THE VALUE & PRICING BLOG
The latest stories, blog articles, and pricing news from the Ibbaka team
Generative pricing: agent pricing evolution
AI agents are emerging as a standard way to deliver AI functionality, especially in B2B. This has been underlined by Salesforce’s recent Agentforce announcements. Agent pricing is evolving from inputs and number of agents to actions and outcomes. This evolution is framing how we think about pricing generativeAI.
Adobe positions its approach to generative AI pricing
Adobe is investing heavily in generative AI and has begun to signal how it will approach pricing. It is taking an incremental approach. Price remain anchored in a per seat price, but plans are becoming more flexible, and more expensive!
Generative pricing for AI is a blend of dynamic pricing and value based pricing
Conventional approaches to pricing are not fit for purpose when it comes to pricing generative AI applications for B2B. A new process is needed. Ibbaka is proposing generative pricing, a mashup (or concept blend) of dynamic pricing and value based pricing.
Will Salesforce’s stance on agent pricing frame AI pricing generally?
Salesforce has announced that it will use consumption pricing for its AI agents going forward. Why is Salesforce taking this approach? What are the implications for other Vertical AI companies? Results of our LinkedIn poll.
Pricing thought: OpenAI will price reasoning tokens in o1
OpenAI's o1 models are getting a lot of attention. They are a phase change for how we work with generativeAI. OpenAI has also shared how it will approach pricing of this first version of reasoning models. Reasoning tokens. What are the implications for generative AI pricing generally?
Pricing patterns for generative AI
Most companies monetizing generative AI are using hybrid pricing models where they combine more than one pricing metric. You can see that in the survey we are running to prepare for the Sept. 19 roundtable on monetizing generative AI. What metrics tend to be used together? We ran the data through a Leiden algorithm to find the clusters.
Early Insights from the Monetizing Generative AI Roundtable Survey
Here are some early insights from the survey we are using to inform our Sept. 19 roundtable on generative AI monetization. Michael Mansard, Kyle Poyar and Steven Forth will go deep into the trends in generative AI and how it us being monetized.
SaaS Valuation and Early Exits: An Interview with David Rowat of Strategic Exits
When should you sell your SaaS business? What will determine the value? How important is Net Revenue Retention? How is AI and generative AI changing the environment? Get insights from David Rowat of Strategic Exits.
Interview with Dick Sobel on Pricing Acuity
We had the pleasure of speaking with Dick Sobel, a seasoned professional in the field of pricing, as he shared his journey from the mid-90s to PricePoint Partners. Dick delves into the intricacies of pricing Acuity and sheds light on its applications in the market. Join us as we explore his perspectives on the evolving landscape of pricing, the impact of AI, and advice for those considering a career in this dynamic field.
AI Pricing: Operating Costs will play a big role in pricing AI functionality
SaaS vendors are used to high operating margins where costs are a minor consideration in pricing. AI is changing this. AI is expensive to develop and to operate. Will this change pricing models?
Pricing and Planning: What will shape SaaS pricing in 2024?
In January we did a simple LinkedIn poll asking what will shape SaaS pricing in 2024. The results reflect the current zeitgeist but are we chasing the shiny new thing?
AI Pricing: Microsoft will frame AI pricing in 2024
Microsoft will play a key role in framing AI pricing in 2024. The decisions it makes on packaging, bundling, pricing metrics and pricing levels will act as anchors for buyers of many different applications.
AI Pricing: 2024 will be a year of AI Monetization
If 2023 was the year AI went mainstream then 2024 will see the focus shift to monetization. Ibbaka has conducted extensive research on AI monetization that we are now summarizing in this report.
AI Pricing: Early insights from the AI Monetization in 2024 research
AI Pricing: Early insights from the AI Monetization in 2024 research. Here are some early insights that are emerging: How people view AI, Level of Investment; Percentage of Revenues that will come from AI.
AI Pricing: AI monetization in 2024 survey
Large amounts of money have been invested in AI, especially generative AI, and there have been many AI and AI enabled product launches. How will companies monetize their investments in AI innovation? Take this survey and we will share the results.
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