overwhelmed by the features, the sales tactics, and the pricing models, pause. Do not sign anything out of panic or pressure.

It is better to delay your launch by two weeks than to spend two years wrestling with a system that doesn’t fit.

The LMS market is flooded. If you don’t know the difference between a SCORM wrapper and an LXP, don’t guess. Book a coaching session with me, and let’s find the system that matches your needs and your budget.

Trusted by global brands, government agencies, and industry leaders:

Ready to create something exceptional?

I accept a limited number of projects to ensure every client gets my full attention. Let’s chat about what you need.
Cath Ellis Learning Design Logo
I acknowledge the Wurundjeri People of the Kulin Nation as the Traditional Custodians of the Country on which I live and work.
I honour their enduring connection to land, waters, skies, and community, and pay my deepest respects to Elders past and present, and extend that respect to emerging leaders.
I recognise that sovereignty was never ceded. This always was, and always will be, Aboriginal land.

About Cath Ellis

Cath Ellis is an eLearning Designer and Developer based out of Melbourne, crafting engaging and effective learning experiences.
ABN: 32 316 313 079
A Queer-Owned Business

Contact Info

Join My FREE Community

Sign up for my community to enjoy free eLearning tips, inspiration, and more.
©
2026
Cath Ellis
Made with
in Melbourne