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The Complete Guide to SaaS Pricing Strategy

Tom Tunguz

Many mid-market software companies price with the goal of revenue maximization, negotiating for the highest possible price in each sale. There are exceptions: Oracle’s database, Tanium’s security product, Workday’s human capital management software. AWS, Twilio, Heroku, etc.

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The Critical Question Facing Web3 Infrastructure Startups

Tom Tunguz

That’s much more work than the automatic credit card payment with AWS. First, the ecosystem decides that infrastructure payments should occur in stablecoins - like USDC or UST. Perhaps this dynamic drives consolidation in the market, paralleling the web2 infrastructure hypermarts of AWS, GCP, and Azure.

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Is it Really ARR? In 2021+, Yes. As Long As NRR is > 100%

SaaStr

50% revenue from software (recurring), 50% from payments (not-recurring). . Half of its revenues comes from its software. And yes, it’s a software company. Fast forward to day, Merchant Solutions is a much larger share of revenue than software subscriptions. 220m in ARR, $13B market cap.

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What’s New At WorkOS and What It Takes To Be “Enterprise-Ready” in SaaS with WorkOS CEO and Founder Michael Grinich

SaaStr

Smaller companies have become more sophisticated in the tools they use, the IT systems, and automation for onboarding and offboarding, and all of that has resulted in needing to plug stuff into the tools you’re using quickly. If you want payments, sign up for Stripe. Which is why it’s almost a misnomer to call them Enterprise features.

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Thanks to Bee, ChartMogul, Maast, SecureFrame, and StratusGreen for Sponsoring SaaStr Annual 2023!

SaaStr

Our mission is to build powerful and secure cloud software for subscription businesses of all sizes, with a strong emphasis on good design and ease of use. Maast offers payments, banking, lending and more as features in software provider’s platforms – with one relationship, contract and integration.

Payments 264
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Thanks to Unit, Everstage, Aiven, Zip, and Mission Cloud for Sponsoring SaaStr Annual 2022!

SaaStr

Unit helps tech companies build financial features into their products: accounts, cards, payments, lending & more. Each request is correctly routed for approval across procurement, finance, IT, data security, legal, and other teams, and Zip integrates into all major ERP and P2P solutions to create a PR or draft PO.

Cloud 275
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Snowflake, CrowdStike and SumoLogic: “How to Leverage the Cloud Giants to Scale to 100 Million ARR and Beyond”

SaaStr

And it’s one of the three large cloud vendors that we all know: Microsoft, AWS, and Google. AWS’s marketplace has seen 1.5 So the ability to do flexible payment plans, financing, retire that pre-committed spend has been a really significant a way for us to accelerate and amplify our transactions.

Scale 262