CHURN FM E276 | Beyond Seats: The Shift Towards Success-Based Pricing with Kyle Poyar
Jan 1, 2025
In this engaging conversation, Kyle Poyar, Co-founder and Operating Partner at Tremont, shares his transition from consultant to SaaS pricing expert. He discusses the shift from seat-based to success-based pricing, highlighting the challenges and strategic advantages involved. The role of AI in enhancing customer value and retention is underscored, alongside actionable tips for aligning pricing with customer success. Kyle also explores the need for tailored solutions and provides insights into overcoming market challenges to drive growth and reduce churn.
AI Snips
Chapters
Transcript
Episode notes
Kyle's Career Shift
- Kyle Poyar transitioned from Simon-Kucher to OpenView to work with earlier-stage companies.
- He wanted to focus on value creation with founders, not selling large consulting projects.
Shifting SaaS Pricing
- Traditional SaaS pricing, often seat-based, is becoming less relevant with the rise of AI.
- AI agents, performing work rather than providing access, necessitate value- or success-based pricing.
Early Pricing Decisions
- Changing pricing models mid-flight is difficult; choose wisely upfront.
- Early pricing decisions impact a company's trajectory more than founders initially realize.