@Farhan Manjiyani Farhan Manjiyani guest-wrote last week's newsletter, and I loved his insights on fair use policies as a way to protect margins while creating a true AI story. The big idea: "unlimited" is dead, hard caps churn customers, and the companies winning right now are landing in the middle with fair use policies. A few examples he shared: 1️⃣ Grafana Cloud Logs lets you query up to 100x your ingested log volume for free. Go beyond that and billing kicks in on a formula. It protects margin without putting a scary number on the pricing page. 2️⃣ ChatGPT doesn't cut you off when you hit your GPT-5 cap — it silently drops you to a lighter model until your window resets. No overage, no upgrade wall, just graceful degradation. It's one of the most underrated pricing moves in AI and almost nobody's talking about it. 3️⃣ Atlassian bundles Rovo AI into paid Jira and Confluence subscriptions with a credit-based quota pooled across the organization. Right now, they’re not enforcing the limits. But they’ve published the quotas, committed to 90 days notice before enforcement begins, and will include dashboards for monitoring usage. Curious what others are seeing — are you using fair use policies, or seeing anything cool in the wild?

I feel like revenue simulators are the most underrated pricing research method -- you get insights similar to A/B testing but without needing deep pockets and a huge customer base to test against. More of the teams I work with have been asking to run simulator projects recently, for stuff like introducing a new pricing plan, optimizing their recommendation engine, launching optional add-ons, etc. Especially with so much pricing experimentation going on around AI feature releases, it feels like revenue simulators are kinda having their moment right now. I put together a detailed example (with plenty of GIFs and screenshots) showing how a revenue simulator works, how you set up a study like this, and what kind of outcomes you can expect to get it: https://fullstackresearcher.substack.com/p/how-not-to-price-your-new-ai-feature

Hi all, I'm a technical product manager for Usage Cloud at DigitalRoute, based in Sweden. Been working with real-time prepaid credits and batch-based pricing, charging and billing since 2004 at scale - also deep knowledge of usage data mediation (the stuff that happens to get the messy real-life operational system events data in shape so it _can_ be priced). I have a fairly solid grasp of the entire quote-to-cash process. I co-host DigitalRoute's invite-only Usage Unlocked roundtable every month or so, where we discuss all things related to usage and pricing. I'm also a Wardley mapping nerd building the collaborative mapping SaaS https://mapaware.io (feel free to try it out), and I co-founded the Blockchain Sweden industry association. And overall tech nerd.

One of the hardest things to sort out in pricing seems to be wrangling the product catalog. Sales need it in CRM/CPQ systems. Finance need it in Billing/ERP systems. Product/Pricing need it in ... where? When products have usage-based pricing or entitlements, many ERPs can't handle it, and the product catalog spreads into a third system that handles usage, credits, entitlements, etc. We see how this crosses organization boundaries, lacking a single clear owner, and keeping everything in sync becomes super important - and very difficult to keep 100% correct over time. And most likely, someone in your organization is using Excel in some part of this process. Curious to hear how others split the product catalog, both horror stories and success stories.

Does anyone have any benchmarks on what hospitals are willing-to-pay for SaaS Medtech / HealthTech products? This SaaS product provides analytical and predictive support across five hospital domains - Patients, ER, Beds/Wards, Surgery/Theatre and Outpatients. I'm particularly interested in "cost-per-head-of-population" or "cost-per-hospital-bed" metrics, which would provide alignment with activity-based funding models in public hospitals. There may be others...? Also interested in metrics for private hospitals (if / where different). DM's welcome if you prefer. Thanks in advance.