.png)
Frameworks, core principles and top case studies for SaaS pricing, learnt and refined over 28+ years of SaaS-monetization experience.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Based on our saas pricing book, Price to Scale, the recommendation is not one-size-fits-all. Here are some key takeaways from our work:
• Bundling can generate substantial revenue uplift. The book shows that when bundles are structured across tiers—with a key strategy of setting overage prices higher than the bundle’s average unit cost—it creates a clear incentive for customers to “upgrade” to higher, more predictable, revenue-generating bundles.
• For premium customers, bundles often work exceptionally well. By grouping features and usage amounts, you capture more value and increase predictability. This is particularly effective when your target is enterprises that benefit from accelerated value extraction.
• For lower tiers or newer products, the dynamics might differ. Our book acknowledges that with early-stage or less critical usage, customers may prefer a simpler linear model rather than a multi-layered bundle structure. In this case, the decision to bundle at lower tiers should consider issues like ease of adoption and customer familiarity.
• Ultimately, your decision should be informed by your product maturity and the nature of your customer base. If your market is ready and the product offers sufficient complexity, bundling across all tiers can help drive upgrades and improve revenue stability. If you’re still in the early stages, a simpler approach at the entry-level might be more appropriate before scaling to a fully tiered bundling model.
To summarize, our pricing strategy book suggests that while bundling at premium levels is highly effective, there is significant value in applying bundle structures at all tiers—provided the design is mindful of customer readiness and product maturity. This balanced approach can maximize revenue uplift while ensuring accessible product adoption.