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I spoke to a friend the other day with a SaaS and they are aiming at the long-tail of sites as their customers, and they chose 1 price plan, regardless of how b

I spoke to a friend the other day with a SaaS and they are aiming at the long-tail of sites as their customers, and they chose 1 price plan, regardless of how big the customer sites were. Their advisor said simplifying would reduce fear in customers, especially small businesses. I've been considering a similar approach for a simple SaaS we run, which we have had trouble with getting traction for.

pccampbell 13y ago
Hmmm. It really depends on the product/customer. The big thing here is that you don't have to have a perfect pricing strategy out of the gate (or ever); it's iterative. Look at the Hootsuite example for instance - at this point with 8 million users they should really have more than one plan because there are several different personas in the mix. Buffer on the other hand had a mono-price schema for a long time, because they wanted the simplicity while they were getting traction (to your point). Now that they're solid, they've been iterating the product and the pricing into their business plan. Big points: - Each customer persona = a pricing tier - Price based on the customer willingness to pay = talk to them about pricing - Iterate - your pricing should change as your product and customer do