Pricing discussion - Is per seat dead and usage/outcome based the future?(headless). i will not promote.
We’re two founders in Stockholm building a CRM. A few weeks ago we changed our pricing and stopped charging per seat. I’m still not sure if that was smart or naive, so I’d like to hear from people who’ve priced it either way. What pushed us was one customer. He’s a co-founder at a small consultancy and he almost never opens our app. He updates everything through his AI assistant over MCP: it drafts the updates and he approves them. About 92% of the updates in his account are written by the AI. When we first pitched him our pricing (which was per seat), he was disappointed. He said seat-based pricing is old news and that in the AI era you should charge for outcomes. He got me thinking about what a seat actually is. It’s a price on how many humans you have. Might get redundant now when AI takes over more of the work? The thing is, almost every other CRM still charges per seat, and I’m pretty sure we’d make more money if we did too. We did it anyway. Now there’s a small base fee for the whole workspace, plus usage: we charge per company you have an open deal with, which is the only real way for a CRM i think. Happy to take ideas here as well. What I like about it: Nobody pays for logins they don’t use, and nobody has to do admin moving licenses around when someone leaves or barely uses the tool - should mean less churn or downgrades. We only make more money when customers get more out of the product. It feels more honest, and like a truer product/market fit. What worries me: Revenue is harder to forecast, and billing is a bit of a nightmare with bills changing every month in Stripe We probably make less money than we would on seats Buyers and investors understand seats instantly. Usage takes a while to explain If you’ve priced a B2B product recently, did you go with seats, usage or hybrid, and would you pick the same again? And if you’re the one buying, do you actually want usage pricing, or do you prefer a predictable bill?