Changing pricing plans by renaming and increasing prices

Bidsketch
Productivity, Software (SAAS)
Pricing
Pricing, Value proposition
April 2012
+100%
revenue
 
Bidsketch is a software product to create proposals. Ruben – the founder of Bidsketch – was struggling with his pricing plans. He decided to research his customers and test his pricing plans.

Research

Customer segments
Ruben found out that he had 3 main customer segments:

  • Freelancers – a one person business that creates one to two proposals a month.
  • Studio – small business with one person creates proposals.
  • Agency – multiple people creating proposals.

Plan features
Ruben also decided to adjust the plans – based on the features that the 3 segments required.

Pricing
He started with tiers $9 / $19 / $49 and started raising prices.

Hypothesis

 Focussing the pricing plans on the 3 customer segments will increase the revenue.

Results

Monthly revenue doubled with these changes.

Learnings

Having the right plans is an incredibly important and also difficult for a SAAS product.
The success of this case is based on the thorough customer research. That will lead to your ideal customers, the features they need and the price they are willing to pay.

Source: www.extendslogic.com
Company Bidsketch
Website www.bidsketch.com
Market Productivity, Software (SAAS)
Test data
Test element Pricing
Page Pricing
Conversion principle Pricing, Value proposition
Result +100% revenue

Leave a Reply

You must be logged in to post a comment.