Comments on: How pricing plans evolved over time for a SaaS startup

By: Stuart

Stuart — Thu, 14 Jul 2011 03:56:11 +0000

We’re just about to start doing our pricing and this was hugely helpful in guiding me in the decisions we’re making. Thanks for taking the time to do this writeup. Awesome.

By: honey

honey — Fri, 03 Dec 2010 16:37:36 +0000

for better success of your product you just first understand the mentality of your customers, what they want.. on the basis of that you can charge or give them functionality…

By: SAASBurst - Weekly dose for SaaS entrepreneurs » Pricing your SaaS app

SAASBurst - Weekly dose for SaaS entrepreneurs » Pricing your SaaS app — Sun, 11 Jul 2010 12:45:57 +0000

[...] with how to price your SaaS app? The article below explains a good thought-out process on how you could come up with your pricing plans. A must [...]

By: Paras Chopra

Paras Chopra — Sat, 15 May 2010 17:49:49 +0000

Hi Jonathan,

Actually there are no minimum commitments when you sign up for the service. So, after using you can simply pause or cancel your account and then start reusing it whenever you need to use it again!

-Paras

By: Jonathan Briggs

Jonathan Briggs — Sat, 15 May 2010 17:18:03 +0000

This was a very interesting post – the transparency of your thinking is excellent.

I wonder if you need a non-recuring price as well – as many people may want to do some testing for a month and then not do any more for a few months. I find that very much the case with crazyegg – I simply don’t have time to use it continuously.

By: Paras Chopra

Paras Chopra — Sat, 15 May 2010 04:39:47 +0000

Hi John,

Completely agree with your sentiment. Freemium is incredibly hard to monetize successfully. And for business/productivity startups, it can be a kiss of death. I think freemium is better suited for consumer facing or entertainment industry where the market is big enough to provide you with millions of potential customers.

-Paras

By: John Boxall

John Boxall — Fri, 14 May 2010 21:46:55 +0000

Would you rather have 10 customers paying 100$ a month or one customer paying 1000$?

Only a small number of services can successfully monetize the freemium model – I think the best way for you to go is up!

John

By: Melvin Ram

Melvin Ram — Sat, 01 May 2010 19:47:23 +0000

Beyond positioning, you should also consider the attrition rate that comes with a higher price point.

I’m a customer of ClickTale and it’s a great service to have if you’re actively improving your website but at $99/month, it’s a waste of money for a small company if you’re not going to be using the data. For the period I wasn’t using their service, I canceled. I restarted my account this month because we’re doing lots of testing again.

At a $29 or $39/month price, attrition would be lower. I would just let the account site and collect data but at $99/month…

By: sam

sam — Wed, 28 Apr 2010 15:29:31 +0000

I use clicktail, it helps me know what is happening on my site and its heatmaps and videos show me i can increase my conversions

By: Altus

Altus — Mon, 26 Apr 2010 18:33:12 +0000

Thanks for the great writeup. The black magic of “how much do I sell a new idea” for can always use some new light shined on it.