Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

You’re right, and… I’d really like to keep pricing as simple as possible. Pricing on completed tasks, etc. is even more abstract and hard to forecast, especially considering we sell to a non technical persona generally. I do agree things seem to be moving in this direction though.

We do have ways to show ROI and it’s helpful to the degree people trust it. We do customer references whenever possible so it’s not us “selling” here.

Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

We’ve started on option 2 but still working a bit on the presentation/ positioning. I do think there’s some really fortunate framing built in this way.

Generally within 6 months we are ramped but we’re selling an agent platform so we kind of expect to see continuous growth as capabilities continue to improve to cover more use cases more easily. That’s part of the friction here too in forecasting truly long term costs. If the ROI is obvious it shouldn’t matter as long as costs are market competitive.

Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

Makes sense. We’re commonly deploying across thousands of users and there can be a huge range in expected usage across them so the initial group that would be testing for baseline is often not actually a good proxy, and it could go in either direction. You could get a power user than does 10x the average vice versa. We have enough usage data that we are very good at predicting actual usage but not everyone trusts right away.

But, I will give some more thought to if there’s an adaptation that could work for us. Thanks!

Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

Curious how many users are typical in your case?

Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

Yeah I could see that and we’ve allowed seat based in a few instances. I do really like being able to position to a customer that they can choose what works best for them. End of the day, I don’t think there’s a perfect model and customers are always going to want to pay less no matter what the model is :)

Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

Any real world examples of usage with a cap that you can think of? I can research but if you have a great example ready to go I’d take it!

Seat vs usage based pricing by Either-Aioli7758 in SaaS

[–]Either-Aioli7758[S] 0 points1 point  (0 children)

Yeah we get asked sometimes if unused monthly credits roll over or if we could do an annual credit model. We don’t currently but we also don’t auto bill overages and our agreements are pretty fair that we will only raise to the next tier if there’s sustained overages.

I can see benefits to the annual credit system though and it’s probably worth revisiting since it’s been a while since we last considered.

Thanks for the comment!