Every successful platform eventually sees its core functionality get commoditized. There are two completely different strategic responses: 1. separate new high value functionality from the platform or 2. use the new high value functionality to defend the platform price. Be clear which approach you are taking as one can cancel out the other causing both to fail.

There is an unspoken discount that most SaaS companies are faced with. This is the risk discount. Buyers are not sure if your product will deliver the value you claim it will, and that they hope it will, so they levy a risk discount. One way to improve your pricing power and increase your price is to reduce this perceived risk.

Many of our customers put pricing and growth as central to their strategic plans. Understanding pricing power begins with understanding differentiated value provided to customers and then investing in critical actions to communicate and capture it.