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Estd 4.22.2023
Based on our saas pricing book, Price to Scale, a layered strategy is often more advantageous than completely avoiding enterprise sales. Here are a few key takeaways:
• Enterprise customers generally demand different offerings than those acquired via the pure self-serve route. They often require customized solutions—such as flexible enterprise licensing agreements (ELA), bespoke discounting structures, and add-on packages—that aren’t typically necessary for the more transactional self-serve or commercial segments.
• By starting with a self-serve model that attracts a broad base of users, you can then layer on enterprise sales to address the more sophisticated demands of larger clients. For instance, as our book explains, one effective approach is to build in upsell opportunities and a-la-carte options that cater to “whale” behaviors. These strategies allow you to capture increased deal value on top of the streamlined self-serve experience.
• Maintaining distinct but complementary models helps you maximize both deal velocity and average transaction size. While self-serve focuses on speed and simplicity, enterprise sales are structured to accommodate detailed negotiations, customization, and a more complex value proposition.
To summarize, our book advises that instead of avoiding enterprise sales, PLG companies should layer them on top of their self-serve model. This dual approach allows you to capture a broader market while addressing specific pricing and customization needs of enterprise customers.