We won’t lie and tell you software pricing is easy and painless. It isn’t. … But easy or hard, software pricing has to be done if you want to get paid.
The land part of your land & expand strategy ought to be a no-brainer for customers. So why is it most software companies land…and fail to expand?
Consistently getting paid fairly for the value your software delivers is not as easy as it sounds. Software companies routinely over-analyze and over-think their strategies and tactics until executive management is paralyzed into inaction.
True competitive understanding entails more than a comparison of product features or UX or list prices. Those views are important, but if used alone to represent your competitive environment, they can yield ineffective, or even damaging, pricing strategy decisions.
Learn the nuances of software discounting and how you can use them to your advantage.
Protecting legacy revenues is of utmost important for software companies moving to the cloud from on-prem solutions.
What you really need to know about your competitors’ pricing strategies aren’t found on their websites.
Learn why not discounting, as well as unstructured discounting, can hurt the growth of your SaaS company.
Learn why Market Fairness is crucial to SaaS pricing success.
A better definition for a strong beta customer is a prospect that is willing to pay to become a customer for an early version of your product.
We interviewed Dr. Peter Huber on how software companies should approach the problem of understanding the value they deliver to their customers.
Learn more about license management and entitlement management.
To stimulate sales in a slow market without the baggage of long-term liabilities, here’s a thought: Give your sales team the freedom to negotiate packaging options, just like they have the freedom to negotiate discounts.
Customer acceptance of new software product capabilities is higher when products are developed using agile development methodologies. Are both your pricing and development processes effectively coupled together?
Learn how to make sure your software monetization approach addresses the potential impact of ongoing software changes that can impact other systems.
Microsoft’s licensing shift provides lessons about doing effective software monetization, the first of which is always start with the customer.
Other industries can give software companies powerful insights into software pricing strategies.
General Motors recently recalled 474,000 vehicles, many of which are being returned to dealers so they can “recalibrate the software”. I wonder if they factored that into their pricing process.
Nick Mehta, CEO of Gainsight, talks at SIIA’s Maximize conference in 2014 about why software companies should accelerate their customers’ time to value.
Learn the differences between a pricing model and a Monetization Model and better understand what pricing is all about.
Sandhill just published a smaller research study on the five most prevalent sources of pricing pressure. Learn why selling value is still a tough challenge for software firms.
When is the last time you went through your software company’s sales attic to shore up your selling process?
Negotiating like a SaaS pro takes a careful approach when making concessions. Do you have the correct process in place for your sales team during the critical negotiation and close part of your selling process?
Jim shares three tips for developing a tiered pricing structure that clearly communicates the value of your various product options or editions on the OpenView Finance Lab blog.
When a prospect that’s about to close asks for something (a Nibble), do you know how to combat it?
Many executives wonder why sales aren’t coming as fast or as easily as they should – despite their best efforts to focus on the right customers with the right product and the right benefits. One possibility that’s often overlooked is at the heart of a pricing model.
To attract new customers both SaaS and traditional software companies are now becoming much more flexible in how they deliver, price, and collect payment for their offerings.
Packaging can be used to enter new markets or make further inroads into existing markets and customers. It can also be used to address specific needs within a customer segment.
The pace of business is picking up as the Fall buying season begins – making now the perfect time to get new customers. As you address this near-term opportunity, be sure to consider actions that can pave the way for future, enterprise-scale sales.
How many times have you or a sales colleague wondered “Why is this deal taking so long to close?” There are many reasons but we’d like to focus on one that is rarely discussed: The customer doesn’t trust they are getting a fair deal – and maybe they don’t have enough trust in you.
If you are involved in large, unlimited software license deals, you may be leaving a lot of money on the table unnecessarily.
Whether yours is a new SaaS business or an established business adding or moving to SaaS, revenue forecasting can be especially challenging. In more traditional pricing models, large amounts of money are paid up front and most of the customer lifetime value is realized in short order. In SaaS, however, it’s very different.
The virtualization trend is growing and changing the software industry. Research pundits, like Gartner, predict virtualization will quickly affect how customers and vendors think about software pricing and licensing. Is your current pricing model keeping up with industry trends?