🔆 Your current SaaS price list LOWERS potential deal value

In yesterday’s SaaS CEO mastermind, we addressed this question:

Which parts of our product should have a price and which not?

Soon after, the realization was: It’s the wrong question.

Here’s the thing:

Pricing product elements gives the wrong incentive. The focus moves to selling as many as possible ‘modules,’ and that’s not in the interest of you nor your customer.

Your customers don’t want your ‘modules.’
Your customers want the outcome. 

What if we create a pricelist that sells that outcome? 

Here’s where I see many SaaS founders hesitate.
‘Yes, but….’ it starts, followed by ‘…..we don’t have full control over the outcome.’

That might be true – but the definition of the outcome is in our hands.

Having that internal discussion about what outcome you’ll always match is already way better than a module name that says nothing.
It’s about giving your SaaS pricelist meaning.

So how to go about that? Here are three approaches to consider:

  • Intrigue: Be creative with the label of each pricing tier: Instead of Basic, Professional, or Enterprise, what about: “End the chaos,” “Deliver Reliably,” “Set new Standards.”
  • Resonate: Instead of listing each module’s name, list each module’s promise. 
  • Perspective: Instead of listing more or fewer modules, why not visualize the impact of each tier on the top X desired outcomes, for example, with stars: ** / *** / ***** 
  • Guarantees: List the guarantees you’re comfortable with for each tier.

Want to improve the average deal size and customer lifetime value?
Give this a shot.

 


Question for you to reflect upon

On a scale of 1-10 – How well does your pricelist inspire customers to buy more?


 

Be Remarkable

 

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About the author

Sales Pitch

Ton Dobbe is a former B2B software product marketer who's on a mission to save mission-driven SaaS CEOs from the stress of 'not enough' traction. He's the author of The Remarkable Effect, the host of the Tech-Entrepreneur on a Mission podcast, and writes a daily newsletter on the secrets to mastering predictable traction.