In this webinar you will get insights on how to get the most out of SaaS product pricing on the Salesforce AppExchange. Key takeaways: 1. The importance of SaaS pricing 2. Common mistakes in SaaS pricing 3. Different type of app and pricing segmentation 4. Org based / User based / Pay as you go / Usage based pricing 5. Features based pricing strategy with FMA (Feature Management App) 6. Invoice & renewal best practices 7. Use cases

1. LIVE WEBINAR
Decoding the Secret of Successful Salesforce AppExchange App Pricing
Presenters
NAME TITLE EMAIL ID
Priya Ranjan Panigrahy Co-Founder & CTO priya@ceptes.com
Sanjay Dubey Sales Head sanjay.dubey@ceptes.com
Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Hosted By
A Complete Salesforce Platform Focused Company Since 2010

2. Learning Objectives
01
02
03
04
05
Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
About CEPTES
The importance of AppExchange App Pricing
Different Type of App and Pricing Models
How is Salesforce charging my company for our sales?
Common mistakes in AppExchange App pricing

3. Salesforce Partnership
ISV
~10 Apps
500+ customers
PDO
10+ SF apps/platforms
500+ customers
2 acquisitions
SI
All SF Solutions (Sales, Service,
Marketing, Platform)
200+ projects implementation
Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved.
CREST Partner Specialist CREST Partner
MSP
Managed
Service
Provider
PDO
Product
Development
Outsourcer
12+ Years
Expertise in product building in the
Salesforce Platform
MSP
Flexible, Scaleable
Global customers
150+ SF Certified resources
Specialist

4. Our Products & Customers
Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved.
Our AppX Products
Our
Customers

5. AppExchange - Your Gateway to Success
HOME for Many Billion $ Apps
02
Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
200000+ Customers
Within the Salesforce
Community
Introduced in 2005
World’s biggest Marketplace for
B2B Applications
12M+ Installations
From SMEs to Fortune 100
Companies
7000+ Listed Applications
Apps (Based on the niche, category,
industry, Salesforce products, etc.)
Bolt Solutions
Flow Solutions
Lightning Data
Lightning Components

6. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Types of App - OEM vs ISVForce
OEM Embedded App
Revenue share is 25%*
ISVForce App
Revenue share is 15%*
Net-new customers
Existing Salesforce customers
Existing Salesforce customers
License type around which app is built:
Lightning Platform
Customer Community (optional)
Customer Community Plus (optional)
License type around which app is
built depends on solution and
targeted customers. Sales and
Service Cloud are most common.
Source of user licenses is embedded in application
Source of user licenses is purchased from
Salesforce

7. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Pricing Types & Strategy
Custom
● Usage Based
● Feature Based
● Volume Based
● Hybrid
Per Org/Company
Per User

8. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Launch Pricing Strategy: Free trial or Freemium?
Freemium Business
Model
Free Trial Strategy
Time Limits Usually Free Forever Limited for particular duration
(7/15//30/60 days)
Functionality Offers limited functionality
to entry level users
Offers complete functionality of paid
product
Paid Conversion
Rate
1 to 10% 30%+
Market Small to Medium
Enterprises
Any Size

9. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
How is Salesforce charging my company for our sales?
● Percentage Net Revenue (PNR): PNR products require partners to pay a certain percentage of each sale back to
Salesforce.
● Fixed Price: Fixed price products have a flat rate. The amount partners pay to Salesforce is constant.
● Floor Price: The floor price is the lowest amount partners pay Salesforce regardless of customer pricing.
● PNR % x Monthly Customer Price / Unit = Revenue Share Amount
Examples App Type
Customer
Price/Unit
PNR
Floor
Price
Fixed
Price
Revenue
Share Amount
Product A ISVForce $100 15% NA NA $15
Product B OEM $125 25% 30 NA $31.25
Product C OEM $125 25% 35 NA $35
Product D OEM $45 NA $20 NA $20

10. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Develop Your AppExchange Pricing Strategy
KPIs to Consider:
● Cost per customer
● Cost per feature
● Churn rate
● Customer lifetime value (LTV)
● Customer acquisition cost (CAC)
● Cash flow
Interview Existing Customers/Prospects:
● What would you consider a fair price to pay for our
app?
● At what price would you feel our app is too
expensive?
Average monthly revenue per customer X (# months) customer lifetime = ($) LTV
Customer Acquisition Cost (CAC) =
Sales + Marketing Costs *
—--------------------------------
Numbers of New Customers
3:1 - Ideal ratio for LTV:CAC

11. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Common
Pricing
Mistakes
Determining the
Wrong Value Metric
Only One Pricing Option/Too Many
Price Options
Your Pricing is Static
Hidden Pricing/No-Pricing
Basing Pricing On Your Competitors/ Too Cheap/Very High
Your Upsell Path is
Broken
1
2
3
4
5
6

12. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Similar solution but different pricings based
Mulesoft Composer

13. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
We help Organizations to on-board the Salesforce ISV ecosystem
by realizing their dream idea to listing into AppExchange
and beyond.
Write to us at
pdo@ceptes.com
Q&A

14. Copyright © 2022 CEPTES Software Pvt. Ltd. All Rights Reserved
Thank
You