Frameworks, core principles and top case studies for SaaS pricing, learnt and refined over 28+ years of SaaS-monetization experience.
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The first step in any pricing change is to get clear on two things: your goals and your customer segments.
Think about where a company sits in its life. DocuSign, Workday, and Salesforce are mature businesses, and their goals are very different from newer companies like Cursor or Lovable. Pricing exists to support business goals, so you have to understand those goals first. Skip this, and you risk slowing your sales down when you needed pricing to speed them up, or the reverse.
You also need to be clear on who your customers are. Which segments do you sell to? What is the ideal customer profile for each one? What job is each customer trying to get done with your product?
The segment shapes everything that follows: how you package, what you charge on, and what price you set.
At some companies, pricing problems start with disagreement inside the leadership team. Different leaders push for different pricing, each assuming a different goal and a different view of the customer. This happens because real segments shift every quarter, but executives rarely sit down often enough to refresh their shared understanding of who they serve.
In our experience at Monetizely, this is the number one reason a pricing model underperforms. Some companies sell to small businesses, mid-market, and enterprise, yet offer only one package. That causes problems. Smaller companies do not need the advanced features and end up paying for shelfware. Larger companies push for steep discounts during the buying cycle. The reverse hurts too: too many packages for a simple set of segments can drag down average selling prices and slow the sales team. These are just a few of the problems that poorly understood segments create. What changes with agentic AI? Segments matter even more with agentic products, because the supporting needs can vary so much from one segment to the next. A coding agent might serve solo developers, professional teams, and enterprise engineering groups, and each one needs the agent to do a very different job. That much variation did not exist with a traditional code editor. The value is also more top-loaded than before, landing unevenly across customers. So a clear read on your segments is essential.
Join companies like Zoom, DocuSign, and Twilio using our systematic pricing approach to increase revenue by 12-40% year-over-year.