Tom Tunguz

AUGUST 28, 2021

Should you price your SaaS per seat or per use? The first thing to state is that massive companies have been built using both pricing structures: Salesforce and Adobe bill per seat while Snowflake and Twilio charge per use. When to use per seat pricing. Would they switch if the pricing weren’t predictable?

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Pricing Strategy Startup Scale 251

FastSpring

APRIL 18, 2024

These include how to account for local pricing and preferred local payment methods, varied buyer behaviors, how to display checkouts with local languages, and much more — all of which can be different for every country you want to sell into. In this article, we focus specifically on price localization: What price localization is.

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Payment Methods Payments SaaS Payments Merchant Services 78

FastSpring

MARCH 9, 2022

Answer: It’s the pricing page. The path to a signup or purchase may include a variety of page views, but it almost always includes the pricing page. In this article, we’ll show you examples from a variety of SaaS pricing pages. 7 SaaS pricing page examples. No credit card required — a strategy to increase sign-ups.

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SaaS Payments Pricing Payments Payment Methods 129

Chargify

DECEMBER 7, 2021

An exceptional enterprise subscription pricing strategy separates the winners from the losers in B2B SaaS. While giving your product away for free, pricing it low, The post Enterprise Subscription Pricing Strategies Explained appeared first on Chargify.

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Pricing Enterprise Subscription Payment Features 88

Buffer Resources

FEBRUARY 28, 2024

And you don’t get “business” status without understanding pricing. So, together with creator sponsorships expert Justin Moore , who helps creators negotiate partnerships through Creator Wizard , we put together this resource on how to figure out your pricing as a creator.

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Tom Tunguz

JULY 10, 2022

But, as Lee Kirkpatrick, former Twilio CFO, shared during Office Hours , Twilio employed this strategy to achieve top quartile NDR while achieving strong ARR predictability with a usage-based pricing model. A key part of the formula: crafting the right account executive compensation structure to reward this strategy.

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SaaStr

JUNE 2, 2021

What are strategies to justify a higher valuation for my company in an acquisition? The easiest “strategies” to get a higher price in an acquisition — which admittedly are very hard to deploy quickly : Raise a venture round at a high price. They can just pass because it looks too complicated to get to an acceptable price.

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FastSpring

APRIL 11, 2022

That’s not what we found when we studied the pricing plans of 50 best-in-class SaaS companies for our 2022 pricing pages report. We studied the pricing pages of 50 companies that were among the top-rated in their market on G2 and found the number of monthly or annual plans offered varied from zero plans to 23.

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SaaS Payments Pricing Strategy Scale 121

Baremetrics

SEPTEMBER 26, 2021

Gone are the days where you can throw a dart to pick your starting price and work towards the correct one (okay, maybe this was never the case). While price analysis and price experimentation are the basis of price optimization , you need to start with a sound pricing strategy. What is a pricing strategy?

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Pricing Strategy SaaS Leadership 92

User Pilot

SEPTEMBER 20, 2023

Optional product pricing can help SaaS companies earn more money while charging less for their otherwise premium product. TL;DR Optional product pricing is a strategy where you sell your core product at a low cost and then encourage consumers to buy more accessories, features, or complementary products.

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Pricing Customer Lifetime Value Advertising Strategy 105

Stax

JANUARY 24, 2024

The phrase “dynamic pricing” often sparks heated debates in eCommerce and retail, and it’s not hard to see why. If you’ve ever booked a hotel, ordered an Uber, or shopped on Amazon, you’ve experienced the effects of dynamic pricing in real-time. Prices may shift down or up at a moment’s notice.

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Payment Methods Pricing Airlines Payment Solutions 88

Chargify

OCTOBER 19, 2021

SaaS companies live or die by their pricing strategies. Learn how to leverage your SaaS pricing strategy for success. The post Priced to Win: The Recipe for Successful SaaS Pricing Strategies appeared first on Chargify. No pressure, right?

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Pricing Strategy SaaS Revenue 74

User Pilot

JANUARY 18, 2024

A pricing survey is the most surefire way to figure out an acceptable price range that maximizes profit without being prohibitively expensive — made possible through the power of user feedback. This guide will help you get to that optimal price point by conducting pricing surveys! What is a pricing survey?

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Pricing Scale Market Segmentation Scaling 105

SaaStr

APRIL 30, 2022

We look at annual churn, given the nature of those businesses that have annual or multi annual contracts with much bigger price items and tickets. I believe pricing is not enough … There’s not enough investment from companies going into pricing and thinking about pricing. Pricing is so sticky inside companies.

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SaaS Payments Metrics Payment Methods Scale 222

Tom Tunguz

MARCH 16, 2022

Is charging by consumption (usage-based pricing) a superior model for a business? Often, the effort probably isn’t worth it, unless the company’s stated strategy is to differentiate on price structure. What should my unit of pricing be? The unit of pricing is the crux to unlocking that puzzle.

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Pricing Scale Banking Startup 244

CloseSaaS

AUGUST 30, 2022

Pricing strategies range from competitive pricing, psychological strategies, value-based pricing, and more. Learn proven pricing strategies + examples.

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Pricing Strategy Startup Sales 52

Andreessen Horowitz

MARCH 22, 2024

We’re in the very early days of genAI and until adoption curves and costs stabilize, there won’t be any tried-and-true pricing or packaging frameworks. We’ve also seen some companies use their genAI feature as an upsell lever to increase conversion to a higher pricing tier or cover part of the cost of serving genAI.

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SaaStr

MARCH 29, 2024

The post Can You Still Get Acquired for a Decent Price if Growth Has Slowed or Even Stopped? But even if you’re out of ideas for now, don’t give up all hope of a potentially decent M&A offer, especially if you are cash-flow neutral and haven’t raised too much (that’s important).

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Pricing Scale Startup Acquisition 218

Andreessen Horowitz

FEBRUARY 1, 2023

We’ve previously discussed some common issues around pricing and tips for bottom up pricing and packaging , but growth-stage companies often encounter less obvious problems when structuring product packages and pricing models as they scale.

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SaaS Metrics

AUGUST 9, 2023

That’s the impact of SaaS pricing. But crafting a tailored pricing strategy doesn’t need to be complex. Read more The post SaaS Monetization Strategies: Pricing Models, Subscription Plans, and Usage-Based Billing first appeared on SaaS Metrics. This article will.

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Pricing Subscription Payment Features Strategy 52

User Pilot

SEPTEMBER 20, 2023

Working out pricing for a SaaS can be difficult, so consider using a cost-plus pricing method. TL;DR Cost-plus pricing, or markup pricing, is where you add a set to a product’s unit cost, often overlooking competitive market prices. Justifying price increases is easier when adopting a cost plus strategy.

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Pricing Software Review Market Research Acquisition 105

User Pilot

OCTOBER 24, 2023

From the messaging, positioning, and pricing models, every little detail needs to be perfect for product-led growth to take off. TL;DR Usage-based pricing is a consumption-based pricing model that charges customers based on how much they use a product (instead of at a flat monthly rate). What is usage-based pricing?

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Pricing Payment Solutions SaaS Payments Payments 105

Tom Tunguz

APRIL 21, 2016

Is there any word that confers some whisper of dark arts than pricing? Or any question that instills less confidence than, “How did you derive your pricing strategy?” ” Many times, startups replicate and tune competitors’ pricing strategies. Madhavan Ramanujam is a pricing expert.

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Zuora

OCTOBER 29, 2020

The post BCG’s John Pineda on Subscription Pricing Strategies appeared first on Zuora. Select Excerpts from Subscribed Podcast John Pineda is Partner-Director at the Boston Consulting Group. He’s a core member of BCG’s […].

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Subscription Payment Features Pricing Strategy 105

Baremetrics

JANUARY 18, 2022

Competitive pricing is key to succeeding in a global market. There are now an estimated 213 million registered companies globally, each competing with one another on the basis of service, customer care, and pricing. Price is one of the largest determining factors for consumers in terms of which products and services they buy.

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Payment Methods Pricing Payment Services Strategy 98

FastSpring

OCTOBER 10, 2022

In September, Slack rolled out its first pricing change since the company launched in 2014. Slack announced its pricing change in a blog post in July, and pricing changes took effect in September. In this piece, we break down some of the strategies Slack employed to successfully roll out its new pricing.

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Zuora

SEPTEMBER 11, 2020

Pricing ambiguity is inherent to the subscription model. The post B2B Pricing Strategies from the Subscribed Institute appeared first on Zuora. This can be either empowering or paralyzing. There’s a lot of pressure […].

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SaaStr

DECEMBER 21, 2020

Do we see the classic ‘decoy effect’ — vs. just highlighting the most popular version — on SaaS pricing pages? The classic decoy effect is the Medium tub of popcorn, priced just below the Large to make the Large seem cheap: What do we see in SaaS? Boy, the Dropbox pricing page has changed a lot. Let’s look at Dropbox.

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Pricing Scale SMB SaaS 248

ProfitWell

AUGUST 6, 2020

Today on Recur Now, we’re taking the value metric one step further by talking about the best pricing strategy for SaaS: value-based pricing. Listen wherever you get podcasts: Bananas for value-based pricing. If you’re going to use a value metric, you might as well use a value-based pricing strategy.

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Pricing Strategy Technical Review B2B 87

Blulogix

NOVEMBER 8, 2023

How Your Usage-Based Pricing Strategy Can Help You Stay Competitive in the Crowded Market By BluLogix Team In today’s fast-paced business landscape, staying competitive is more challenging than ever. One powerful tool in your arsenal is a well-crafted usage-based pricing strategy. Usage-based pricing caters to both.

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Pricing Strategy Scale Marketing 52

Baremetrics

JULY 28, 2019

Pricing can be one of the most overwhelming and puzzling parts of business. SaaS businesses, in particular, have a unique challenge with pricing for a few reasons: There’s an almost infinite number of different ways to price a SaaS product. Pricing Strategies: The way your pricing model is presented and marketed.

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Pricing Strategy SaaS Scale 101

FastSpring

AUGUST 19, 2022

According to an OpenView survey, by 2023, 56% of SaaS companies will be using or expecting to test usage-based pricing, which they define as “a pricing model that enables customers to pay for a product according to how much they use it.”. Seat-based pricing (SBP) is a usage-based metric. SaaS pricing is tough to optimize.

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SaaStr

AUGUST 30, 2020

For most of us, as we build up our confidence, the best initial pricing strategy to start is the Low End of Normal. There is no commodity pricing in SaaS. Price at 80% of that, to start. If that looks too low, raise the price a smidge. Other strategies include: Identical Pricing. Yes, pricing matters.

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Pricing Scale Enterprise Branding 251

User Pilot

APRIL 3, 2024

PLG and SLG differ in focus: PLG centers on product appeal for growth, while SLG relies on sales strategies and personal interactions. ” Analyze direct and indirect competitors’ successes and failures, refining your strategy to enhance your product’s market position. Pricing model for Userpilot.

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OpenView Labs

JANUARY 3, 2022

Back in 2015 I published this post “ Your 3 Pricing Strategy Choices: Grow, Skim, or Follow.” In this post, I update the key ideas and introduce a few new ones based on the importance of goal setting and new approaches to pricing and value. Pricing is a critical choice. Pricing strategy selection is a choice.

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SaaStr

JANUARY 5, 2022

The more established your brand, the more complex your pricing page can be. What makes for a good pricing page? A few thoughts at least — mainly about what to copy from the big leaders, and what to maybe not copy from them: The stronger the brand, the more complex the pricing page can be. You aren’t there yet.

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