
Frameworks, core principles and top case studies for SaaS pricing, learnt and refined over 28+ years of SaaS-monetization experience.
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Join companies like Zoom, DocuSign, and Twilio using our systematic pricing approach to increase revenue by 12-40% year-over-year.
The pricing strategy you select for your low-code platform directly impacts both adoption rates and long-term revenue potential in this rapidly evolving market. Low-code platforms face unique monetization challenges due to their diverse customer base that ranges from non-technical citizen developers to enterprise IT teams requiring sophisticated solutions.
Low-code platforms serve a uniquely diverse audience, from business users with minimal technical expertise to professional developers seeking efficiency gains. This diversity creates significant pricing challenges, as different segments assign value to entirely different aspects of your platform. Citizen developers often prioritize intuitive interfaces and approachable learning curves, while technical users value advanced integration capabilities and customization options.
The low-code market shows considerable variation in pricing approaches, with no single dominant model emerging as the clear industry standard. Subscription-based pricing remains common, typically structured around users, applications created, or feature sets. However, usage-based pricing is gaining significant traction, particularly for platforms with AI components or resource-intensive features.
Many leading low-code platforms have adopted hybrid models that combine:
As artificial intelligence becomes increasingly central to low-code platforms, pricing these features presents particular challenges. AI capabilities like automated code generation, intelligent process recommendations, and predictive data analysis add tremendous value but consume variable resources depending on usage patterns. Most platforms embed basic AI functionality within core pricing while positioning advanced AI capabilities as premium add-ons or higher-tier inclusions.
Enterprise customers typically require different packaging considerations than SMB users. While smaller organizations prioritize accessible entry points and straightforward pricing, enterprise clients focus on governance features, scalability guarantees, and custom integration capabilities. This dichotomy forces low-code platform providers to develop sophisticated tiering strategies that can serve both market segments effectively without creating overly complex pricing structures.
The inherent flexibility of low-code platforms means users can create applications with vastly different resource requirements. Some might build simple forms and workflows with minimal data processing needs, while others develop complex, data-intensive applications with sophisticated automation. This variability makes purely user-based pricing problematic, as it fails to account for actual platform resource consumption and can lead to pricing inefficiencies.
Monetizely brings unparalleled expertise to low-code platform pricing with leadership experience from companies like Zoom, Twilio, DocuSign, LinkedIn, and other leading SaaS organizations. Our team combines 28+ years of operational pricing leadership with deep understanding of product management and marketing - critical perspectives for low-code platforms where user experience and technical capabilities must be balanced in pricing strategy.
Unlike traditional pricing consultants who rely primarily on theoretical models, our team has hands-on experience managing cross-functional pricing rollouts in complex SaaS environments, including platforms with sophisticated feature sets similar to low-code solutions.
We help low-code platforms develop effective pricing strategies for AI-powered capabilities, balancing value-based pricing with usage metrics that align with actual resource consumption. Our expertise in GenAI pricing strategy directly addresses the challenges of monetizing intelligent automation, predictive features, and AI-assisted development tools.
As low-code platforms evolve, many need to transition between pricing models - from pure subscription to usage-based, or to hybrid approaches. Monetizely guides these transitions with minimal disruption, ensuring existing customers are properly migrated while optimizing for new customer acquisition.
We develop differentiated pricing and packaging strategies that effectively serve both citizen developers and enterprise IT departments with appropriately structured tiers. Our approach helps platforms capture the full value spectrum across diverse customer segments.
Our proven methodology helps low-code platforms create feature groupings that maximize perceived value while simplifying customer decision-making. We've successfully implemented this approach with AI-focused SaaS products, creating clear differentiation between essential, professional, and enterprise tiers.
Monetizely employs a comprehensive research methodology specifically adapted for complex platforms:
Quantitative Analysis: We utilize Van Westendorp pricing sensitivity measurement, conjoint analysis for package optimization, and Max Diff feature prioritization to identify optimal price points and package configurations.
Empirical Research: Our team analyzes your platform's pricing power across different segments and evaluates current tier performance through detailed usage pattern analysis.
In-Person Qualitative Studies: Monetizely's distinctive approach includes structured interviews with prospective and current customers to validate pricing strategies before implementation.
We recognize that pricing changes in low-code platforms affect multiple systems - from CPQ and billing to engineering feature flags and sales compensation. Our operational experience ensures we provide practical guidance on implementing pricing changes across your technical infrastructure and organizational processes.
Our comprehensive project approach includes:
When working with Monetizely, low-code platform providers gain more than theoretical pricing recommendations. We partner with your team to design pricing structures that balance simplicity with value capture, support customer growth journeys, and maximize long-term revenue potential. Our proven methodologies have helped SaaS companies successfully launch their first consistent pricing models and optimize existing pricing strategies for greater revenue and customer satisfaction.
Contact Monetizely today to learn how our specialized pricing expertise can help your low-code platform capture appropriate value while accelerating adoption across all customer segments.
Join companies like Zoom, DocuSign, and Twilio using our systematic pricing approach to increase revenue by 12-40% year-over-year.
1
None of the other premier consultants have actually implemented complex pricing within companies like Twilio and Zoom. This requires operational systems understanding, not just strategy.
In addition, other consultants often "over egg the pudding", they know customers will buy approaches as long as they look/feel scientific, yet we have multiple customers who have spent more >$100k each on conjoint analysis which did not help them at all. We are careful with where we ask you to spend your money.
2
Willingness to pay is context-dependent and works best when analyzed alongside packaging and pricing metrics. We use structured surveys like Van Westendorp, Max Diff, Conjoint Analysis as well as in-person research interviews to gather actionable data.
3
The cost of milk or a McDonald's burger inflates. However, SaaS prices almost always deflate and requires both adjustment of product packages as well as innovation to remain relevant.
Additionally, AI adoption will drive a shift from user-based pricing to more usage/consumption based models to accommodate the very high costs of serving these products. Expect to see deflation over time here as well as the the cost of serving AI products drops by multiples every month.
4
We want to monitor discounting % per package, usage of features within the packages, upsell rate of features to see whether we have a good pricing motion or whether it needs adjusting.
5
The Monetizely team has over 28 years of collective experience in software pricing, having previously worked with industry leaders like Twilio, Zoom and DocuSign, ensuring expert guidance in SaaS pricing strategies.
6
We recommend doing a better job on the pricing testing phase and to mitigate risk roll out the pricing in a phased manner.
For 80-90% of cases, we do not recommend A/B testing as that creates too much market confusion and overhead (in certain cases, doing an advance roll out in a different geo can work).
7
Competitive information is helpful but only a small piece of the picture. Competitors are in different stages of growth. Their product functionality is also different.
We recently had a client where sales teams pushed for lower pricing to compete with current rivals, but the company’s strategic vision aimed to evolve into a new category, making the competitive pricing data less relevant.
8
To kickstart your SaaS pricing optimization, consider consulting with the experts at Monetizely. You can also deepen your understanding by reading our book "Price to Scale" and enrolling in "The Art of SaaS Pricing and Monetization" course on Maven. These resources are crafted to equip you with the necessary skills and knowledge to refine your pricing strategy effectively.