Many software startups spend months on features and an afternoon on pricing. Then they wonder why revenue is flat, why customers complain, or why the biggest customers pay the same as the smallest. Pricing shapes who buys, how they use the product and whether the business survives. We have helped build subscription platforms for different industries, and the same lessons come up. They are not formulas, because every market is different, but they are useful questions to answer before you publish a price list.
Charge for the value customers receive
Start with the customer's outcome, not your costs. A venue that fills more tables, a school that sells more courses, a business that issues invoices faster: each gains something measurable. Your price should be a fair share of that gain, and low enough that buying is an easy decision.
Choose a value metric
The value metric is the unit that grows as the customer gets more benefit: number of locations, users, invoices, bookings, students, messages or projects. A good metric is easy to understand, easy to measure, and scales with the value the customer gets. Per-user pricing is common, but it is not always right. If the value comes from bookings or invoices, charging per user may punish customers for adding colleagues. Our OKI Facture invoicing SaaS, for instance, is offered on free and paid plans for businesses issuing quotes and invoices, a model where usage naturally relates to the value delivered.
Keep the cost structure in mind
Know what each customer costs you: hosting, support, payment fees, messaging, and any third-party services such as AI or SMS. If a feature has a real per-use cost, include limits or usage-based pricing for it so that heavy users do not erase your margin.
Design plans people can choose between
Most products do well with three plans. Fewer gives too little choice, and more creates confusion.
- An entry plan for individuals and small businesses, with the essentials and clear limits.
- A main plan for the typical customer, which you expect most people to choose.
- A top plan for larger customers, with advanced features, higher limits and priority support.
Separate plans by need, not by arbitrary limits
Good plan boundaries follow the way customers grow. A single venue needs bookings. A group of venues needs multi-location reporting and permissions. Put features that matter to larger customers in higher plans, and avoid holding back things small customers need to succeed.
Make the next step obvious
Show a comparison table, describe each plan in the customer's language, and tell people which type of business each one is for. Hidden limits discovered after sign-up create resentment and support tickets.
Use free plans and trials with a purpose
A free plan or trial reduces risk for the buyer, but it also costs you support and infrastructure. Decide what you want it to achieve.
- A time-limited trial suits products with a clear moment of value. It creates urgency, and works well when setup is quick.
- A free plan suits products that spread through use or where customers need time to grow into paying. Set limits that encourage upgrading when the business gets real value.
- A guided demo suits complex products and higher prices, where onboarding matters more than self-service.
Whichever you choose, measure how many free users convert to paid, and what they did before converting. Those behaviours show where your product delivers value.
Make paying easy in your market
A price list is useless if customers cannot pay it. In Egypt and the region, card penetration varies, and many businesses prefer local payment methods, mobile wallets, bank transfers or invoices. Offer billing in the currency customers think in, show prices clearly, and make renewal and cancellation simple. Confirm tax and invoicing obligations for subscription sales with your accountant, since requirements differ across countries and change over time.
Change prices carefully
Review regularly, change deliberately
Your first prices will be wrong, and that is acceptable. Review them every few months against conversion, churn and customer feedback. If nobody complains about the price, it may be too low. If many prospects say it is too high but those who sign up stay, the problem may be how you explain value.
Protect existing customers
When prices rise, give plenty of notice, explain what customers get, and consider keeping existing customers on their current price for a defined period. Test new pricing on new sign-ups first. Sudden changes damage trust, and trust is hard to rebuild.
Avoid discounting as a habit
Occasional discounts for annual payment are reasonable, because they improve cash flow and reduce churn. Constant discounting teaches customers that the list price is a negotiating position.
Track the numbers that matter
Watch monthly recurring revenue, conversion from trial to paid, churn, expansion of existing accounts and average revenue per customer. Combine them with qualitative feedback from sales and support, because numbers show what happens and conversations explain why.
If you are building a subscription product and want a technical partner who understands both software and the business behind it, the Narmar team would be glad to help. See our SaaS projects, explore our services, or contact us.
