Pricing is the single highest-leverage decision in your SaaS business. A 1% improvement in pricing yields an 11% improvement in profit, compared to 3.3% for a 1% improvement in customer acquisition. Yet most founders spend weeks on their landing page and 15 minutes on their pricing. This guide covers the psychology of SaaS pricing, the exact structure of three tiers that maximize revenue, and the cognitive biases you can ethically leverage to guide customers toward your most profitable plan. The foundation: value-based pricing. Do not price based on your costs. Do not price based on competitor pricing. Price based on the value you deliver to the customer.
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