Your pricing impacts everything—from the kinds of customers you attract to your company’s total valuation. Get it right, and your pricing becomes a powerful growth lever that drives revenue, enhances customer retention, and strengthens your market position. Get it wrong, and you risk leaving money on the table, alienating potential customers, or stalling your growth altogether.
That’s because SaaS pricing isn’t just about picking a number. It’s about aligning your product’s value with what your customers are willing to pay. The most successful SaaS companies treat pricing as an ongoing exercise and not a one-time decision. They experiment, iterate, and refine their pricing models based on customer behavior, competitive insights, and market trends.
So, if you want to capture the full value of your SaaS, we’ll be giving you real-world examples of SaaS businesses that have mastered their pricing structure so you can apply them to your own business.
Common SaaS pricing models (with examples)
When it comes to SaaS pricing models, there’s no perfect option. The way you package and price your products and services will naturally evolve as your business grows and market conditions shift.
By exploring these different pricing options early, you can establish a solid foundation and choose a strategy that aligns with your goals, giving you the flexibility to make pricing changes later on and find the best pricing strategy that fits your business model.
Tiered pricing
Tiered pricing is a widely used model that segments customers into predefined pricing tiers based on their needs, such as usage limits or access to specific features.
This model works well for startups, small businesses, and larger enterprises because it offers flexible pricing options that scale with growth. For example, a CRM platform might offer a basic plan for startups, a pro plan for midsized companies, and an enterprise plan for established companies with more complex needs.
This model works well because it helps companies attract a diverse customer base while encouraging upgrades through multiple different upsell opportunities. If you use this pricing approach, adding new features or advanced services to your higher-tier plans will allow you to justify a higher price point and capture the full value of your SaaS.
This is exactly the approach that Klaviyo takes to their own pricing. The email and SMS automation company employs a tiered pricing model based on email and SMS usage, making it a go-to for ecommerce businesses aiming for predictable costs. Its transparent pricing is tied directly to subscriber count and SMS credits, ensuring that as a business grows, its expenses scale alongside it in a clear and manageable way.
Source: klaviyo.com
One of Klaviyo’s strengths is its free version. The free version allows businesses to test the platform before committing financially. Then, as customer usage increases, these businesses can unlock additional features tailored to their needs.
Per-user pricing
Per-user pricing is a straightforward model where a company charges customers based on the number of users who are actively subscribed to a platform.
For example, popular tools like Slack and Asana have successfully implemented this user-based approach by offering predictable costs that are directly tied to the growth of an organization as they onboard additional team members. At the same time, this model also appeals to potential customers who want to pay for software according to their needs instead of being roped into a long-term—and expensive—contract.
ServiceTitan offers one of the most successful implementations of this pricing model . The company's per-user pricing model charges customers based on the number of technicians utilizing the field service management software. This approach allows ServiceTitan’s customers to scale their operations without overcommitting financially. Additionally, ServiceTitan offers optional add-ons—such as financing tools or marketing features—available at an extra cost.
Source: servicetitan.com
By tying its pricing plan to operational metrics like the number of users and selected features, ServiceTitan provides a clear value proposition that resonates with service-heavy industries. And despite the fact that its pricing is only available via request, its free demo allows potential customers to explore the platform's capabilities before making a commitment.
Usage-based pricing
Usage-based pricing (UPB) charges customers based on their service consumption, such as API calls, storage, or compute hours. Cloud platforms like AWS are a prime example of how SaaS companies can generate revenue that scales with their customer usage.
The key benefit of UPB is its scalability and fairness, as customers only have to pay for what they use. It also aligns with value-based pricing by emphasizing the lifetime value of customers by tying costs to the actual benefits they receive.
For example, Keyplay offers its platform based on a UBP model that scales with businesses as they grow. Designed for B2B companies focused on account-based marketing (ABM), Keyplay’s pricing adjusts based on the number of targeted accounts, as well as custom pricing for B2B companies that need to model their ICP across multiple markets.
These pricing plans range from a free entry-level option with pay-as-you-go credits to advanced tiers like the Growth plan at $18,000 per year, offering features like ICP modeling and CRM integration. For larger companies, the fully customizable Scale plan provides enterprise-level support, including AI analyst tools and dedicated customer success management.
Source: keyplay.io
By focusing on delivering value at every stage, Keyplay is able to maximize the lifetime value of its customers. The adaptable pricing makes it easy for companies to find the right pricing for their specific target market, whether they’re just starting out or operating across multiple markets.
All that being said, a usage-based model can create challenges with metrics tracking and revenue unpredictability. Unless you have a dedicated usage-based billing tool like Togai, it will be extremely difficult to accurately meter and bill your customers based on their actual product usage.
Feature-based pricing
Feature-based pricing structures—also called per-feature pricing—are set up to charge users for access to a specific set of features or functionalities. For example, design software-focused companies may offer basic tools via a flat-rate pricing model and then offer advanced features and add-ons at different price points. This approach allows businesses to target diverse customer needs within the same market by offering flexibility in their product pricing.
Intercom is a great example of a company that does this well. The customer service platform uses both tiered and feature-based pricing structures that cater to companies ranging from startups and small businesses to large enterprises.
By tailoring its pricing tiers based on messaging volume and advanced features like AI bots, Intercom is able to make services available to customers all across its total addressable market (TAM). For instance, a free plan is available for smaller teams, but higher-tier plans include advanced tools and integrations for a higher price.
Source: intercom.com
In addition to these plans, Intercom offers add-ons for further customization. For instance, the Proactive Support Plus add-on (starting at $99 per month) provides advanced in-app and outbound support features, including product tours, surveys, and mobile carousels.
Source: intercom.com
Freemium model
The freemium pricing model offers a free version of your product up front with limited features to attract free users. This pricing plan is also a key part of any product-led company’s go-to-market strategy. For example, Dropbox provides limited storage at no cost and uses its premium tiers to expand options.
As long as you have the right billing software to offer a freemium version of your product, this model works exceptionally well for B2B SaaS companies that want to target small businesses, startups, and expand their market share.
More SaaS pricing examples from popular companies
The best way to validate your own price model is to look at how other successful SaaS companies are capturing the value of their offerings. Here are a few more examples of leading SaaS companies and their pricing plans for you to learn from.
CrowdStrike combines subscription-based pricing with feature-based tiers
CrowdStrike offers a subscription-based pricing model with feature-based tiers that provide clear segmentation between the different endpoint protection options. Its offerings range from standard coverage, such as next-gen antivirus, to advanced threat intelligence and managed services. This structure allows businesses to select the functionality that best suits their security requirements.
Source: crowdstrike.com
By focusing on enterprise clients that prioritize essential business functions like corporate security, CrowdStrike's pricing options allow them to justify higher-priced tiers, reduce churn, and maintain a healthy customer retention rate.
ServiceTitan’s per-user pricing
ServiceTitan’s per-user pricing charges customers based on the number of technicians utilizing the field service management software. This approach allows ServiceTitan’s customers to scale their operations without overcommitting financially. Additionally, ServiceTitan offers optional add-ons—such as financing tools or marketing features—available at an extra cost.
Source: servicetitan.com
By tying its pricing plan to operational metrics like the number of users and selected features, ServiceTitan provides a clear value proposition that resonates with service-heavy industries. And despite the fact that its pricing is only available via request, its free demo allows potential customers to explore the platform's capabilities before making a commitment.
BILL’s subscription-based pricing model
BILL offers a subscription-based pricing model with tiered plans designed to accommodate both small businesses and larger enterprises. Their pricing structure is as follows:
- Essentials: $45 per user/month. Ideal for businesses seeking to streamline either accounts payable (AP) or accounts receivable (AR) processes.
- Team: $55 per user/month. Provides enhanced controls and automatic two-way sync with leading accounting software (suitable for managing either AP or AR).
- Corporate: $79 per user/month. Offers comprehensive features to manage both AP and AR, including custom user roles and approval policies.
- Enterprise: Custom pricing. Tailored solutions for large organizations requiring advanced security and multi-entity support.
Source: bill.com
This tiered approach allows businesses to select a pricing plan that aligns with their operational needs and budget constraints. Additionally, BILL provides optional add-ons for payment processing, creating flexible revenue streams and enabling companies to customize their services further.
By concentrating on critical operational areas such as accounts payable and receivable management, BILL addresses the essential pain points that their customers face. This focus ensures that BILL’s customers recognize the value in opting for their premium plans,
Baremetrics uses a UBP model with tiered caps
Baremetrics is a great example of a company that uses a UBP model with tiered caps, aligning their fees with a customer’s monthly recurring revenue (MRR).
For instance, businesses with an MRR up to $10,000 can access Baremetrics’ core features at $208 per month, while those managing higher revenues face increased fees corresponding to their financial growth. This structure offers startups and expanding companies the flexibility to select a plan that matches their current scale and have the option to upgrade as their operations evolve.
Source: baremetrics.com
By synchronizing pricing directly with its clients’ revenue, Baremetrics emphasizes a data-driven strategy that supports revenue growth and enhances the lifetime value of its customers. This method not only benefits the bottom line but also ensures that any pricing adjustments are directly linked to the success metrics of their customers.
Wynter’s traditional tiered pricing model
Wynter employs a tiered pricing model based on the number of feedback panels that customers use, allowing these businesses to select plans that align with their specific needs. This structure allows companies to test their messaging across various target audiences and ensure that their positioning resonates effectively with their ideal buyer personas and customer segments.
Source: docs.wordpress-1576908-6148955.cloudwaysapps.com
By offering flexible pricing structures, Wynter provides significant value to B2B SaaS and marketing teams seeking actionable insights at a fraction of the cost of traditional market research firms. This affordability allows organizations to make informed decisions without the financial burden typically associated with comprehensive market analysis.
Implementing the right pricing strategy with Togai
Getting your pricing strategy right is key to growing your SaaS business, but it doesn’t stop there. It’s just as important to tweak and refine it over time. That’s exactly why we built Togai. Togai makes it easy to set up, test, and adjust your pricing, whether you’re using usage-based, tiered, or hybrid pricing models.
And with its revenue analytics, Togai allows you to understand the business impact for any pricing changes based on your customers’ actual usage data.
Ready to capture the full value of your SaaS? Sign up for free to get started with Togai.
FAQs
What is the typical cost of SaaS?
The cost of SaaS varies widely depending on the type of software, features offered, and the pricing model. Plans can range from free or entry-level options for small teams to enterprise-level subscriptions costing hundreds or thousands of dollars per month.
What is flat rate pricing in SaaS?
Flat rate pricing in SaaS means charging a single, consistent price for all users, regardless of features or usage. This model simplifies billing and is easy for customers to understand, but it may not be ideal for businesses with different customer needs or usage patterns.
