Street Pricing with Marcos Rivera

Marcos Rivera

You’re listening to the Street Pricing podcast - The only show where proven SaaS leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Enjoy, subscribe, and tell a friend. Now, let’s break it down with your host and sought-after slayer of bad pricing, Marcos Rivera. read less
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Episodes

Why Good Better Best Didn't Work...at First | Katie Wei (Cloudinary)
3d ago
Why Good Better Best Didn't Work...at First | Katie Wei (Cloudinary)
Today we welcome extraordinary pricing strategist Katie Wei, Director of Pricing Strategy at Cloudinary. Starting from her early days in accounting and software, Katie reveals her journey into the intricate world of pricing strategy and her two-decade-strong passion for the field. She gives us a candid look into the art of handling pricing objections, her unique approach to sales management training, and a teaser of her upcoming keynote address at the Professional Pricing Society conference.     We tackle the significance of pricing in leadership and its role in shaping company dynamics. Katie provides insight into the intricacies of navigating senior leadership, showcasing pricing as a powerful, often underestimated, tool for addressing complex business issues like customer retention. We delve into the RACI matrix for managing multifaceted projects and how to demonstrate the strategic value of pricing expertise beyond just crunching numbers. Katie shares the importance of leveraging data and customer feedback, using tools like 'dollarization' to help customers see the tangible value of products and services. We encourage listeners to reevaluate their current pricing strategies and better capture the value they deliver.  In this episode:  (00:00) Elevating Pricing Team Excellence in Business - Pricing ninja Katie Wei shares insights on handling objections, training in sales, and elevating pricing teams to a strategic level.  (12:47) Strategic Pricing and Leadership - Strategic pricing, consensus-building, RACI matrix, demonstrating value, finding a ‘vacuum’, and navigating challenges in organizational leadership.  (24:49) Future of Outcome-Based Pricing - Align customer value with revenue growth, use data to calculate impressions, gather feedback, 'dollarization' technique, and outcome-based pricing models. How Cloudinary functions - bandwidth, conversions, and revenue.  (34:44) Capturing Value - Reassess pricing strategies based on outputs, not inputs. AI and watching how it plays out,   (36:00) Favorite jam of all time - Katie changes with the times, as listening to new music keeps you young, but “when the s*%# hits the fan”, she loves Tom Petty.  Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting! From
The Art of the Pivot: Why Freemium Failed | Rob Litterst (HubSpot, Pricing SaaS)
Apr 30 2024
The Art of the Pivot: Why Freemium Failed | Rob Litterst (HubSpot, Pricing SaaS)
Unlock the secrets to skyrocketing your SaaS business with pricing strategies from none other than Rob Litterst, the pricing prodigy with HubSpot roots and co-founder of Pricing SaaS. We get the scoop on how Rob transitioned from sales to becoming a strategy maestro at ProfitWell, and we explore the transformation from broad freemium offerings to cultivating lasting relationships with high-value customers. The nuances of SaaS pricing emphasize the necessity for patience and a willingness to adapt as you shape features that resonate with paying users.    Finally, we gaze into the crystal ball to predict the future of SaaS pricing models, weighing up HubSpot's cutting-edge tactics against those of the industry heavyweights like Salesforce. The conversation takes a turn into the potential revolution that AI brings to the pricing table, enhancing how we process data and complement human expertise. And because every memorable episode needs a quirky finale, Rob and I take a nostalgic trip down music lane, reminiscing about the iconic tunes that shaped the soundtrack of our lives.    In this episode:  (0:00:00) Rob Litterst delves into his evolution from sales to a strategic role at ProfitWell, and his insights into SaaS pricing's critical role in growth. The discussion offers SaaS operators valuable perspectives on using data to drive pricing decisions, and how Rob applies his theoretical knowledge to his SaaS company, Pricing SaaS.  (08:55) Navigating Pricing Strategies in SaaS - In this segment, we delve into the transformation of a SaaS business from a freemium model to one that focuses on cultivating relationships with high-value, invested customers. The conversation highlights the lessons learned from this shift, emphasizing the importance of adaptability, patience, and the strategic decision to provide accessible pricing expertise to a market hungry for data-driven guidance.  (17:35) HubSpot's Pricing Model and Sales Strategy - HubSpot's early innovative pricing strategy and its consultative sales approach that helped establish customer trust. Rob discusses the benefits of a tiered pricing model that was aligned with customer growth and how this approach not only made economic sense but also supported product-led sales.  (21:58) Looking Forward - Pricing Models in SaaS - The future of SaaS pricing models, with a particular focus on HubSpot's blend of feature-based and consumption-based pricing. Contemplating the evolution of CRM pricing and the trend toward hybrid models, considering the impact of AI on developing innovative pricing strategies.  (28:20) AI and Pricing - The dialogue turns to the role of AI in enhancing SaaS pricing models and the emergin
When good bundles go bad (and how to fix them) | Cameron Barragan (Blue Star Innovations)
Apr 16 2024
When good bundles go bad (and how to fix them) | Cameron Barragan (Blue Star Innovations)
Ever wondered how the leaders of the software world conjure up pricing strategies that turn pixels into profits? Cameron Barragan of BlueStar Innovation Partners joins us to share the secret sauce behind his SaaS success. Cameron highlights the fine art of crafting pricing models that resonate with customers and bolster the bottom line. From tackling the tricky terrain of post-acquisition pricing integration to the enlightened approach of bundling products for growth, Cameron's insights illuminate the complex dance between monetization and customer satisfaction.  By marrying core and ancillary products into irresistible bundles, our conversation underscores the magic of a well-crafted offer in boosting average revenue per user and ensuring the longevity of a SaaS venture. As we wrap up, we wade into the economics of strategic bundling, balancing the scales between enhancing customer value and maintaining healthy internal profit and loss accounts. We peer into the future of emerging tech, such as generative AI, and how it is poised to reshape the pricing and packaging landscape.    In this episode:  (0:00:00) Pricing Strategies in SaaS Industry - Cameron Barragan discusses the complexity of SaaS pricing strategies and the importance of an operator-forward approach in investment decisions. He highlights how M&A expertise can enhance portfolio growth and addresses the challenges of integrating acquired products into existing pricing structures.  (0:10:49) Simplifying Buyer Journey for Success - The conversation delves into the benefits of streamlining the sales process to improve the buyer's experience and company economics. It emphasizes the successful integration of core and ancillary products, the strategic implementation of annual price increases, and the importance of natural buying experiences aligned with customer behavior.  (0:15:44) Maximizing Value Through Strategic Bundling - Cameron and the host explore the delicate balance of product bundling, discussing the internal barriers due to separate product P&Ls and the need for economic incentives. They advocate for bundles that enhance customer value and company growth, while considering the organizational alignment needed to support effective product combinations.  (0:23:08) The Economics of SaaS Bundles - This segment examines the strategic considerations behind SaaS revenue models, focusing on revenue predictability, market conditions, and the impact of technology like generative AI on pricing and packaging. It emphasizes the importance of well-thought-out bundling strategies to increase product usage, contract value, and retention.  (0:31:15) Favorite jam growing up - Sublime and the surfing wo
Mastering Consistency for Scalable Success | Karan Sood (Rakuten Kobo, Inc)
Apr 2 2024
Mastering Consistency for Scalable Success | Karan Sood (Rakuten Kobo, Inc)
Imagine navigating the complex terrain of pricing strategies with none other than Karan Sood of Rakuten Kobo, a virtuoso of sales operations. We peel back the layers of traditional cost-based models and reveal the intricate dance of value-driven pricing. As Karan recounts tales from his time in the automotive trenches, where static pricing was a missed opportunity, we're reminded that the price tag hanging off products isn't just a number—it's a story of market life cycles and competitive choreography.    With case studies in hand and compensation models flipped on their heads, Karan breaks down the metamorphosis of pricing, and how value communication is the game-changing strategy that keeps the cash registers ringing. As we gaze into the crystal ball of pricing's future, Karan and I dissect the up-and-coming world of outcome-based models—where tech payments are entwined with measurable results, thanks to the surgical precision of AI.    In this episode:  (0:00:00) Evolution of Pricing Models - Discussing the shift from cost-based to value-driven pricing, emphasizing the need to adapt pricing strategies to a product's lifecycle and market saturation.    (0:08:46) Digital Transition in Advertising - Karan’s transition from automotive into traditional print to digital advertising and the challenges of measuring value, change management, and customer adaptation during this transformation.  (0:16:48) Market Dynamics and Pricing - The importance of staying current with industry evolution and consumer trends to align pricing strategies with market changes, and the distinction between perceived and economic value in pricing.  (0:28:59) Outcome-Based Pricing in Tech - Exploring the tech industry's move towards outcome-based pricing models, the role of AI in measuring success, and the associated legal and revenue considerations.  (0:36:10) Favorite 90s hip-hop jam and what Biggie might be doing in today’s world  Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting! From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.
How we raised prices without pushback | Rob Merklinger (Influitive)
Mar 19 2024
How we raised prices without pushback | Rob Merklinger (Influitive)
Unlock the potential of customer engagement while avoiding the pitfalls of complex pricing models with Rob Merklinger, the CRO and SVP at Influitive. We unravel the sophisticated journey of pricing strategy revamps, providing you with the blueprint for aligning your price points with the perceived value to your customers. Our discussion is peppered with insights into Influitive's pivotal shift towards a simplified, tiered pricing structure that not only fosters transparency but also reinforces upselling, cross-selling, and customer retention.   We dissect the mechanics of shifting perceptions from being "nickel and dimed" to feeling valued, and how this delicate balance requires adept salesmanship and cross-departmental collaboration. Rob offers a play-by-play on how his team trained for tough conversations about pricing changes, ensuring customers felt like partners in the process, not just revenue sources. The episode is a treasure trove of insights for businesses eager to enhance engagement and growth without sacrificing their bottom line or customer happiness.   In this episode:  - Customer Engagement Pricing Strategies -  Rob Merklinger shares how customer feedback initially influenced Influitive to rethink its pricing model. The goal was to create a simplified pricing model that was in line with the value perceived by customers, thus enhancing upselling, cross-selling, and customer retention.  - (08:31) Overcoming Internal Challenges - Internal hurdles faced when changing perceptions about pricing. The focus is on the need for understanding and adjusting to these changes within the organization.  - (12:31) The Role of Cross-Departmental Collaboration -  The critical role of cross-departmental communication in implementing the new pricing model. Rob discusses how various departments came together to make the transition smooth.  - (17:01) Preparing the Sales Team - The importance of adequately preparing the sales team to discuss price increases with customers and be well-versed with the new pricing structure.  - (21:01)The Power of Customer Feedback - How customer feedback positively impacted pricing changes. Rob underscores the importance of making sure that customers perceive the new pricing structure as fair.  - (25:01) Favorite 90s hip hop jam    Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all st
How to deliver value before your customer buys | Kyle Poyar (OpenView Partners)
Mar 5 2024
How to deliver value before your customer buys | Kyle Poyar (OpenView Partners)
Today Kyle Poyer, operating partner at OpenView and a former pricing strategist at Simon Kutcher, shares his seasoned perspective on the SaaS pricing journey. As we walk through the evolution of pricing strategies, Kyle reveals the pivotal moments B2B software companies face as they transition from undervaluing their offerings to recognizing their true worth and the need to increase average contract values. Our stroll down memory lane uncovers the alignment in our approaches to pricing, highlighting the crucial practical aspects of monetization and the impact of pricing decisions on company growth.   Explore the cutting-edge intersection of Product-Led Growth (PLG) and traditional sales strategies, and the misconception that PLG equates to sales-free operations. As the SaaS industry continues to evolve, we examine the role of AI in shaping future pricing models, pondering the potential of usage-based and success fee approaches. Kyle and I also discuss the significance of simplifying contracts and smart partnerships, such as those with cloud providers, to streamline the buying process. Tune in for a trove of actionable insights that could be the game-changer for your SaaS pricing strategy.   In this episode:   (0:00:00) Evolution of Pricing in SaaS - Kyle Poyer offers a comprehensive discussion on the history and evolution of pricing in the SaaS industry. He highlights the strategies that have evolved from initially underpricing products to recognizing the true value they provide.  (0:04:25) Pricing Strategy Evolution in SaaS - There has been a significant increase in the Annual Contract Value (ACV) among SaaS companies. As these startups grow more confident, they are able to better identify their ideal customers and tailor their services accordingly.  (0:15:47) Evolution of SaaS Pricing Strategies - Misconceptions surrounding the Product-Led Growth (PLG) model in SaaS are effectively addressed and debunked. The integration of PLG with sales is shown to be a successful approach for user acquisition and retention.  (0:27:24) Future of Pricing With AI - The talk delves into the potential impact of AI on future pricing models and the implications for the SaaS industry. Specific strategies that could benefit B2B SaaS companies are highlighted and explored in detail.  (0:38:46) - Favorite (secret) jam growing up   Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer
How we tripled our ASP by being proactive with pricing | Rohit Chhabra (W Energy, Omnigo)
Feb 20 2024
How we tripled our ASP by being proactive with pricing | Rohit Chhabra (W Energy, Omnigo)
Have you ever felt tangled in the web of SaaS pricing strategies, wishing for a guiding light? Well, look no further, because Rohit Chhabra, Chief Product & Technology Officer at W Energy is here to unravel the complexities of SaaS monetization. In our conversation, we dissect the art of aligning pricing models with both product lifecycles and market penetration goals. Rohit shares stories about deconstructing a bewildering pricing strategy, shedding light on the importance of clear communication with both customers and sales teams.    You’ll hear about the evolution of usage-based pricing and the emergence of value-based models in the SaaS landscape. Rohit shares some complexities of customer engagement and usage patterns, emphasizing proactive vendor-client relationships and the pitfalls of underutilization. For any SaaS leader or enthusiast, this episode offers an array of actionable insights on monetization, pricing, and packaging strategies.     In this episode:  (0:00:00) - Lessons on Pricing Strategies -  Rohit Chhabra engages in a thorough discussion about the crucial role of pricing alignment, and how such strategies are intricately tied to the product lifecycle, affecting every stage from introduction to maturity and decline. (0:14:06) - The Importance of Aligning SKUs With Pricing and Packaging- Delving into SKU rationalization, and how it can greatly enhance sales efficiency by reducing complexity, thus streamlining the process of upselling and cross-selling paths for a more streamlined and customer-centric approach. (0:21:19) - The Advantages of Usage-Based Pricing and Value-Based Models – Benefits of usage-based pricing are brought to light. This includes the early detection of customer attrition and the ability to focus more directly on Return on Investment (ROI), ensuring a more efficient allocation of resources.
How our low friction model increased growth by 10X | Kirsten Moorefield (Cloverleaf, TEDx Speaker)
Feb 6 2024
How our low friction model increased growth by 10X | Kirsten Moorefield (Cloverleaf, TEDx Speaker)
How do the wizards of SaaS concoct the perfect pricing and packaging solutions? Marcos Rivera sits down with Kirsten Moorfield, Cloverleaf's co-founder, to uncover the secrets behind formulating products that pack a punch. Journey through the labyrinth of setting and tweaking prices in a space where personal assessments morph into coaching gold. Kirsten's candid tales from the frontline deliver a masterclass in striking product-market harmony and the art of customer enlightenment.   We celebrate the success stories of SaaS companies that have seen a surge in sales growth and customer renewals. Delve into the transformational sales model that has slashed the time to close and fatten contracts, and how a focus on post-purchase growth can lead to a substantial revenue boost. We'll also dissect the strategic targeting of key audiences for business expansion and the continuous refinement of sales processes. So, tune in and get equipped with the strategies and insights needed to enhance your pricing, packaging, and growth initiatives in the SaaS landscape.   In this episode:  (0:00:00) - SaaS Pricing Strategies - Kirsten Moorfield discusses Cloverleaf's unique pricing struggles and evolution, from product-market fit to refining their go-to-market strategy. (0:11:12) - Lowering Risk and Boosting Adoption - Kirsten and Marcos discuss strategies to overcome adoption fear in large enterprises. They discuss innovative sales models, including credit systems and overage pools. (0:14:54) - Sales Growth & Zero Churn - Conversation shifts to Cloverleaf's new sales model, reducing deal closing time and increasing revenue through post-purchase growth. Kirsten shares data supporting this approach.
2024 Anti-Predictions with CEO Marcos Rivera | Street Pricing
Jan 23 2024
2024 Anti-Predictions with CEO Marcos Rivera | Street Pricing
Brace yourselves for a unique perspective as we navigate through the sea of predictions circulating out there. Amidst the cacophony of forecasts for the upcoming year, this episode diverts our attention to what won’t unfold in 2024. This is not just about offering contrarian views; it’s about providing valuable insights for B2B SaaS leaders, the trailblazers among you. So, buckle up, as these anti-predictions diverge from the prevalent narratives and challenge the assertions of numerous pundits.    In this episode, Marcos Rivera shares his 5 anti-predictions for B2B SaaS in 2024: (00:56) Sales will not get easier: Marcos disagrees with the notion that sales in B2B SaaS will become easier in 2024. He emphasizes the importance of keeping friction low in pricing, packaging, and contracting.    (02:16) AI adoption won’t outpace last year: While AI adoption will continue, Marcos predicts a shift from rapid adoption to a more cautious approach. Concerns about use cases, safety, privacy, and the costs associated with AI will lead to a slower pace of adoption.    (04:12) Startup apocalypse won’t happen: Contrary to predictions of a startup crash, Marcos believes that startups will fail at a similar rate as before. He advises established B2B SaaS companies to leverage their tenure and reputation during a potential influx of failed startups.   (05:17) Usage-based pricing won’t overtake subscription: Despite the attention on usage-based pricing, Marcos anticipates it won’t surpass subscription models in 2024. He suggests B2B SaaS companies test hybrid models before fully embracing usage-based pricing.    (07:11) PLG (Product-Led Growth) won’t see a huge wave: Marcos challenges the idea that everything will shift to PLG in the next five years. He acknowledges the value of PLG, especially for smaller deals, but expects a slower adoption pace in larger, more complex enterprise software.  Overall, Marcos advises B2B SaaS companies to invest in PLG, focus on easier onboarding, and continuously work on making products easier to adopt and sell.    Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting! From the streets of the Bronx to CEO, Marcos wants to take the guesswork out of pricing.   Resources: Marcos Rivera LinkedIn Email for a consultation
How we drove more enterprise value with pricing | Christian Nimsky (Vehlo)
Jan 9 2024
How we drove more enterprise value with pricing | Christian Nimsky (Vehlo)
Ever wondered why some SaaS companies soar with their pricing strategies while others nosedive? Christian Nimsky, SVP of Product at Vehlo, joins us to unravel the enigma. Christian dissects the critical misjudgments that can plague pricing models—think overlooked customer engagement and misinterpreted buying processes. We navigate through his treasure trove of experiences, from past blunders at PADI scuba to the cutting-edge techniques at Vehlo, where the focus is on crafting software and fintech solutions for aftermarket repair shops. The conversation is a masterclass in transforming pricing pitfalls into profitable strategies, with Christian sharing his playbook for avoiding the common traps that ensnare many a SaaS venture.   Vehlo provides automotive software and financial solutions to improve the car owner’s experience. The company’s automotive software, marketing and payment solutions are inspired by their customers’ needs. These solutions are designed to handle their back office, empower their employees and create loyal customers. Vehlo is committed to customer financial success in an unpredictable world.   In this episode:  (00:00) Background and path to Vehlo - Christian shares pricing strategy lessons from PADI and Velo, emphasizing customer engagement and understanding buying decisions.   (12:29) Customer Voice and Pricing Strategies - Customer feedback guides corporate strategies, understanding the 'why' behind actions, diversifying revenue streams, and implementing effective pricing strategies.  (23:38) Maximizing Value and Future Growth Strategies - Demonstrate value to customers through data, past successes, and future developments. Digitization and package laddering can simplify operations and inform pricing strategies.
Keep your pricing from going stale with experimentation | Pricing I/O Team - A Holiday Huddle
Dec 22 2023
Keep your pricing from going stale with experimentation | Pricing I/O Team - A Holiday Huddle
Today we're diving deep into the realm of SaaS street pricing strategies. We've assembled a powerhouse panel with Aaron, Amit, Emily, and Peter from Pricing I/O, bringing a wealth of knowledge from their combined experience in B2B SaaS consultations. We're unpacking the complex dance of pricing adjustments — the critical choreography of balancing value, features, and customer engagement to drive growth. Our experts will discuss why it's paramount to keep a vigilant eye on usage data to fine-tune offerings and avoid the common trap of overstuffing plans that can stifle potential revenue expansion.  We'll also be talking about the elephant in the room - how too many goodies in starter plans might be cannibalizing your premium options and inadvertently leading to customer churn. But it's not all charts and figures; we blend in evolutionary insights on how AI is reshaping pricing strategies across various industries, signaling a new era of usage-based pricing. And here's a twist – as we wrap up the conversation, our guests will drop their favorite 90s hip-hop tracks to keep it light.  Special Guests:  Peter Cohen: Pricing Strategist; recent clients include: Cloudbeds, Miro and Vehlo Aaron Mass: Senior Pricing Strategist; recent clients include: Trulioo, Totango, Fleetio Emily Sanz: Director of Pricing Analytics; pricing leaders in aviation, biotech and nutrition Amit Saraf: Senior Pricing Strategist; recent clients include: Lytx, CertifID, Inktavo In this episode:
How I cracked the code and doubled MRR | Bill Wilson (Pace Pricing, SaaS Academy)
Dec 15 2023
How I cracked the code and doubled MRR | Bill Wilson (Pace Pricing, SaaS Academy)
What if you had the power to steer customer behavior with effective pricing strategies? Join us as Bill Wilson, CEO of Pace Pricing, unveils the intricate world of SaaS pricing. We journey through his experiences and expertise in implementing pricing changes, the unique impact of entitlements, and the art of communicating pricing to customers.  The conversation delves into pricing strategies, discussing their impact on business success and the importance of iterative changes. You’ll hear about the need for constant testing and revision to find a model that works. In addition, we shed light on current trends and best practices in pricing strategies. The conversation takes a twist as we discuss the challenges of pricing AI and the future of this domain. Lastly, we had some fun with Bill revealing his favorite hip-hop jam. Don't miss out on these practical tips and invaluable insights.  In this episode:  (00:00:00) Bill Wilson discusses his experience in implementing pricing changes in the SaaS industry and shares insights on trends and patterns in SaaS pricing. (00:08:16) Experimentation and Data-Driven Pricing Strategies: Wilson discusses the topic of setting limits in pricing plans for SaaS companies and shares an example of how experimenting with different entitlements resulted in a 20% increase in MRR. (00:15:45) The Importance of Iterative Pricing Strategies: The importance of understanding customer needs and jobs to be done, as well as the value of tracking usage data and establishing a baseline.
How I used mystery shopping to find out we were too cheap  | Hamzah Hafesji (Advanced)
Dec 8 2023
How I used mystery shopping to find out we were too cheap | Hamzah Hafesji (Advanced)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Hamzah Hafesji who is Group Product Manager at Advanced. Hamzah talks about a talent management product that was started in 2017. (3:23) The challenge he faced was going from a start-up strategy to scaling up and having the right pricing for the packages. They needed to look at the pricing and packaging and they did mystery shop exercises on the competition. (6:26) Using all the information they collected they went to a “Good, Better, Best” model. Hamzah tells Marcos how they went and did their mystery shopping exercise. (12:27) They used an employee who had given his notice to leave the company. That person went and inquired about pricing, packages, and other companies’ different strategies. They had a lot of data. They wanted to position themselves as the premier product. (14:41) Hamzah talks about his biggest challenge, which was talking with the sales team about the new pricing. Hamzah felt that with any change initiative, the go-to-market execution is super important. His one takeaway from this is “selling value is not just the price point, you’ve got to think about the entire piece of your value change.” (18:09) Advanced published their pricing and completely focused on value articulation. (18:55) Hamzah discusses many teams in the company were nervous about publishing their pricing but was a great success. Hamzah talks about his hopes for the future at Advanced, specifically product-led growth. (22:10) Marcos and Hamzah close out the show by discussing Hamzah’s favorite song growing up “Can I Kick It?” by A Tribe Called Quest. Follow Marcos on LinkedIn Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here Want a consultation? Email Pricing I/O at info@pricingio.com
Why we switched to usage based pricing | Alyssa Higgins (CipherHealth)
Dec 5 2023
Why we switched to usage based pricing | Alyssa Higgins (CipherHealth)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Alyssa Higgins, who has been with CipherHealth for almost 10 years and currently works as their Vice President of Operations and Enablement. Alyssa discusses how pricing at CipherHealth pre-COVID was very US-centric and how they realized things needed to change. (2:47) They wanted to make pricing more flexible to be able to help better serve their customers. The pricing didn’t align with who they wanted to be as a company and wanted to move to a more customer-centric pricing. They noticed there were issues when it took more than two weeks to price a deal. (5:51) They were offering many types of packages and features, which was making the pricing take a while. (7:35) Alyssa tells Marcos about how they needed to simplify the process and talk to the customers to better understand how to serve them better. Alyssa led the project and partnered with Marcos’ team to change the pricing and went from a program-based model to a usage-based model. (12:05) A pricing committee was started at CipherHealth to keep moving and pricing the right model. (18:44) Marcos and Alyssa talk about how important it is to keep the pricing committee consistent in order to continue the success. (20:55) Alyssa talks about the hopes for the future of pricing and packaging at CipherHealth and continuing to evolve and incorporate AI. (24:19) Marcos and Alyssa close out the show by discussing Alyssa’s favorite 90s Hip-Hop song “Mathematics” By Mos Def. Follow Marcos on LinkedIn Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here Want a consultation? Email Pricing I/O at info@pricingio.com
Why free was too generous and how we solved it | Miguel Dergal (Canva, PayPal, Bill.com)
Nov 17 2023
Why free was too generous and how we solved it | Miguel Dergal (Canva, PayPal, Bill.com)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Jose Miguel Dergal, who is Head of Product Growth at Canva. Miguel has worked at PayPal, Bill.com, Chime, and Invoice2go. Miguel discusses his time at Invoice2go, and how he discovered problems with the pricing and features. (4:33) He wanted to move to the ‘Good, Better, Best’ model. Miguel and Marcos how you can discover if you are giving too much or “too much in the free.” (10:16) The two major parts to realizing this is: Is it fair for this to be a premium feature?Are people upgrading to another plan?Miguel tells Marcos about a twist that happened in the pricing model. (14:52) From this surprising twist they created their ‘Pro Plan’ and ‘Unlimited Plan.’ He talks about the recent pricing challenges at Canva. (23:41) They realized they were giving a lot more away for the free version of Canva to get people on board. They wanted to better serve different team sizes in their pricing and have some new and exciting things to come! Miguel talks about his hopes for the future, specifically usage-based pricing evolving more. (27:21) Marcos and Miguel close out the show by discussing Miguel’s favorite song today is “Dance Monkey.”   Follow Marcos on LinkedIn Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here Want a consultation? Email Pricing I/O at info@pricingio.com
Why we saw negative discounting when we switched to a platform play | Johnny Cheng (ClickUp, Marketo)
Nov 10 2023
Why we saw negative discounting when we switched to a platform play | Johnny Cheng (ClickUp, Marketo)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Johnny Cheng, Senior Director of Pricing and Packaging from ClickUp. Johnny talks about his beginnings at Marketo as Head of Pricing and Packaging. (3:10) Johnny took a look into the packaging and rebuilt it to better serve the customers. Selling the right value, to the right customer, in the right way. Johnny discusses how he overcame two major hurdles. (7:15) Those two hurdles were building a market site and changing the model and framework. Creating the right tools for sales was helpful for this. He talks about his proudest moment at Marketo, where he launched the new model at the same time as the old model was still available. (12:00) Marcos and Johnny talk about the results for the new model launch. (16:12) The custom-made plans helped with conversion rates. Johnny discusses his first interaction with Marcos and how he received a ‘5 out of 5’ assessment. (17:53) Marcoa and Johnny talk about why Johnny came to ClickUp and how it is the fastest growing PLG company. (19:37) They discuss the “secret sauce” of the company, combining hard feature pay walls with usage pay walls. (23:44) Marcos tells listeners with “taste of toggle” means. Johnny talks about his hopes for the future of pricing and packaging at ClickUp. (26:38) Marcos and Johnny close out the show by discussing Johnny’s favorite song growing up “Gangsta’s Paradise” By Coolio or anything from Tupac.   Street Pricing streams live on OC TALK RADIO, Orange County's only online business channel, every Friday at 9:00 AM PT and is available for download on all major podcast platforms. Follow Marcos on LinkedIn Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here Want a consultation? Email Pricing I/O at info@pricingio.com
How we went from data to discipline | Srinivas Somayajula (Tropic, Calendly)
Nov 3 2023
How we went from data to discipline | Srinivas Somayajula (Tropic, Calendly)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Srinivas Somayajula, GM of Data at Tropic. Srinivas overseas all the data solutions and wants to bring transparency to SaaS pricing. Srinivas talks about his time with Calendly, he suggested they look at the pricing around March 2020, and that maybe they were giving away too much value for their current pricing. (2:40) He looked into the data and spoke with customers and decided on two principles that would work for the company; everything has to be as frictionless as possible, and they had to do no harm to the customers. Existing customers needed a packaging and pricing model to migrate to and new customers were coming to Calendly with the pandemic happening. (7:40) Marcos and Srinivas emphasize how the actual execution of price changes can be a big problem for companies, and how thoughtful planning and tests are key. (8:52) Srinivas wanted to make the product easy to sell, using the website, marketing, and building sales teams to communicate the value to the customers. (10:00) The important questions that companies need to answer are Who are we? What do we stand for? What do we want for the company? Who do we serve? (11:00) Srinivas listened to the customers by doing multiple rounds of interviews and surveys and also did internal voting with the sales team. (16:15) He thought the internal viewpoint would give signals to understanding but could also give biased opinions as well. Both things partnered together can give a balanced perspective. Srinivas also suggested looking into support requests and using AI to analyze the billing data. They discuss what Srinivas is hoping for in the future of pricing, hiring a senior pricing manager, and his current position at Tropic. (24:04) Marcos and Srinivas close out the show by discussing Srinivas’ favorite song growing up was “Momma Said Knock You Out” By LL Cool J and “Money Ain’t a Thing” By Jermaine Dupri and Jay Z. Street Pricing streams live on OC TALK RADIO, Orange County's only online business channel, every Friday at 9:00 AM PT and is available for download on all major podcast platforms. Follow Marcos on LinkedIn   Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here   Want a consultation? Email Pricing I/O at info@pricingio.com
How I increased my ASP by 5x by attracting the right customer | Emeric Ernoult (AgoraPulse)
Oct 27 2023
How I increased my ASP by 5x by attracting the right customer | Emeric Ernoult (AgoraPulse)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Emeric Ernoult, CEO and Co-Founder at Agorapulse. Agorapulse is a social media management media software, launched in 2011. Emeric talks about his start in pricing and how he realized his pricing was too low and eventually doubled it. (3:20) Marcos and Emeric discuss how when many business owners start out, they tend to discount themselves and end up pricing lower. Your pricing plays a big role in who you attract. (8:25) “You want to attract the right companies, the right users, the right customers for you, the price you are going to put in there, is going to be telling that story” - Emeric Ernoult Marcus and Emeric discuss how price increases can also have a negative impact, you need to make informed decisions, and you can’t raise just because. Emeric gives some rules for possible increases. (12:27) Emeric shares his cautionary tale about changing too many things at the same time. (14:48) Changing one thing at a time will let you focus on what the change is doing, and it will let you revert if it is not working. If you change too many things at once, you won’t know what isn’t working. Emeric talks about what is working for him right now and what he sees for the future. (16:25) In December 2022, Agorapulse changed their pricing to be based on how many users and the number of social media profiles. Emeric suggests if you include “too much and the kitchen sink” in your plan, go to an entry-level with add-on options and be flexible. Marcos and Emeric talk about pricing the deal. (18:30) They discuss what Emeric is hoping for in the future of pricing. (22:33) Marcos and Emeric close out the show by discussing Emeric’s favorite DJs: Cirez D and Boris Brejcha. Street Pricing streams live on OC TALK RADIO, Orange County's only online business channel, every Friday at 10:00 AM PT and is available for download on all major podcast platforms. Follow Marcos on LinkedIn   Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here   Want a consultation? Email Pricing I/O at info@pricingio.com
What we did to move away from “One Size Fits None” to increase our ACV | Arnab Mishra (Xactly Corp)
Oct 20 2023
What we did to move away from “One Size Fits None” to increase our ACV | Arnab Mishra (Xactly Corp)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting. From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   Today’s guest is Arnab Mishra, Chief Operating Officer at Xactly. Arnab is a seasoned cloud software executive with an extensive history of leading and collaborating with all departments to drive corporate strategy and execution. Marcos and Arnab discuss Arnab’s beginnings in pricing. (3:40) Arnab talks about a study that he came across that said, “A 1% improvement in pricing, can deliver a 12% improvement in operating profit.” Arnab gives his three core principles and objectives that he adheres to: (7:35) The goal of pricing is to reduce the friction between the customer and our sellers.Make sure that you are thoughtfully monetizing the features and products that we are delivering.Recognizing that pricing is not a one-and-done activity, it is a continuous activity.They talk about how important good “Win-Loss Data” and “Opportunity Data” is for SaaS companies and how Arnab was able to convince companies to give the green light on pricing. (12:23) Marcos and Arnab ‘get street’ with the one-size-fits-none approach that a lot of companies have. (18:00) Customer needs can change over time, so pricing and packaging will also need to change to accommodate new features. Arnab uses a ‘Good, Better and Best’ packaging approach. With the correct systems implemented, Arnab saw a 50% increase in unit pricing, a 20% decrease in discounting, and win rates increased. (23:35) He talks about his internal working group, ‘Pricing Counsel.’ (25:32) This group meets twice a quarter to review all the data that has been collected and talk about certain things they are thinking about implementing, this has created a great forum to discuss.  Arnab talks about ROI-based selling, where companies are super focused on efficiency. (27:02) He also relays his hopes for the future of pricing. (28:40) Marcos and Arnab close out the show by discussing Arnab’s favorite hip-hop artists: Tribe Called Quest and Eminem. Street Pricing streams live on OC TALK RADIO, Orange County's only online business channel, every Friday at 10:00 AM PT and is available for download on all major podcast platforms. Follow Marcos on LinkedIn Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here Want a consultation? Email Pricing I/O at info@pricingio.com
CEO, Author, Entrepreneur and Slayer of Bad Pricing | Marcos Rivera (Pricing I/O, Vista Equity)
Oct 6 2023
CEO, Author, Entrepreneur and Slayer of Bad Pricing | Marcos Rivera (Pricing I/O, Vista Equity)
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting! From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.   For the first episode of Street Pricing, Marcos talks about his beginnings in the Bronx, raised by a single mom, and his love of technology and figuring things out. (2:14) He took his mindset of ‘I make things happen’ and made it to the summit of the tech world as an expert on SaaS pricing. After his mother passed away, he moved to San Diego with his grandmother. (10:30) He received a degree in Management Science from the University of California San Diego. Out of college, Marcos worked as a Financial Analyst and eventually worked for a bank pricing interest rates for auto loans. (15:10) Marcos learned there was a need for expert pricing and understanding the psychology of the consumer and product is a crucial part of pricing. (19:37) Marcos’ experience in spotting the pricing mistakes and fixing them, led him to open his company Pricing I/O, where he helps companies shift pricing from guesswork to framework. (24:25) He talks about his pricing strategy and psychology of numbers and how he “gets street” with companies to get their products to the right price. (28:07) In 2022, Marcos took his knowledge to print and published Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS. (32:16) Marcos talks about the future of the Street Pricing Podcast and the exciting things to come! "Couldn’t be a more relevant topic for today’s world, as everything is a subscription," says OC TALK RADIO station manager Paul Roberts.  Street Pricing streams live on OC TALK RADIO, Orange County's only online business channel, every Friday at 10:00 AM PT. Follow Marcos on LinkedIn Get your copy Street Pricing: A Pricing Playlist for Hip Leaders in B2B SaaS here Want a consultation? Email Pricing I/O at info@pricingio.com