THE VALUE & PRICING BLOG
The latest stories, blog articles, and pricing news from the Ibbaka team
Pricing and NRR: The PeakSpan Ibbaka NRR Survey Results
The PeakSpan - Ibbaka survey on NRR performance was conducted in May and June of 2023 and gathered deep data on Net Revenue Retention (NDR or NRR) performance. Data are analyzed by SaaS vertical, packaging architecture, pricing metrics, organizational design and business focus. Overall, NRR is expected to decline slightly in 2023, but with a clear divergence between the best and the rest.
Pricing and NRR: The Six Factors to Manage
The PeakSpan - Ibbaka survey on NRR performance uses the six NRR factors to get deeper insights than is possible with a more generic approach. You have to understand how much each of the factors is impacting NRR in order to put together an effective strategy.
Pricing and NRR: What are the key questions?
At SaaStr, Ibbaka and PeakSpan will be releasing a major survey on Net Revenue Retention (NRR also known NDR for Net Dollar Retention). What are the key business questions that SaaS leaders should be asking about NRR? What are the critical benchmarks?
AI Pricing: Market acceptance of ChatGPT Pro pricing
Open.ai’s ChatGPT has become one of the anchor points for Generative AI pricing. How are people responding to the current pricing? What should Open.ai do next?
AI Pricing: Has Microsoft Copilot set a reference price for other Generative AI Applications?
Copilot for Microsoft 365 pricing has been out for a few weeks now. Some buyers seem to have locked onto this as a reference price for any generative AI product. How should people marketing and pricing generative AI solutions position themselves relative to or away from Copilot?
SaaS discounting practices and pricing
Discounting is part of most B2B sales, especially at the enterprise level. A recent poll found that less than 5% of companies have ‘no discounting’ policies in place. Who can succeed with no discounting? How can discounting be made successful?
What role does pricing play in sustainability
What role should pricing play in sustainability? The place to start is by adding sustainability models to the set of models used to make pricing decisions. Then explore how pricing can nudge people towards the solutions optimize sustainability.
Prepare for landing
It is August, and even our secluded beach is full of tourists, so I propose a slightly lighter take on some of the business initiatives we are working on this summer.
AI Pricing: Shaping the Future of Business Strategies
The fast-paced and ever-evolving world of AI has placed pricing at the forefront of business success. Companies are competing fiercely and adapting to the dynamic demands of customers, with AI taking center stage.
Design choices when pricing the platform with extensions pattern
The platform with extensions pattern is one of the most flexible SaaS packaging patterns. It opens new ways to drive revenue growth. Here is some guidance on how to price SaaS solutions using this pattern.
AI Pricing Studies: Figma AI
Figma is a key application for software application, app and website designers. It has recently introduced Figma AI. How is this priced compared to the other packages?
Pricing AI assistants for productivity suites: Survey Results
The results are in for our survey on price acceptance of generative AI productivity applications. See how much people are willing to pay.
Hugging Face and pricing for community led growth
Community led growth is one of the six growth motions that Ibbaka supports. A current and very exciting example is Hugging Face, the community for Generative AI. Hugging Face provides a great example of pricing for community led growth.
Microsoft puts a price on AI
Microsoft put a price on the AI option for Microsoft 365. US$30 per user per month for Copilot. This has triggered much comment and discussion. And it sent Microsoft’s share price up. We look at the reaction to this pricing and invite you to share your thoughts.
User pricing metrics update
‘Per user’ remains the most common pricing metric in B2B SaaS. But there many different ways to price users. One trending approach is active users. What are the emerging best practices in user based pricing?
How you do anything is how you do everything
Change is everything, and everything is changing. Nothing stands still. Observing the change and acting upon the insights is critical, especially in the dynamic world of SaaS companies. That is why we are adding a new analytics module to the Ibbaka Valio platform.
How to parse a pricing page
Pricing pages are the public face of SaaS pricing. Make a habit of systematically reviewing pricing pages to see what you can learn about your competitors pricing and positioning. Here is a nine step approach to reviewing a pricing page. Zoho Desk is used as an example.
AI pricing studies: Cohere LLM
Cohere offers an alternative Large Language Model and has a nice, clear pricing page. Let’s look at what Cohere’s pricing says about their offer and compare it with Open.ai’s published pricing for GPT.
Pricing and Generative AI
We are being swamped by generative AI content. This is one of the early use cases for generative AI and both large, well established, companies and start-ups like Jasper and Copy.ai are jumping in. Let’s look at how companies are innovating in this space and capturing the value of their innovations.
Evaluating your pricing performance with the Pricing & Value Diagnostic Checklist
The Pricing & Value Diagnostic Checklist serves as a valuable tool to conduct a rapid evaluation of your pricing performance and processes, enabling you to identify areas for improvement and take necessary corrective measures.
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