The Future of SaaS Pricing: Finding the Right Model for Growth

Pricing is no longer a "set it and forget it" decision for SaaS companies. The shift from simple MRR-based pricing to hybrid models—including subscription and usage-based elements—is redefining how businesses drive revenue, attract investors, and scale effectively. As pricing models evolve, businesses must also consider how to manage billing, revenue tracking, and customer lifecycles efficiently—something that strong subscription management helps facilitate.

In a recent webinar, we sat down with  Jacco van der Kooij, Founder of Winning by Design, and Niclas Lilja, CEO of Younium, to discuss why pricing is a key growth driver, how it impacts company valuation, and what SaaS companies should focus on to create sustainable pricing strategies.

The Real Impact of Pricing on SaaS Growth

Traditional pricing models are evolving rapidly as companies move toward flexible, value-driven pricing strategies. While subscription pricing remains a foundation, hybrid models that combine recurring revenue with usage-based elements are becoming the norm.

As Niclas explained during the webinar:

“We tend to see more and more companies introducing a mix—having a set fee combined with usage-based components. That shift requires a strong pricing strategy.” 

Pricing affects more than just revenue—it directly influences deal velocity, sales cycles, and customer retention. The companies that succeed will be the ones that continuously test, iterate, and refine their pricing approach.

Jacco emphasized this point:

“When it comes to pricing, that’s like the ultimate learning, right? You will know—either people buy, or they don’t buy.”

How Pricing Affects Company Valuation & M&A

Beyond revenue, pricing plays a critical role in company valuation. Investors and acquirers look beyond top-line revenue numbers; they assess pricing strategy, customer retention, and scalability.

For SaaS companies aiming to increase their valuation, pricing optimization should be a top priority. A strong pricing strategy ensures:

• Predictable and scalable revenue streams
• Higher customer retention and lower churn
• Stronger positioning in M&A discussions

Subscription management solutions can further enhance valuation by improving revenue predictability and reducing churn risk through seamless invoicing, contract adjustments, and automated billing processes.

Jacco highlighted the importance of aligning pricing with long-term growth:

“Pricing should be seen as the same thing. Early on, you can absolutely put in usage-based pricing, and that may not be considered a profit proposal.”

Designing a Pricing Model That Supports Growth

So, how should SaaS companies approach pricing?

• Move from “nice-to-have” pricing to revenue-driving pricing
• Avoid common mistakes, like underpricing or failing to communicate value
• Test, iterate, and refine pricing based on customer behavior

If you’re considering changes to your pricing model, start by evaluating:

• What value are customers getting, and how does pricing reflect that?
• Does your pricing support predictable revenue growth?
• Are there opportunities to introduce hybrid or usage-based elements?

• Is your subscription management system equipped to handle the complexity of evolving pricing structures?

Final Thoughts: The Future of SaaS Pricing

Pricing is not just a revenue driver—it’s a growth strategy. The companies that get it right will:

• Achieve sustainable, scalable revenue growth
• Increase their attractiveness to investors and acquirers
• Ensure long-term profitability by aligning pricing with customer value

Are you ready to optimize your pricing strategy for growth? Reach out to our team at Younium to learn how we can help you refine your pricing model, implement effective subscription management, and drive scalable revenue.

Interested in the full webinar? Watch it below!