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Frameworks, core principles and top case studies for SaaS pricing, learnt and refined over 28+ years of SaaS-monetization experience.
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Based on the concepts in our pricing strategy book, Price to Scale, testing different prices among customer segments can be ethical—if it’s done carefully and transparently. Here are some key points to consider:
• Ethical testing means aligning price differences with genuine value and distinct customer needs rather than arbitrarily charging different prices. Our book highlights that segmenting the customer base (as seen in our discussion on segmenting and packaging) is a standard practice when done with thoughtful criteria.
• Transparency is important. Even if you’re testing, it’s best practice to be clear (or at least to design your process so that any potential discrepancies don’t undermine customer trust). For example, when offering different packages (like good-better-best tiers), the differences are rooted in targeted value propositions rather than simple price shuffling.
• Ensure fairness by basing your tests on market research or structured segmentation, rather than on incidental or opaque differences among customers. In our book, we advocate for clear, objective criteria to guide pricing decisions rather than secretive or arbitrary price variations.
In summary, while showing different prices for testing purposes is common and can lead to more effective, value-based pricing models, it should always be underpinned by transparent, justified segmentation that respects customer trust.