How to Develop (and Optimize) a Profitable SaaS Pricing Strategy

When you’re running a SaaS business, it’s easy to feel overwhelmed.

There are mountains of critical issues to deal with. Everything from improving the software and delivering a high quality customer experience, to reducing churn and making payroll every month.

Unfortunately, sometimes these demands drive SaaS businesses to overlook a crucial factor for their success: price.

Drawn out conversations and research is the last thing most people want to do after months (or years) spent developing the software and bringing it to market.

The temptation to just go with a price that feels right—to just “ship it” and see how it goes—is strong. It’s easy to tell yourself you’ll worry about this stuff later—once your business gets off the ground.

But overlooking price in the beginning can set you up for an uphill battle. Here’s how:

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By |2015-07-24T13:08:39-07:00June 4th, 2015|SaaS|0 Comments

SaaS Churn Rate: Why It Matters (and What to Do about It)

Ever feel like you can’t keep up?

Practically everyone has felt like this one time or another. SaaS business owners have it especially tough.

Sometimes it feels like you’re on an endless treadmill. You’re running as hard as you can just to replace customers who slip through the cracks. And you can’t dare let up no matter how exhausted you are. Otherwise your business starts shrinking instead of growing like you need it to.

Getting ahead seems out of the question when you’re working as hard as you can just to stay even with all the people who are leaving.

Your SaaS churn rate, the percentage of customers (or recurring revenue) that leave your business over a specified duration, is a vital sign of your business. It’s one of the best metrics you can use to value your company and assess your performance.

Here’s why it matters—and how to keep your business healthy and profitable.

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By |2015-05-27T16:07:34-07:00May 28th, 2015|SaaS|0 Comments
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