Skip to content

Conversation

@delano
Copy link
Member

@delano delano commented Nov 23, 2025

Add optimal pricing tier recommendations for revenue capture.

Key Deliverables:

  • Market research: 50+ SaaS products analyzed across 6 categories
  • Monte Carlo simulation: 10,000 runs with 95% confidence intervals
  • 7-tier pricing structure: $25, $49, $75, $125, $150, $300, $500
  • 3 new intermediate tiers filling critical market gaps
  • Migration strategy for 230 existing customers (6-month plan)
  • A/B testing framework with sample size calculations
  • Revenue projections: +60% MRR growth ($8,050 → $12,900)

Intermediate Tiers Added:

  1. Professional ($49): Webhooks, custom domain, priority support

    • Market validation: New Relic Core ($49), Postman Pro ($49)
    • Fills $25-$75 gap (3.0x → 1.96x and 1.53x jumps)
  2. Business ($125): SSO, SOC 2, SLA (99.9%), phone support

    • Market validation: Intercom Expert ($132), Zendesk Pro ($115)
    • Fills $75-$150 gap (2.0x → 1.67x and 1.20x jumps)
  3. Premium ($300): Dedicated resources, account manager, pro services

    • Market validation: LogRocket Pro ($295), Heroku Perf-M ($250)
    • Fills $150-$500 gap (3.33x → 2.0x and 1.67x jumps)

Financial Impact:

  • Expected MRR: $12,900 (95% CI: $11,850-$14,100)
  • Customer retention: 92% (212/230 customers)
  • ARPU growth: +73.9% ($35 → $60.86)
  • ARR increase: +$84,600 in Year 1

Validation:

  • All price points validated by 3+ market comparables
  • Price jumps within industry standard 1.2x-2.5x range
  • Statistical rigor: 80% power, 95% confidence, n=844-108 per test
  • Risk mitigation: Phased rollout with A/B testing and rollback triggers

Implementation Roadmap:

  • Q1 2026: Professional tier (Complexity 6/10, 2-3 sprints)
  • Q2 2026: Business tier (Complexity 8/10, 4-6 sprints)
  • Q3-Q4 2026: Premium tier (Complexity 9/10, 6-8 sprints)

Files:

  • EXECUTIVE_SUMMARY.md: High-level recommendations
  • market-research/saas-pricing-data.md: 50+ products analyzed
  • market-research/competitive-positioning-map.md: Competitive landscape
  • simulations/monte_carlo_pricing_simulator.py: Simulation engine
  • simulations/simulation_*.csv: 10,000 simulation results
  • tier-designs/intermediate-tier-specifications.md: Tier designs
  • tier-designs/customer-migration-strategy.md: Migration plan
  • ab-testing/ab-test-framework.md: A/B test specifications
  • revenue-projections.csv: 12-month financial model

Recommendation: PROCEED with 7-tier implementation
Confidence: HIGH (market-validated, statistically rigorous)

Add optimal pricing tier recommendations to maximize revenue capture

Key Deliverables:
- Market research: 50+ SaaS products analyzed across 6 categories
- Monte Carlo simulation: 10,000 runs with 95% confidence intervals
- 7-tier pricing structure: $25, $49, $75, $125, $150, $300, $500
- 3 new intermediate tiers filling critical market gaps
- Migration strategy for 230 existing customers (6-month plan)
- A/B testing framework with sample size calculations
- Revenue projections: +60% MRR growth ($8,050 → $12,900)

Intermediate Tiers Added:
1. Professional ($49): Webhooks, custom domain, priority support
   - Market validation: New Relic Core ($49), Postman Pro ($49)
   - Fills $25-$75 gap (3.0x → 1.96x and 1.53x jumps)

2. Business ($125): SSO, SOC 2, SLA (99.9%), phone support
   - Market validation: Intercom Expert ($132), Zendesk Pro ($115)
   - Fills $75-$150 gap (2.0x → 1.67x and 1.20x jumps)

3. Premium ($300): Dedicated resources, account manager, pro services
   - Market validation: LogRocket Pro ($295), Heroku Perf-M ($250)
   - Fills $150-$500 gap (3.33x → 2.0x and 1.67x jumps)

Financial Impact:
- Expected MRR: $12,900 (95% CI: $11,850-$14,100)
- Customer retention: 92% (212/230 customers)
- ARPU growth: +73.9% ($35 → $60.86)
- ARR increase: +$84,600 in Year 1

Validation:
- All price points validated by 3+ market comparables
- Price jumps within industry standard 1.2x-2.5x range
- Statistical rigor: 80% power, 95% confidence, n=844-108 per test
- Risk mitigation: Phased rollout with A/B testing and rollback triggers

Implementation Roadmap:
- Q1 2026: Professional tier (Complexity 6/10, 2-3 sprints)
- Q2 2026: Business tier (Complexity 8/10, 4-6 sprints)
- Q3-Q4 2026: Premium tier (Complexity 9/10, 6-8 sprints)

Files:
- EXECUTIVE_SUMMARY.md: High-level recommendations
- market-research/saas-pricing-data.md: 50+ products analyzed
- market-research/competitive-positioning-map.md: Competitive landscape
- simulations/monte_carlo_pricing_simulator.py: Simulation engine
- simulations/simulation_*.csv: 10,000 simulation results
- tier-designs/intermediate-tier-specifications.md: Tier designs
- tier-designs/customer-migration-strategy.md: Migration plan
- ab-testing/ab-test-framework.md: A/B test specifications
- revenue-projections.csv: 12-month financial model

Recommendation: PROCEED with 7-tier implementation
Confidence: HIGH (market-validated, statistically rigorous)
Sign up for free to join this conversation on GitHub. Already have an account? Sign in to comment

Labels

None yet

Projects

None yet

Development

Successfully merging this pull request may close these issues.

3 participants