SaaS Guide
SaaS Pricing Strategy: Models That Drive Growth
Pricing affects conversion, retention, and revenue. Freemium, tiered, usage-based — each has tradeoffs. Here's how to choose and implement.
Table of Contents
Freemium
Free tier to acquire users. Convert to paid with limits or features. Works for products with viral loop. Risk: free users don't convert.
Tiered
Starter, Pro, Enterprise. Clear value ladder. Easiest to implement. See our Subscription Billing guide.
Usage-Based
Pay per API call, seat, storage. Aligns cost with value. Complex to implement. Stripe Metering, or custom.
Implementation
Stripe Billing, Paddle, or custom. Plan limits, feature gating. See our Subscription Billing guide.
Frequently Asked Questions
How do we test pricing?
A/B test prices, tiers. Survey willingness to pay. Start with one tier, add as you learn. Don't overthink v1.