Software is intangible: it doesn’t have weight or size or per-unit manufacturing costs. But if we’re in the software business, we have to assign units and prices that reflect our value to customers. And we should be mapping out pricing strategy before we start development, not the day before product launch.
Taking a day off for tourism during my Brainmates/Australia tour, I had a chance to see the power of “free” in a non-tech entrepreneurial setting. Following along the business model literally and figuratively…
Logi is hosting a webinar on developing a successful Software-as-a-Service (SaaS) and business model: SaaS versus Licensed Software, Pricing Tiers, User Experience and Continuous Marketing, Service Metrics and Infrastructure Requirements.
How do we understand value from the customer’s point of view, not just the vendor? How do we choose pricing units, what portion of value can we capture, and why do we have to do the math/thinking in advance for customers?
Focusing on skills rather than titles, how do we avoid product manager/owner failure modes for revenue (commercial) software? And why do revenue software companies hire product managers, when agile development teams are looking for product owners?
Three perennial challenges for entrepreneurs and start-up founders are (1) seriously listening to their markets, (2) building customer-side savings/ROI logic, and (3) whole-product thinking. Tiny companies lack formal product managers, but need to apply some product management thinking to these fundamental product/market needs.