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Ask HN: How to decide on the pricing model for SaaS?
I am building a SaaS app(editor for screenwriters), and trying to figure out what is a good pricing model.
Should I use monthly subscription or one-time payment? How much should I charge?
Can you share some general advice on what is the best way to decide or what to avoid?
- Torwald 9y agoWell, being a screenwriter is not necessarily a stable business on of itself. Therefore I would rather go with a one-time payment than staring on their monthly expenses horror show. OTOH you will have to support them endlessly, than again, this won't be that much more of a trouble; I am assuming. The general advice is: testing. Drive traffic to your landing pages and see which one converts the best. With that I mean: which source of traffic coverts best AND which landing page design works best. HINT: hire a professional copywriter, he will work wonders for you there. In any case, test and thus find the best performing combo. You should put some effort into the presentation of your company. Why should anyone trust you with their data? This is a very big question, that you MUST address. (Minor nitpick: I've come across websites of small firms and they didn't even bother to tell in which city they reside. This is of course a form of mindlessness, which told me everything I needed to know to not do business with them. Details matter.)
- gus_massa 9y agoone-time payment is forever, and forever is a very long time for a SaaS. You have monthly cost. In ten years you will have monthly cost for the users that pay today $5. I suggest to make a monthly plan, with an option to pay annually with a 1 or 2 month discount. How much are other similar projects charging? Don't put a very low price. Read some advice from patio11: https://news.ycombinator.com/item?id=13843743 https://news.ycombinator.com/item?id=13843743 (The whole discussion may be useful https://news.ycombinator.com/item?id=13840282 https://news.ycombinator.com/item?id=13840282 )