May 23, 2022

Software as a Service (SaaS), both a discovery and a revolution, has completely changed the decades-old paradigm of software sales. This has turned a rare, expensive, and time-consuming process for many companies into a hosted monthly and predictable pay-per-seat subscription service.

SaaS has effectively become the de facto business model for startups in the early stages of a global conglomerate. But technology paradigms are constantly changing, and pricing for a membership-based seat is not a one-size-fits-all solution.

Enter the next evolution: user-based pricing.

Instead of selling your software as a contract with a fixed price and time period, you only take what your client actually uses and nothing else. This pricing model will not work for every SaaS scenario. Example. Nobody wants to pay to use Google Workspace.

User-based pricing is an increasingly popular way to sell API-based products. For example, Twilio sells its APIs to other companies that want to add SMS/telephony capabilities. Other successful SaaS companies with usage-based pricing models include AWS, Datadog, Snowflake, and Stripe.

User-based pricing benefits both seller and buyer, but is this pricing structure right for your startup? And how do you use it to grow if the old-fashioned SaaS tests, milestones, and metrics used to demonstrate a proven strategy aren’t as useful?

These questions are just two of the reasons why we invited Kyle Poyar, Operations Partner at Openview Ventures, to share his knowledge and experience during the session. How to scale with usage-based pricing gaming-updates at the 2022 prelim on April 14th.

Poor leads the OpenView development team, which is responsible for advising portfolio managers on strategies to drive revenue growth and dominate their markets. His specialty? A pricing and packaging strategy is the single most effective, but overlooked, lever to grow a SaaS company.

Poyar, an expert in product-driven development (PLG), go-to-market strategy, usage-based business models, and SaaS benchmarks, says “Usage-based pricing will be the key to successful monetization going forward.”

Choosing the right pricing structure for your SaaS startup is essential to long-term success. Join Kyle Poyar to learn more about usage-based pricing, why old SaaS metrics don’t work, how to scale without them, and which new metrics matter most to your business.

Early-stage TC sessions provide plenty of time for participation, questions, and give you a deep understanding of the topics and skills needed to make a startup successful. Reserve your seat before the price increase and register today!

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