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PricingSaaS

869 members • Free

5 contributions to PricingSaaS
Pricing for Membership (B2B on-line training)
Hi all. I have a question about "pricing" that is not related to SaaS, but rather to transforming Professional Services into ARR. Two years ago we started an initial experiment: delivering live online training to IT professionals working in SMEs, using a membership-based approach. Our value proposition: - 8 courses scheduled throughout the year - Two yearly membership options for the customer: - 1) Membership for 1 participant: X€ - 2) Membership for up to 3 participants: 1.6 × X€ (It worked. And we were so happy that we (I) made the BIG mistake: not considering at all - for the second year - the physiological Churn Rate..) For next year, we want to apply the same business model to end-user training (Office M365 Apps). OUR PRODUCT: 8 courses scheduled in advance for all of 2026 OUR TARGET: small/micro companies (2 to 10 potential users) OUR COST STRUCTURE: main costs are fixed (trainer, organization), so the number of people per company in each class is not an issue. PRICING IDEA: offer customers a flat yearly price, divided into tiers that help maintain profitability. We are considering pricing per Company, based on the total number of attendees per course. For example: - 1–2 attendees - 2–5 attendees - 5–10 attendees - I would appreciate any suggestion on how to keep the pricing simple and fair for both sides I have already interviewed about 5 customers who are interested in the concept, but I have not shared any pricing with them yet. Do you thing that pricing per tier is the best options or do you think we have to think in a different way? Thanks in advance to all. Claudio
0 likes • 9h
Thank you all! @Michael Narkiewicz and @Rob Litterst we have done some "homework" in the meantime. I will reply soon.
Discussion: Service webinar
Hi guys This is the thread for discussion of the service webinar (done today at Sep 4th). The questions that got cut-off were can you be more specific on the extra costs the business has to incur to provide the premium services? Berk How are services positioned vis-a-vis the wallet structuring concept? Especially if there are different personas/ departments procuring the service components vs the software licenses? Jose You shared usually startups give services for free. But are there services that should NOT be charged for regardless of the level of the maturity/size of the company? Ron Adjusting Sales' comp plans to properly incentify them to sell services is really important - often, that's omitted/neglected Claudio Managed Service (service concepts): an example in your experience? Denys
0 likes • Sep '24
Thanks Ulrik. The "core thing" is what of most of companies proposing Managed Services are missing. What I see is just a lists of feature... and they complain because the customers are not able to understand. It's challenging bring all the team on the same page talking about services... definetly harder then with prodcuts
What community activities/content would you like?
Hi guys What community activities and content would you like (or even participate in)? Stuff I can do: 1) Open Q&A with me (e.g. monthly) 2) Teardowns: send me your pricing case and I'll record as I open it up and provide live feedback. 3) Webinars on topics (like the ones scheduled) 4) ? ... let me know Stuff community members can do (but I can help arrange): 1) Cases: go on a podcast with me and show off your pricing project: objectives, process, new model, outcome, learnings etc. 2) Pools: e.g. 'How often do you change pricing?' 3) Guest speakers: we invite people to come and give an AMA session, present their work, their new book etc. (or that guest speaker is YOU!) 4) Collaborative Document Creation: someone posts a link to a google doc with a 1st draft of a document like: an email to tell customers prices go up / end of life of a product / job posting for a pricing manager / SOP for sales to give discounts / ?? - community can then edit, comment and create a 'final' version (or 7 different versions), which gets put in a common library for all. 5) Experience marketplace: e.g. "I need some coaching on how to get Sales to stop selling bespoke solutions. I can offer tested framework for how to prioritise feature development in collab between Sales and Product" -> people find each other and take it to a private conversation. 6) ??? let me know your ideas Use this thread to discuss, suggest and just to let me know what you'd actually invest time and attention in consuming, participating in etc..
0 likes • Aug '24
Tearsdown is great! For the comminity, 4) and 5) are very nice ideas. As 6)... Similar to 4), a sort of "SaaS gym", submitting cases or new ideas to discuss with the community?
How do we know if the price is too low?🙃
Rhyme not intended:) I was inspired by the "invisible vs visible loss" diagram, but we are talking about convincing a mix of business and engineering mindset people to make a change based on something they cannot see - not exactly a task for the faint hearted. Could anyone share some metrics, logic, or simply symptoms that would indicate that mystical "invisible loss", which logically should exist, actually exists? What are some tests or methods for proving that?
1 like • Aug '24
I agree that if selling is too "easy" (conversion rate but also the time for closing the deal definetly less than on average) probably you're leaving some money on the table. Some times it can be considered an investement for accomplishing the overall strategy. Sometimes (personally speaking) there are some unknown-unknowns behind a too-low price that gut feelings can help to investigate.
SaaS Packaging: Webinar Recording + Slides
Hi guys We hit around 150 people for todays webinar and we already have 55+ members of the community. This is the recording from the webinar Aug 21st 2024 on SaaS Packaging : SaaS Packaging Webinar recording (this is directly to the Riverside platform - if you hit a login-wall let me know and I'll post differently) The slides can be seen here: Webinar Slides
1 like • Aug '24
Thank you very much for sharing!
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Claudio Danelutto
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15points to level up
@claudio-danelutto-3657
Servitization for Business Development

Active 9h ago
Joined Aug 21, 2024
Italy
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