Free Whitepaper from Fusebill:
7 Popular Pricing Paradigms
For Subscription Based Businesses
The subscription based economy continues to soar as more and more products and services are being sold on a recurring basis. Forrester Research predicts that by 2016 subscription licensing models will reach 50% of the total software license market, and it’s impacting more than just how software is delivered. Significant changes are also being seen in how businesses are pricing their products and services in direct response to changes in customer demand and behaviour.
To succeed in the new economy, businesses will have to increase their focus on their monetization strategy or face the repercussions on their revenue, profitability, and competitive standing.
This paper examines several of the most popular pricing strategies for subscription based companies including benefits, pitfalls, and examples of successful applications for each.