8 SaaS pricing models in under 3 mins (video)

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For SaaS companies trying to price their services, the number of pricing models may seem overwhelming. Not to worry, we’ve got you covered. In this quick video, we dive in and explain the eight most popular strategies in under three minutes. Get a solid understanding of your options below.  


1.Pay as you go pricing model  

 Allows customers to pay only for what they use. Phone companies often use this model and break billing down by the number of texts or minutes used.  

 2. Per-user pricing model 

Allows customers to pay for each user that uses the software. Encourages customers to evaluate which users need access to the service. 

3. Tiered pricing model  

Allows for flexibility while giving customers the opportunity to level-up as they start to see the benefits. It combines well with other models.  

4. Flat-rate pricing model  

A one-size-fits-all strategy that cuts down the possibility of confusion for your customers. Companies charge everyone the same amount. 

5. Feature-based pricing 

Best for software with a lot of features. Users pay based on the number of features they want to access. The highest tier offers more features than lower ones. 

6. Bundling pricing  

Appeals to more of the market with strategic packages built for specific targets. Different customers want different things, and this pricing strategy acknowledges that.  

 7. Freemium pricing 

 Allows customers to try some services for free. Many will then upgrade to the paid version once convinced of the value. Free-versions are often ad-supported 

 8. Hybrid pricing

A combination of any of the other pricing models and gives companies the flexibility to better price their services based on customer and market research.  

If you want to learn more about SaaS pricing models, check out our comprehensive blog and free downloadable infographic for more information.

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