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Adventures in pricing! (Santiago Uribe Montoya, AppSheet)

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The Small Business Web Summit 2017 (San Francisco, CA).

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VIDEO: https://www.youtube.com/watch?v=R4kLKxd2YNY

Adventures in pricing!
by Santiago Uribe Montoya, VP Marketing, AppSheet

Published in: Marketing
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Adventures in pricing! (Santiago Uribe Montoya, AppSheet)

  1. 1. Adventures in Pricing! Some paths we took, some things we broke, and what we learned along the way
  2. 2. 2 What if ANYONE can create business apps? • As easily as a spreadsheet • With the elegance of consumer apps • Distributed easily to app users • Customized for the business usage scenario • Securely connected with corporate data
  3. 3. LEVEL 1-1 When we made the app editor free
  4. 4. WHAT TYPE OF BUSINESS ARE WE? Charge for Hosting? Charge for the tool? Charge for users?
  5. 5. 6 Assembly Line Consultant “I need to collect accurate data from workers on the assembly line across locations without paper or delays” Sales Manager “My sales reps are responsible for setting up Pepsi displays in stores. They have to report progress with photos” Chemical Technician “We need to inspect our storage tanks and record location and chemical levels in an efficient way” Cattle Trader NGO Founder Harbor Pilot Captain Police Sergeant VP of IT (Retail) Director of IT (Construction) Small Business Non-Profit IT LOB Engineering Ops Warehouse Ops LET ANYONE BUILD APPS
  6. 6. LEVEL 1-2 When we let some creators pay $1
  7. 7. App Users Apps Feature Set Duration Total Cost 20 10 Premium 12 $12,000 500 1 Public app 12 $240 1 1 Standard 2 $2 HOW CAN WE MAKE IT SELF SERVICE? Initial plans: Per user and Per App
  8. 8. “$20 per month is to low to go through It approval, but $20,000 is too high to recommend” Too Cheap!.... Too Expensive!
  9. 9. LEVEL 1-3 When we switched to all-you-can-eat
  10. 10. LEVEL 1-4 When we started enforcing payment
  11. 11. Users will pay when they see value But if they are not reminded to pay… they won’t 4/2/16 4/16/16 4/30/16 5/14/16 5/28/16 6/11/16 6/25/16 7/9/16 7/23/16 8/6/16 8/20/16 9/3/16 HOW IS MRR GOING? Started enforcing payment
  12. 12. LEVEL 2-1 BigCo wants to talk …
  13. 13. Summary Your pricing model must derive from your business philosophy Identify where you can bring the most value and differentiate You won’t really know what makes sense to your customers until put it in front of them Check out Mattermark Daily (March 20) for insights on pricing THE PRICING MODEL KEEPS EVOLVING

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