Pricing and packaging is one of the most important levers that subscription businesses can pull to drive growth. Super-growth companies know that taking a strategic approach to monetizing services is critical to their success. In this all-star session, Price Intelligently will moderate a panel of execs from some of the biggest names in SaaS. Topics include the up-market journey, pricing model shifts, creating and managing cross-sell and upsell strategies, and using subscriber identity to optimize pricing.
3. Your panel today
page
03
Patrick Campbell
Founder & CEO
Price Intelligently
Neal Patel
Director of BD
Crunchbase
Nick Nelson
CSO
StackPath
Rachel Obstler
VP of Product
PagerDuty
4. what we’ll walk
through today
page
04
why pricing?
1
Let’s walk through the
foundations of why pricing is
now crucial.
mastering
cross/upsellsHow do you manage to properly
cross-sell and upsell with multiple
products?
2
5. page
05
freemium to
enterprise
3
Utilizing a freemium strategy while
still targeting the enterprise, as
well.
value alignment
4
Understanding what your
customer values and how they
buy
what we’ll walk
through today
(continued)
17. Growing through cross/up-
sells
page
017
Nick Nelson, CSO at
StackPath
StackPath is an intelligent web services platform for security, speed
and scale. Secure content delivery network, DDoS and WAF protection
from a single, unified platform.
18. 2
45
2
PoPs
1 Scheduled by end of year 2017
2 Multiple PoPs in major cities worldwide
• Founded 2015 by cloud industry
veterans including SoftLayer
cofounder and CEO Lance
Crosby.
• Services include SecureCDN
with built-in Web Application
Firewall and DDoS mitigation.
• Trusted by businesses of all
sizes, including:
10-201
Tbps
30K
Customers
Secure edge services delivered at cloud
scale.
1
29
1
Cities
stackpath.com
19. Monthly Packages, No Long-Term Commitment
200 800 2,000 7,500 *25,000*
GB/mo GB/mo GB/mo GB/mo GB/mo
Included SecureCDN Sites 5 10 50 250 Unlimited
All Platform PoPs ✓ ✓ ✓ ✓ ✓
DDoS Mitigation ✓ ✓ ✓ ✓ ✓
Web Application Firewall ✓ ✓ ✓ ✓ ✓
Full-site Acceleration ✓ ✓ ✓ ✓ ✓
EdgeRules™ ✓ ✓ ✓ ✓ ✓
Origin Shield ✓ ✓ ✓ ✓ ✓
Real-time Analytics ✓ ✓ ✓ ✓ ✓
SSL Support ✓ ✓ ✓ ✓ ✓
24x7 Technical Support ✓ ✓ ✓ ✓ ✓
Dedicated Technical Account Manager ✓ ✓ ✓
Net Terms ✓
Raw Logs ✓
Additional Global Bandwidth $0.06/GB $0.05/GB $0.04/GB $0.03/GB $0.02/GB
$20/mo
$60/mo
$100/mo
$300/mo
$600/mo
* Customized packages and pricing is available for consumption of more than 25,000GB/month. stackpath.com
20. Growing through cross/up-
sells
page
020
Monetization Points
Grew through product
consolidation
Focused supremely on cross-
sells and up-sells to spur growth
Recently launched usage based
pricing
Nick Nelson, CSO at
StackPath
StackPath is an intelligent web services platform for security, speed
and scale. Secure content delivery network, DDoS and WAF protection
from a single, unified platform.
23. Utilizing freemium for
prosumer and enterprise
sales
page
023
Neal Patel, Director of BD at
Crunchbase
Crunchbase is the leading platform to discover innovative companies
and the people behind them. Used by millions of entrepreneurs,
investors, and analysts every month, the Crunchbase Dataset is
constantly expanding through contributions from our community.
24. Utilizing freemium for
prosumer and enterprise
sales
page
024
Monetization Points
30M free users monetized
through prosumer and
enterprise offerings
Started on the low end and
evolved into the enterprise
Wide range of use cases
complicated packaging
decisions
Neal Patel, Director of BD at
Crunchbase
crunchbase is the leading platform to discover innovative companies
and the people behind them. Used by millions of entrepreneurs,
investors, and analysts every month, the crunchbase Dataset is
constantly expanding through contributions from our community.
introduction to crunchbase
#1 place
to find information
on innovative
companies
sell to
market to
partner with
work for
research
integrate
acquire
invest in
buy from
find companies to…
25. Utilizing freemium for
prosumer and enterprise
sales
page
025
Monetization Points
30M free users monetized
through prosumer and
enterprise offerings
Started on the low end and
evolved into the enterprise
Wide range of use cases
complicated packaging
decisions
Neal Patel, Director of BD at
Crunchbase
crunchbase is the leading platform to discover innovative companies
and the people behind them. Used by millions of entrepreneurs,
investors, and analysts every month, the crunchbase Dataset is
constantly expanding through contributions from our community.
introduction to crunchbase
#1 place
to find information
on innovative
companies
sell to
market to
partner with
work for
research
integrate
acquire
invest in
buy from
find companies to…
crunchbase.com
crunchbase evolution
crunchbase
pro launch
2007
Sept.
2015
spin-out
from Aol
Sept.
2016
Feb.
2017
enterprise
launch
26. Utilizing freemium for
prosumer and enterprise
sales
page
026
Monetization Points
30M free users monetized
through prosumer and
enterprise offerings
Started on the low end and
evolved into the enterprise
Wide range of use cases
complicated packaging
decisions
Neal Patel, Director of BD at
Crunchbase
crunchbase is the leading platform to discover innovative companies
and the people behind them. Used by millions of entrepreneurs,
investors, and analysts every month, the crunchbase Dataset is
constantly expanding through contributions from our community.
basic
free
crunchbase’s current offerings
pro
$29/mo
starting at
enterprise
$99/mo
5 seat min, billed
annually
applications
custom
27. Utilizing freemium for
prosumer and enterprise
sales
page
027
Monetization Points
30M free users monetized
through prosumer and
enterprise offerings
Started on the low end and
evolved into the enterprise
Wide range of use cases
complicated packaging
decisions
Neal Patel, Director of BD at
Crunchbase
crunchbase is the leading platform to discover innovative companies
and the people behind them. Used by millions of entrepreneurs,
investors, and analysts every month, the crunchbase Dataset is
constantly expanding through contributions from our community.
28. Value Alignment
page
028
Rachel Obstler, VP of Product at
PagerDuty
PagerDuty is your fastest path to incident resolution, helping IT
Operations and DevOps teams deliver on the promise of agility,
performance, and uptime.
29. $1.50
$0.74
$0.51
$0.32
$0.73
$0.12
$0.09 $0.05
$1.13
$0.27
$0.20
$0.13
$0.00
$0.25
$0.50
$0.75
$1.00
$1.25
$1.50
New Logos Up-sell/Cross-sell Usage Renewal
Source: Pacific Crest Survey of 174 SaaS companies
Varying Cost of Acquisition
Customer Acquisition Cost for $1 of
ACV
25th percentile
Median
75th percentile
“Expand” revenue is
dramatically cheaper
to generate than new
logo revenue
Up-sell/Cross-sell =
24% of new logo CAC
Expansion =
18% of new logo CAC
Renewals =
12% of new logo CAC
30. NAME
ROLE
YEARS IN ROLE
KNOWN AS
Rishi Haisa
Developer/On Call Engineer
1.5
Solving up-to-minute problems, juggling
many tasks, occasion critical problem
assigned to him
Being a codeslinger
SPENDS TIME ON
Buyer’s
Priorities
●Build software
●Deploy new features without roadblocks
●Fix bugs and issues with newly deployed code
●Learn new skills and working on high-value and
interesting features
Buyer’s
Needs/
Issues
●End-to-End view of application metrics and logs
●Understanding how deployments impact application
performance
●Spending too much time during troubleshooting-
searching for issues/bugs
●Understanding customer impact of their work
●Minimizing operational load
Common
Tools
●Design and Develop - git/GitHub/GitLab/Bitbucket,
visual studio
●Continuous integration/build/delivery - Jenkins, maven,
artifactory, Bamboo, TeamCity, TravisCI, CircleCI
●Application Performance Monitoring - New Relic,
AppDynamics, Dynatrace
●Workflow/Collaboration tools: JIRA, Trello, Asana,
Microsoft VSTS, BMC Remedy
Developer Persona
31. Value Alignment
page
031
Monetization Points
Understanding the customer
persona
Clear value alignment on pricing
metric
New features: upsell vs.
inclusion
Rachel Obstler, VP of Product at
PagerDuty
PagerDuty is your fastest path to incident resolution, helping IT
Operations and DevOps teams deliver on the promise of agility,
performance, and uptime.
32. Let’s review
page
032
01
Monetization Matters
More than ever, monetization is an
absolutely crucial piece of success in
growth, especially if you’re a larger
company.
03
Pricing is Iterative
We won’t all have 30M free users, but
iteration is key to making sure your pricing
is always evolving, no matter your buyer
personas
02
Cross/Up-sells are
CrucialYou may not be buying a bunch of
companies like StackPath, but you need to
help push your expansion revenue closer to
30%+ of total sales.
04
Reflect Customer Value
Align pricing to value and treat organic
growth as a first class goal for product
investment