2d (edited) • Pricing & Packaging Strategy
Separating cost vs value: credits vs fixed pricing
Just watched a webinar "The hidden cost of hybrid pricing" (by Nue), where the panelists discuss challenges with unpredictable revenue due to credit-based pricing.
Here's what I understand is the key takeaway from the hour-long discussion.
Credit usage is unpredictable = revenue might fluctuate and becomes unpredictable too.
Recommendation:
1) Use credit to cover cost for features that aren't unique to the SaaS platform.
Example: credits for LLM usage.
2) Apply value-based pricing (subscriptions or some other fee) for unique value your platform provides.
Example: workflows, actions and other outcomes the customer cares about
Are you structuring your pricing this way as well (credits for cost, non-credit for value), or do you apply credits to everything?
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Separating cost vs value: credits vs fixed pricing
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