SERVICE

Service To Subscription Pricing

About The Service

We’re a next-generation pricing consultancy built for service firms that have outgrown the “time-and-materials” treadmill. Our mission is simple: turn your expertise into high-margin, subscription-based offers by harnessing the efficiency gains unlocked by artificial intelligence.

This transition can convert your business from a valuation multiple from 1-2x revenue to 5-6x or more of revenue in line with traditional SaaS companies. The lines between SaaS and Services are blurring, SaaS margins are lower due to AI and Services margins are higher. Service is now the differentiator, not software.

We will take you through a step-by-step process of current state diagnosis, to goals alignment, segmentation understanding, packaging/offer revamp, price metric revision (outcome/pods/other) and price point setting. This is testing using qualitative and quantitative market research methods for statistical accuracy and confidence.

What’s Include In The Services?

1. Pricing Diagnostic
  • Emperical sales, usage and financial analysis and key stakeholder interviews.
  • Review of existing pricing and packaging model.
  • Understanding your cost drivers and where AI/automation can bring costs down.

2. Customer Segment Review
  • Detailed analysis of your potential market, including clustering into segments and their needs.
  • Identification of key customer personas and their specific value drivers.
  • Identification of repeat use cases that can be packaged into subscription offerings.

3. Package Design/Review
  • Structuring tiered or bespoke packages that align with diverse customer requirements.
  • Recommendations on feature bundling and value-add enhancements for maximum appeal.

4. Price Metric Selection/Review
  • Selection of the most relevant and scalable pricing metric (e.g., usage, outcome, pods, or other).
  • Ensuring that you maintain margin while having a metric that aligns to prospect wins.

5. Price Point Selection/Review
  • Determination of hypotheses price points using market research, costs, margin and comparables.

6. Market Testing & Launch
  • Survey/in-person research of pilot pricing models with select customers to gather feedback.
  • Final synthesis, iteration and presentation

FAQ’s

Frequently Asked Questions

Man and woman discussing with each other

1

Other consultants sound the same, how are you different?

2

How do you identify the willingness to pay for B2B SaaS products?

3

What is the future of SaaS Pricing?

4

How do you monitor packaging performance?

5

Tell me more about your experience.

6

Should we split test our pricing?

7

What is the role of competition in pricing?

8

How can businesses get started with optimizing their SaaS pricing?

Get Started with Pricing-as-a-Service

Join companies like Zoom, DocuSign, and Twilio using our systematic pricing approach to increase revenue by 12-40% year-over-year.

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