Okay, so the Pokemon catchphrase 'Gotta catch 'em all' sums up this problem: Some pricing models inhibit the natural expansion volume of the customers - e.g.: - We sell factory locations, but customers start with 1 factory and grow slowly from there. - We sell 10 users... but every customer have 100+ potential users. - We price per patient... but only get to handle patients of type A, not types B and C. The simple example-fix is to price per number of employees (a volume outside the control of the customer) instead of per user (a volume controlled and reduced by the customer)... but what other ways have you guys used to solve the share-of-wallet problem? Asking for a friend 😉

Back with another question for the pricing experts! Chatting with a pricing leader who's looking to create a clear framework for when something should be a standalone product vs. an Add-On for an existing product. Curious how others have thought about this? Would love to see any frameworks or hear any anecdotes from past experiences.

Calling all pricing experts! Looking for help with user minimums. Here's the situation... Yesterday, I was talking to a pricing operator, and they have: 1. A Starter tier for individuals that costs about $75/user/mo 2. A Growth tier for teams that costs $95/user/mo with a 3-user minimum The primary differentiator between Starter and Growth is integrations and API calls which means prospects with more usage end up needing the Growth plan. Other than that there isn't much feature differentiation at all. The challenge is many prospects need Growth-level usage, but do not need 3 users. So the company ends up writing custom agreements for the Growth plan with 1-user, and generally does not see any PLG upgrades from Starter to Growth. Curious if anyone has any immediate thoughts based on past experience with user minimums. Is there a way they could use minimums better? Is there a better alternative to user minimums? Would love to hear your any perspective or experience others have had!

Big news for the community everyone ! This community started as a let's-just-try-it idea on the back of a few webinars I held in the fall. Then we grew to 500+ people, and I could immediately sense two things: 1) There was a lot of people who were looking for a SaaS pricing community. 2) I was not the right person to drive that. Enter: @Rob Litterst and @John Kotowski from PricingSaaS.com Rob and John have been SaaS operatives for years and have been building the pricing intelligence tool behind PricingSaaS that monitors all public SaaS pricing pages. We all shared the idea of building SaaS pricing as a field and give SaaS operators a clear roadmap on how to 'do pricing'. But Rob and John was looking for a model to take PricingSaaS to the next level - from 'just a newsletter' to something that could really solve that problem. And this community is just that. So effective as of today Rob and John (and PricingSaaS) will take the reigns and bring this community forward. What does that mean for you: - Expect more content (a lot more) - Expect actual moderation and day-to-day interaction. - Expect the community to grow an welcome a lot more people - Expect me to actually give a lot more to the community : I'm going to support the weekly and monthly content production plan of PricingSaaS. In short: expect this to be the absolutely, hands-down, no-comparison place to be for SaaS pricing. I couldn't be happier for this!

Feedback wanted on "greater of principles" in SaaS towards B2B2B (big ones) --- We are experimenting with some new price models in our ecosystem towards re-sellers, i.e. B2B2 multipliers of our software. The feedback so far is positive. What do you think, is there anything you would consider changing in this price model idea? What don't you like, what could be an alternative to the below? --- Example: Pricing Schedule This Pricing Schedule forms part of the agreement between Supplier and Reseller. The following terms and conditions govern the pricing and payment structure for the services provided by the Supplier. Principle of "Greater Of" For all pricing and payments, the Reseller agrees to pay the Supplier the greater of: - 70% of the final sales price at which the Reseller sells the service (exclusive of VAT and taxes), or - The minimum per-unit fee, contract guarantee, or any other fixed amounts specified below. The Reseller is only required to pay the greater of these two options, not both. This pricing structure is designed to allow the Reseller flexibility in negotiating pricing with their customers, enabling them to optimize their pricing models while ensuring that the Supplier receives a fair and guaranteed minimum compensation. 1. Revenue Share The Reseller agrees to pay the Supplier a revenue share of at least 70% of the final sales price at which the Reseller sells the service to its customers. This percentage is exclusive of VAT, taxes, or any other applicable governmental fees. 2. Minimum Price Per Unit The Reseller agrees to pay the Supplier at least €[x] per unit delivered or service rendered by the Supplier’s offering. The per-unit fee is calculated on a per-usage basis, exclusive of VAT and any applicable taxes. 3. Minimum Contract Duration The agreement between Supplier and Reseller shall have a minimum duration of 1 year from the effective date of this Pricing Schedule. The contract may be automatically renewed unless otherwise terminated in accordance with the terms of the master agreement. 4. Minimum Annual Guarantee The Reseller agrees to provide the Supplier with a minimum guaranteed payment of €[y] per year, to be paid in monthly installments over the course of 12 months. This guarantee is payable starting in month 1 of the contract, regardless of the actual volume of services provided. 5. No Setup Fees The Supplier agrees to waive all setup fees for the implementation of the services. This waiver is part of the pricing model to ensure smooth collaboration and business continuity. 6. Flexibility in Reseller Pricing Models The Supplier acknowledges the importance of providing the Reseller with the necessary flexibility to determine and adjust its own pricing models for its customers. The Reseller shall have full discretion to determine the sales price to its customers, provided that the above revenue share and minimum payments to the Supplier are met.