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E267: From Subscription Fatigue to Customer Satisfaction: Evolving SaaS Pricing

by Sean Boyce

In this episode, Sean dives into the world of SaaS pricing, discussing the current landscape and the different models available. He emphasizes the need to adapt and find the pricing strategy that aligns with your product, customers, and profitability. Whether it’s the traditional subscription model or a pay-as-you-go approach, Sean highlights the importance of making informed decisions to ensure success in the evolving SaaS industry.

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Key Points

  • Subscription pricing remains popular for most SaaS products.
  • Consider alternative models like pay-as-you-go to better suit specific applications.
  • Overuse and abuse of subscriptions has led to subscription fatigue.
  • BMW’s failed attempt at charging for built-in car features highlights the inappropriate use of subscriptions.
  • Pay-as-you-go models can provide flexibility and cost-efficiency.
  • The childcare service example showcases the benefits of pay-as-you-go in a specific context.
  • Every SaaS business should conduct thorough research to determine the most suitable pricing model for their product and customers.