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Usage-based? Hybrid? Tiered? Which pricing model is right for you? — Stripe’s Jeanne DeWitt Grosser

In Depth

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What's the Ramp Curve for SaaS Companies?

On January 1 I can typically forecast not 100% of my net new revenue, but a significant chunk of it. The plan for say 2022 is realizing all of the revenue that I signed last year. And then you have a more traditional plan basically which is the deals I will sign this year to basically cover my 2023 number. But what's interesting relative to a SaaS company is you wind up with two ramp curves. For us, there's a ramp curve to productivity on the deal signed. And then there's another ramp Curve to productivity on that first year sold realized revenue.

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