Wallet Pricing

When it comes to SaaS pricing, the received wisdom is – keep it simple.

But when it comes to selling to large companies, that’s not always the best approach. Large companies have procurement departments, and having just one metric on which to base your pricing is an invitation to Procurement to bring as much pressure as they can onto that one metric.

With large companies, it’s often much better to offer a pricing structure with multiple elements making up an overall price. Additional elements of pricing can be optional add-ons, feature tiers, support fees, different hours of support, transaction fees etc.

This approach gives you multiple points of negotiation and gives you room to manoeuvre. And it has the benefit that Procurement will see some of these elements as belonging to another part of the company, and so will not push so hard on them.

For more information on this approach, check out Robin Landy’s blogpost here.

Or take a look at “The Pricing Roadmap: How to Design B2B SAAS Pricing Models That Your Customers Will Love” by Ulrik Lehrskov-Schmidt, and particularly the chapter on Wallet Pricing.

21 Jan 2025