I have grappled with this myself and haven't gotten too far: I have a QRS PNOscan II laser key reading bar, which I believe should have variable note-off capability, but I've not figured out how to set it to do such.
Variable Note-off is of greatest effect with soft slow pieces, where slow re-engagement of the damper can produce 'rounded ends' to each note. It adds a subtlety which again differentiates such an equipped keyboard and VST from most others, making them sound more 'real', and adding variation to the character of each note. In speedy loud pieces, however, variable note-off would be unnoticed, I believe.
Even better would be tying the return of the damper to the strings with each key connected to Aftertouch, which would allow you to re-engage the dampers as fast or slow as you want for each and every key, essentially recreating the technique of "key-pedalling" for each note, rather than using your foot on the sustain pedal.
Comparing MIDI functions to real instruments becomes the difficult: For each keypress, MIDI sends a "Note on" command, initiating the sound process. The key velocity during Note-on is detected, and used to modify the resultant sound. The return of the key to the upright position then initiates Note "Off", which returns the dampers to the strings and brings about the end of the note. The velocity of the key as it passes through the note-off detector sets the shapes of the end of the note by electronically setting the rate of damper reengagement. If Note-Off is not variable, then the VST designer chooses a re-engagement rate for the dampers, and each note is muffled at the same rate.
Even better would be to mate the Aftertouch function to the dampers on a VST piano, rather than to the tone itself, as is commonly done with Aftertouch in synthesizers, etc. This is because in a real piano, once the hammer is 'thrown' by the action, there is nothing else that the piano player can do to change hammerstrike. But, if aftertouch is linked to damper position, in essentially the same way that the sustain pedal functions, then you can have variable damping of the played tone, and even some off-and-on damping as the note rings out, if you raise and lower the key subtly as the note resonates. This would mimic what happens in a real piano, as each keypress serves not only to throw the hammer for hammerstrike, but also to control the damper as if you have 88 separate sustain pedals, one for each note.
- David