Price Optimization in SaaS: A Series

David Noonan on June 30, 2021

Many SaaS subscription products launch with prices far below their potential value.

Maybe they do this to encourage sign-ups. Or perhaps it’s just a stab in the dark.

Regardless of the cause, there seems to be a strong potential for increased revenue from price adjustment.

That’s why we’re writing an entire series of articles about price optimization- specifically for subscription-based businesses. 


Below are the articles written so far. Check back soon for more!

1. Price Optimization in SaaS: An Introduction

This introductory article covers topics relevant to price optimization for subscription businesses. 


2. Price Optimization in SaaS: Customer Retention 

The biggest challenge that some leaders face is understanding how to think about price optimization and customer retention with the right framework. 

This article discusses the relationship between price change and customer retention, as well as the best metrics and methods for measurement.


3. Price Optimization in SaaS: Why You Should Experiment & What Data to Use

To get a reliable signal for our price optimization, we need to collect data in a structured way. If we plan our data collection carefully, our  experiment avoids wasting resources on inconclusive results.

Our third article explains in detail why experiments are key for finding the best price, and what data you to run experiments correctly. 


4. Price Optimization in SaaS: What Does Churn Tell Us? 

Churn is talked about so often in the SaaS world that many think it’s the most important metrics to track. But is it actually?

We put the churn metric to test in two different simulations. The result: it often gives misleading results. Learn why

David Noonan