

However, subscription-based pricing can be complex to set up and manage.

This pricing model is often the fairest to customers, as they only pay for the time they use the software.

In this model, users pay a recurring fee, typically on a monthly or annual basis, to access the software. Subscription-based pricing is the most common SaaS pricing model. Now that we’ve covered the basics, let’s take a closer look at each of these SaaS pricing models. It depends on your business model, goals, and target market. Ultimately, there’s no “right” way to price your product. Some others, like HubSpot, use a freemium model where they offer a basic version of their software for free and charge for premium features. For example, they might offer a subscription with usage-based pricing for additional features. Some companies mix and match these models to create a hybrid pricing strategy. This is similar to usage-based pricing, but it’s typically measured in a more abstract way, such as the number of “projects” or “teams” they create.
