THE VALUE & PRICING BLOG
The latest stories, blog articles, and pricing news from the Ibbaka team
Digital Twins are transforming manufacturing - an interview with Servitly’s Stefano Butti
Digital twins are a core technology for transforming manufacturing. Ibbaka interviewed Stefano Butti, CEO of our client Servitly on his vision for digital twins and the impact they can have on manufacturing.
Three approaches to value based pricing for SaaS: Approximate, Derived, Direct
There are three main ways to implement value based pricing: approximate, derived and direct. The direct approach is the one that best aligns buyer and seller and that will maximise revenue long term. It can only be applied in certain situations though. Here we outline the three approaches and when to use them.
How Ibbaka prices Ibbaka Valio
Ibbaka helps B2B SaaS companies package and price to optimize for growth. Solutions are delivered through Ibbaka Valio, a software platform to manage value and pricing models and to execute on value based pricing. Here is how Valio is priced.
Questions (and answers) from the PeakSpan Ibbaka webinar on Net Revenue Retention
On October 4th, PeakSpan and Ibbaka gave a webinar on Net Revenue Retention with Sanket Merchant, Srinivas Somayajula and Steven Forth. Here are some of the questions that came up and our answers, as well as a few additional observations.
Pricing and NRR: Five Questions About The PeakSpan Ibbaka NRR Survey Results
The PeakSpan - Ibbaka survey on NRR performance has attracted a lot of interest. Here are five of the most common questions about the report together with the answers. Managing NRR is critical to SaaS performance.
Truncated GBB: A SaaS anti-pattern
Many consider GBB to the gold standard for SaaS packaging and pricing. This is not actually true, but it is a very useful approach for many SaaS companies. Its popularity has led to an anti-pattern, truncated GBB.
Net Revenue Retention Webinar - Unlocking the Secrets to SaaS Success
On October 4th, Ibbaka will join with our partner PeakSpan to give a webinar on the results of the Net Revenue Retention research. Join Sanket Merchant (PeakSpan), Srinivas Somayajula (formerly Calendly) and Steven Forth (Ibbaka) and get insights into best practices in Net Revenue Retention.
Can a ‘no discounting’ policy work for enterprise SaaS?
There is a growing move towards a zero discounting approach to pricing. Can this work for enterprise SaaS? What would be the benefits? Is there a downside?
AI Pricing: AI as extension or platform
ChatGPT was launched less than one year ago but it is already upending SaaS product architectures. Initially we saw many generative AI extensions but we are now seeing the AI as the platform. How will this impact pricing?
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?
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