Determining Your Saas Price

Determining your Saas Price is an important thing that you need to do. Many people are interested to learn about Software as a Service (SaaS). When you are planning to launch a new software to the market, you have to analyze the price of your software. There are several important things that you should consider before launching your software. By looking at these factors, you should be able to determine the right price structure for your software. Many experts agree that these simple tips are very useful to help all people sell their software on the Internet easily.

1. Determine the trial period

If you want to get success in selling your software to other people, you should give trial version for them. Most computer users are looking for the best software that comes with trial period. They are going to try their favorite apps before they use these applications for improving their business performance. As a software developer, you have to determine the trial period for your software. Make sure that you determine on how long you are going to offer the trial version. Most developers usually have 30 days trial period for their software.

2. Decide how often you are going to charge your customers

When you decide your SaaS price, you have to determine how often you are going to charge your customers. This billing period is very important to create your price structure. Most applications are offered for all clients at monthly, quarterly, or yearly subscription. You can choose the best billing period that is suitable for your needs. You should also consider the fact that your customers are able to cancel their subscription at anytime they want. Therefore, you should also check the retention time before you decide the price structure and billing period for your software.

3. Single or multiple plans

This is another important thing that you have to consider when determining the price of your SaaS. Single plan is usually created to differentiate the free member with the paid member. Many applications are offered at this single plan. This plan is very simple for most software developers. This plan is usually created for most individuals instead of business owners. The multiple plan is created to give flexible options for all users. Therefore, your customers can choose the right package that is suitable for their budget and needs. You can determine the price of your SaaS based on this decision. Therefore, you have to decide whether you are going to use single or multiple plans for your software.

Those are some important factors that you have to consider properly. Many software developers also use similar factors, so they can create the best software for their customers. It is very important for you to analyze the price of your software very carefully. The price analysis becomes very important to support your business performance. Don’t forget to do some market research, so you can analyze the ability of your customers to pay your software. Therefore, it is recommended for all software developers to have proper analysis for determining their SaaS price.


Omri is the Head of Demand Generation, as well as the Lead Author & Editor of the SaaSAddict Blog. Omri established the SaaSAddict blog to create a source for news and discussion about some of the issues, challenges, news, and ideas relating to SaaS and cloud migration.