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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 our book Price to Scale, using customer industry or company size as a pricing proxy can provide useful signals—but it should not be your sole method for determining value. Here are some key takeaways:
• The book explains that factors like industry and company size typically rank as a third to seventh most important consideration. They serve as practical proxies, suggesting that pricing matters and, for example, larger companies may exhibit a stronger product–market fit.
• While firmographic data (including company size) can help refine your Ideal Customer Profile (ICP) and even guide where to focus sales efforts, the book strongly advocates for deeper methods—such as economic value analysis—to truly capture the value you’re delivering to customers through operational efficiencies and business outcomes.
• In practical terms, you might consider using industry and size as one layer of analysis, complementing it with empirical data (like existing customer willingness to pay) and structured value assessments to set pricing that more precisely reflects the benefits your product offers.
In summary, while firmographic factors are worthwhile as part of a broader pricing strategy, the book urges you to combine them with more detailed value analysis for the best results. This combined approach better aligns your pricing strategy with both market dynamics and your customers’ true value drivers.