Price To Scale: Practical Pricing For Your High Growth SaaS Startup

Ajit Ghuman ยท First published April 12th 2021

Chances are that you are leaving money on the table. Smart pricing can add multiples to your revenue and valuation. Yet, pricing is often considered too complex or just not paid enough attention.

Software pricing is not rocket science. But so far, literature on the subject has varied between clickbaity blogs or obtuse research methods.

A practical guide to SaaS pricing has been sorely needed. This book aims to fill the void.

Written for CEOs, CMOs, Product Marketers, Revenue Leaders, and Product Managers, this book provides a simple soup to nuts approach in deploying winning pricing systems for high growth SaaS startups. In addition to pricing techniques, learn from real-life case studies from pricing leaders drawing on their experiences at companies such as Gainsight, Mixpanel, Nosto, Oracle, Verint, Rubrik and more.

Book Summary

“Price to Scale” is a book that provides practical guidance for SaaS startups looking to optimize their pricing strategy. The author, Mark Stiving, presents a data-driven approach to pricing that helps startups find the right price for their product, grow revenue, and increase profitability

Key Takeaways

1. Understand your customers: To effectively price your product, you need to understand your target market and the value they place on your product.
2. Look at the competition: Analyze the pricing strategies of your competitors to see how you can differentiate yourself and offer more value.
3. Determine your cost structure: Know your costs and make sure your prices are aligned with your costs.
4. Experiment with pricing: Test different pricing strategies to see what resonates with your customers and generates the most revenue.
5. Determine your price elasticity: Understanding how changes in price affect demand is key to finding the right price.
6. Offer value-based pricing: Focus on providing value to your customers and charging for that value rather than simply charging for your product.
7. Offer discounts judiciously: Offer discounts strategically and only when they provide a clear benefit to your business.
8. Use pricing tiers: Offer different pricing options for different customer segments to increase revenue and provide more value to your customers.
9. Communicate your pricing: Be transparent about your pricing and make sure your customers understand the value they are getting.
10. Continuously monitor and adjust: Pricing is not a one-time thing, continually monitor and adjust your pricing strategy to ensure it remains effective over time.