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How do we structure bundle pricing for enterprise customers who negotiate individual product rates?

Below is a structured approach based on Price to Scale’s guidance on bundling and enterprise licensing:

• Direct Answer
When structuring bundle pricing for enterprise customers who are used to negotiating individual product rates, you want to create bundles that acknowledge the inherent flexibility these customers require while maintaining clear value differentiation. This means designing bundles that offer a mix of core products with add-on options, and aligning discounts with volume and contract commitments.

• Key Guidelines from Price to Scale
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  Flexibility in Enterprise Deals:
Our book explains that enterprise customers typically demand a much more flexible pricing approach—often via Enterprise License Agreements that allow them to select multiple products or an all-inclusive option. Instead of applying uniform discounts across the board, you segment your offerings so that the bundle feels tailored to their unique usage and negotiation history. (See pages 83 and 245 for insights on differentiating enterprise licensing from commercial offers.)

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  Adjust for Volume Discounting:
As shown in Price to Scale, enterprise deals often come with steep discounts (up to 80% for larger deals) compared to commercial deals. This is expected because unit prices drop as volume increases. In the context of bundling, this means ensuring that the bundled package pricing reflects the expected discount structure while protecting your margins.

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  Customizable Bundle Options:
Rather than simply transferring individual product rates into a bundle, consider re-configuring the package. For example, offer upgrade options or add-ons within the bundle that justify a higher price point if needed. This method prevents a direct one-to-one discount comparison between standalone products and bundles. The book suggests proactively segmenting your customer base so that you can offer slightly varying bundles that align with distinct customer needs.

• Practical Steps for Implementation

  1. Identify the core set of products that are frequently negotiated on an individual basis for enterprise clients.
  2. Create a baseline bundle that aggregates these products and calibrate the list price so that you start in a “positive discounting” region for smaller deals.
  3. Incorporate flexibility by offering tiered bundles or add-on options—a “good upgrade” for the same overall spend, or options that extend the commitment in exchange for deeper discounting.
  4. Maintain transparency with your enterprise customers about how bundle pricing provides enhanced value compared to unbundling individual negotiations, ensuring you are upfront with discount adjustments and value additions.

• Takeaway
In summary, Price to Scale advises that enterprise bundle pricing should be as much about value creation and flexibility as it is about discounting. By designing bundled packages that integrate customizable options and clear value differentiation, you meet the negotiation expectations of enterprise customers while protecting your pricing strategy.

This approach ensures that your pricing is both competitive in the enterprise market and consistent with the principles laid out in our saas pricing book Price to Scale.

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