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A Pricing Strategy for Your SaaS Offering
Pricing strategy is a major component of any business, whether brick-and-mortar or bits-and-bytes. In addition to being an important strategy to hash out, it is also generally quite tricky to do correctly. Should pricing be value based or cost based? Should it focus on maximizing income per unit or volume? For all of the things […]
Is SaaS About Maximum Profit for the Provider?
I recently read and commented on a good post over at Unreasonablemen.net titled “How Do SaaS companies make money“. In summary, the article highlights the fact that SaaS companies have an alarmingly low EBIT, high marketing spend rate, and no mechanism for getting “upgrade fees.” While this is all true, I wouldn’t use the word alarming. In the comments […]
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