Best Practice Report

Redesign SaaS Pricing To Win, Retain, And Upsell Customers

Measure Customers’ Size And Complexity To Better Align Pricing With Business Value

October 1st, 2019
With contributors:
Caroline Robertson , Luis Deya , Kara Hartig

Summary

Good pricing models help software as a service (SaaS) providers win more deals, improve renewal rates, and increase upselling. Business value is a function of the customer’s size and complexity. Building complexity into your pricing model enables you to compete for customers with basic needs while getting more revenue from complex customers, which then get the most value from your product. This report shows application development and delivery (AD&D) pros why value-based pricing models should take customers’ complexity and size into account with a product’s context and identifies key drivers of complexity.

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