What Are The Primary Pricing Strategies With SaaS Products?

Whether you are just starting a software as a service (SaaS) business, or have been in the game for years, it’s always beneficial to understand the primary pricing strategies for your products. In truth, it’s not uncommon for a business to realize they have been over or undercharging for their products. With this in mind, below we’re uncovering pricing strategies that are working in an effort to help you develop your own pricing model.

What is a Pricing Strategy?

Just like it sounds, a pricing strategy is an approach for how you will price your SaaS product. In other words, it’s your chosen policy for how much your customer will be charged to receive your product. The best plan of action in terms of pricing is to determine how much your customer is willing to pay, while also ensuring your business will turn a profit.

Many, if not most SaaS companies opt for a subscription pricing model that yields a constant stream of revenue for the business. It’s important to remember that when it comes to pricing strategies, you must keep in mind the value your product is offering, and find that perfect sweet spot that will yield a healthy profit margin while keeping your customer happy. After all, if they feel you are overcharging, they are likely to seek out a competitor.

Different Pricing Strategies Explained

Now that you have a brief overview of the goals for a good pricing strategy, let’s explore different pricing strategies to help you determine the best one for your SaaS business.

1. Penetration Pricing

The goal of penetration pricing is to enter the market with a low price in an effort to get the attention of customers, and convince them to leave the higher priced competition. The problem with pricing strategies like this however, is that over the long term they are not sustainable. Eventually, the business will have little to no choice but to raise their prices if they hope to be profitable.

2. Skimming Pricing

In stark contrast with penetration pricing, this strategy centers on entering the market at a high price, and then later tapers the pricing down as the product becomes less popular. This strategy is quite common with theme parks. When they are at the highest of their popularity, the price goes up, and suddenly, as crowds thin out, ticket prices go down to bring customers back. – Read more

Learn More About SiteLock

#WebsiteSecurity

How Secure Is Your Password? Here’s How To Find Out

“Is my password secure?” It’s an important question to ask yourself in this age of ever-evolving cybersecurity threats. With hackers perpetually developing more sophisticated cyberthreats, there’s no point in making their jobs easier by creating a password that’s easy to bypass. The strength of your password is key to protecting your website, personal data and other important information. With that in mind, here are some guidelines to assessing your passwords’ security, finally answering the question: Is your password secure?

How Secure Is Your Password If It’s Short?

When choosing or creating a password to your online accounts, it’s best to assign a password that’s difficult for a hacker to guess. When asking yourself “Is my password secure enough?” take the password’s length into consideration. Is your password secure if it consists of the website’s character minimum? Maybe, but not as secure as it could be. A long password is harder for a bad actor to guess than a shorter one. When assessing the question, “Is my password secure?” consider using a password that’s at least 12 characters long. As many as 16 to 20 characters is ideal.

How Secure Is Your Password If It Includes Personal Information?

Is your password secure if it references names or dates? People often insert birthdates, names of pets, and other personal signifiers to create a password that’s easy to remember. Unfortunately, these details can be easily gleaned from social media or other sources by bad actors looking to gain access to your accounts. In fact, you’re better off avoiding dictionary words, or combinations of dictionary words entirely. Your best bet is to construct a password from a lengthy combination of letters, numbers, and characters. If the application is case-sensitive, alternating between uppercase and lowercase letters can also bolster your password’s security. If you’re worried about not being able to remember a lengthy string of seemingly random characters, try using a password manager to safely create, store, and fill in your passwords. That way, you’ll ideally only have to remember one password, the one you use to access your password manager. – Read more

Learn More About SiteLock

#WebsiteSecurity

How Secure Is The Cloud?

These days, many companies and individuals are looking for a way to store data such as images, audio files, and documents virtually so they can access them from anywhere with an internet connection. Enter the cloud – the storage solution most people turn to as an easy method for backing up all the files they would rather not lose.

The questions for most people looking into these types of storage solutions are:

  • How secure is the cloud?
  • What cloud security threats should I be aware of?
  • And, is there a way to prevent cloud security issues/cloud security challenges?

We’re addressing what you need to know below:

What Are the Common Cloud Security Threats?

The most common cloud security issues are: data loss, unauthorized access/breaches, and data leaks. Some of the preferred methods of reducing the risk of cloud security challenges include: limiting user access, implementing stronger passwords and multi-factor authentication, and encrypting data before you ever load it to your cloud service provider (CSP). This isn’t enough to keep your data completely secure, but it’s a good start.

The Robust Security of a CSP

How secure is the cloud service provider you’re using? This likely won’t surprise you, but not all CSPs are alike. Some have stronger security measures in place than others. It’s for that reason some institutions opt for building their own private cloud storage solutions, or at the minimum using a hybrid solution to at least control most of the security themselves. If you are using a third-party CSP, you need to understand their level of encryption, if they will help you meet security compliance standards relevant to your industry, your level of security responsibility, how they will support your unique needs, etc…

Prevent General and Atypical Cloud Security Issues

The best answer to the question “how secure is the cloud?,” is that it’s only as secure as the measures you put in place to prevent data loss and unauthorized entry to your CSP. When you approach your cloud security threats from a proactive rather than a reactive frame of mind, you’re more likely to make better decisions. Thinking about the prevalent risks now, before there is a problem, makes it easier to prevent something from happening in the first place. – Read more

#CloudSecurity

Learn More About SiteLock