Pricing Your SaaS
Most SaaS products are underpriced. Founders set prices based on fear rather than value, and leave 30-50% of potential revenue on the table. This course teaches value-based pricing from first principles: how to quantify the value you deliver, design pricing tiers that convert, structure a pricing page that sells, and raise prices without losing customers.
What you'll learn
Course outline
Free — no account needed
Why Most SaaS Products Are Underpriced
The psychological reasons founders underprice — and why it is a strategic mistake with a simple fix
Value-Based Pricing — Charge What You're Worth
How to quantify the value you deliver and use it to set prices customers accept
Pricing Page Design — Tiers, Anchoring, and Positioning
The tier structure that converts, the anchoring psychology that frames price, and the copy that sells
Full course — $39 one-time
Freemium, Free Trial, or Demo — Which Conversion Path Fits
The decision framework for your acquisition model — matched to your product, market, and growth goal
Annual vs Monthly — How to Shift the Mix
Why annual pricing is better for everyone — and how to get more customers onto it
Pricing for Different Customer Segments
Why the same product should cost different amounts for different customers — and how to implement it
Raising Prices — When and How to Do It Without Losing Customers
The strategy and communication approach that lets you charge more without a customer revolt
Get the full course
7 lessons — from value-based pricing to raising prices and maximising annual revenue.
Written by the RadarTrek editorial team · Reviewed June 2026
About this course
Pricing is one of the highest-leverage decisions in a SaaS business — a 10% improvement in pricing has three times the impact on bottom line as a 10% improvement in acquisition. Learning SaaS pricing means understanding pricing models, how to position pricing tiers, how to communicate value rather than cost, and how to run pricing tests that reveal willingness to pay without damaging existing customer relationships. This SaaS pricing tutorial covers both the strategy and the practical execution.
Founders almost universally underprice their products, leaving significant revenue on the table because they are uncomfortable charging what their product is worth. After this course you will be able to identify the right pricing model for your product category, design a tier structure that maximises revenue across customer segments, write pricing page copy that frames value effectively, and run structured pricing experiments.
Frequently asked questions
What is the right pricing model for SaaS — flat rate, per seat, or usage-based?
Flat-rate pricing (one price for all features) is simple and predictable for customers but leaves money on the table from heavy users. Per-seat pricing scales naturally with company size and is common in team tools. Usage-based pricing aligns your revenue with customer value delivery and scales with success, but makes revenue less predictable. The best model depends on your value metric — what customers pay more for as they get more value from your product.
How many pricing tiers should I have?
Three tiers is the most common and effective structure: Starter (entry-level, captures price-sensitive customers or solopreneurs), Pro or Growth (the target tier for most customers, feature-rich), and Enterprise or Scale (high-touch, custom pricing, large organisations). A fourth free tier works well for products with strong product-led growth dynamics. More than four tiers creates choice paralysis; fewer than three limits revenue expansion opportunities.
How do I know if I am underpricing?
Signs of underpricing: very low churn (customers would pay more to keep access), customers say the price is much lower than expected, you are attracting low-quality customers who request lots of support but generate little revenue, competitors price significantly higher, and your gross margin is lower than it should be. The classic validation test: if fewer than 20% of prospects say your price is too high, you are almost certainly leaving money on the table.
What is a value metric and how do I find mine?
A value metric is the unit you charge for that aligns with how customers experience value from your product. Examples: seats (team tools), MAUs (consumer apps), API calls (infrastructure tools), contacts (email platforms), projects (project management). A good value metric scales with customer usage, is easy for customers to understand, and grows as customers get more value. Finding your value metric requires talking to customers about which outcomes they pay for.
How should I communicate price increases to existing customers?
Communicate increases early (30–60 days notice), explain the value added since they last paid (features shipped, support improvements), offer a period at the old price as a loyalty benefit, and make the process of staying simple. The biggest mistakes: raising prices without adding value, surprising customers without notice, and making it easier to cancel than to stay. Most well-communicated price increases have churn rates well below 10%.