Tag

SaaS margin

2 articles

Pricing

Outcome-Based SaaS Pricing: Floor & Cap Design

How to design floor and cap structures that protect vendor margin and customer budget predictability in outcome-based SaaS pricing. Covers floor calculation, cap design, ratchet mechanisms, and the math behind optimal floor/cap ratios.

12 min read
Platform Strategy

SaaS Platform Margin vs Pure Product Margin

How gross and net margin compare between SaaS platform businesses and pure product businesses at equivalent scale. The margin compression during ecosystem build-out, the inflection point, and the investor perspective on platform vs product valuation multiples.

11 min read