<aside> <img src="/icons/info-alternate_yellow.svg" alt="/icons/info-alternate_yellow.svg" width="40px" /> There are two parts to your pricing strategy, value levers (what users value and will pay for) and price elasticity (how to price things). Each of these should be quantified using surveys. But first, you need to decide what the overall approach is going to be, freemium, 3-tiers, pay-as-you go, etc.

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Step 1: Determine Your Overall Go-to-Market Pricing Strategy

This means, decide if you are going to sell user seats, feature limits, usage limits etc.

Read our article on how to determine your best overall go-to-market pricing strategy:

The Top 10 SaaS Pricing Strategies

This is a fantastic ebook that is the industry standard for B2B SaaS pricing. Please download and read it:

Price-Intelligently-SaaS-Pricing-Strategy.pdf

Step 2: Survey to Get Value Levers

Lets Begin:

• [ ] Build Buyer Personas (Required 1st Step)

  Know Who it is So You Use the Right Words (Target Market)

• [ ] If you have users, compile list of initial contacts or customers

  • [ ] Enrich data with Clearbit

  • [ ] Segment lists by persona types

  • [ ] Send Initial Survey to List

    

    A great example of a “max-diff” style survey question that forces the person to rank against a small set of related options.

  • [ ] Visualize what is important

    • Analyze features by Persona - Use our Template HERE

      

      An example of what features mapped to personas might look like after your survey.

Step 3: Determine Price Tolerances

Price Elasticity is measured using the Van Westendorp Pricing Model

• [ ] Send Willingness to Pay Survey

  

  An example of a Van Westerndorp style question.

• [ ] Plot cumulative frequencies for each of the feature categories and personas

  

  This is what a completed Price Elasticity Plot will look like.

• [ ] Determine optimal price points

• [ ] Plot potential MRR for each price point

• [ ] Determine value of each buyer persona