Wondering How To Price Your SaaS Product? 💵

Product pricing impacts the success of a product and yet most people go ahead with $10, $20 pricing because competitors are doing it.

Product pricing is no joke, I admit it guys. It's kept me scratching my head for a really long time now.

It's sounds easy to put a random value on your product but it's far from the actual truth. ❌

The way you price and create your pricing model is a crazy thin line to walk on. What you choose might either drive the customers away instantly or bring them in a highly profitable (or even unprofitable) manner.

For the past month, my product has been in the pricing cycle. I have been learning as much as I can so that the launch is successful executed.

If you're curious about how I went through learning about pricing myself, I've -

• Listened to multiple SaaS podcasts
• Studied tens of different blog pages
• Went through dozens of YouTube and Conference videos

Although I haven't launched my product yet, I felt like sharing all the knowledge that I've learnt about SaaS pricing. 📚

Here are some of the main things I've learnt -

1. It's okay to price more than your competition. But don't get greedy.
2. If you are charging more, make sure you have something unique to offer.
3. If people have set a threshold value for your type of product in the market, then either re-innovate in the market or don't cross that value where you start losing customers.
4. Study different SaaS pricing models. Just the way not every product is same, not every model maybe profitable for you.
5. Having a freemium model might actually be very useful if you are able to deliver great user experience.
6. I saw another IH post where a person tried experimenting by making credit card details mandatory requirement for a trial. Reduce the friction in the process as much as you can and make it smooth for users
7. Create a custom enterprise pricing option so that you can customize it according to the custom requirement while making it profitable for you at the same time.
8. A free plan is highly subjective to the niche of your product. Understand the niche and think accordingly.

If you wanna go into details of trying different pricing models, do check out this interesting blog that helped me out a lot -> SaaS Pricing Models

But that's it for today guys! I hope you find the post useful! 🙌

Have you worked on SaaS pricing before? Or got new tip to add to this list?
I would love to hear your experiences, thoughts or suggestions on the same!
Please do share your it in the comments! ⬇️

Have a great day ahead!
Harsh 💯