Relying on a single value metric for SaaS pricing can lead to two big problems: (1) price and value become misaligned (some customers overpay, others underpay), and (2) enterprise buyers get a single negotiation target—making it easier to drive your margins down. 1/9
Yes, you must strike a balance between simplicity and segmentation. But when done right, moving beyond one value metric can boost annual recurring revenue (ARR), increase deal sizes, and open your product to more customers. Win-win. 8/9
I hope you've found this thread helpful.
Read the full, more detailed post here: robinlandy.substack.com/p/th…
Follow me @RobinLandy for more. 9/9
The two problems with relying on one value metric to determine SaaS & service pricing open.substack.com/pub/robinl…
1/ Obsidian's pricing strategy is exceptionally thoughtful in how it segments users by requirements and willingness-to-pay 🧵
A deep dive into the pricing structure of Obsidian @obsdmd, starting with the sync service.
20/ But for users who are unable to pay or refuse to pay, the actual competitors are other free or low-cost notes apps which offer free syncing (e.g. Apple Notes, Simplenote).