user behavior driven pricing and offers

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Every software-as-a-service (SaaS) business hopes its freemium or basic package will create an upward migration path for users. Unfortunately, hoping for recurring revenue isn’t an effective strategy for actually creating that revenue. But luckily, most SaaS and cloud businesses have all the data they need to build a pricing strategy that works – they just need to learn how to apply that data. In the final installment of our three-part webinar series about big data, we’ll teach you how to leverage available SaaS technologies to capture and analyze user-based transactional data. You’ll also learn how to present your users with dynamic offers to drive more revenue.

TRANSCRIPT

Acquire & Analyze & Act User Behavior Driven Pricing & Offers

Your Presenters Curt Raffi - Host Jeff Kaplan - THINKstrategies Karl Wirth - Apptegic Jason Mondanaro - MetraTech, Corp.

A Power Shift

Vendor to Customer

CXO to Corporate End-User

NewSaaS Buyer

Changing Sales Process

Centralized to decentralized

Seeking Personal Solutions

Buyers select solutions for real-time needs

Buyers seek to customize standardized services

About Me

Price A

Price C Offer D

Offer B

Data-Driven Pricing Is Key

Dynamic pricing based on user requirements, preferences & actions

Ability to acquire, analyze & act on user behavior essential

Top 5 Most ImportantBig Data Sources

Source: Aberdeen Group, January 2012

Big Data Sources

93% Transactional / structured

85% Social media / sentiment

83% Clickstream

61% Digital media

60% M2M / sensor data

Track visits, users, key actions on a per user & per account

Sales reaches out to the highly engaged, high value

Marketing sends emails to users who haven’t visited

Marketing messages users in-context to complete setup

Ex: Move To Paid Users

Ex: In-App Purchases

Millions on low price plan

Some are candidates for upsell, others aren’t.

How to tell the difference?

How to communicate offer to good candidates?

Ex: Upsell & Cross Sell

Capture user’s behavior in application

Target power users with in-context offers in application

20% Off

Problem High churn rate Too many

customers Little information Generic email

updates not good click-through

Ex: Renewals

Act on visits, actions & business metrics Put JavaScript into your application & capture

information Enter the messages & offers you want displayed

Start

Turn It Up A Notch

There are a lot of product catalogs available

What if those APIs were used for data-driven product creation & pricing instead of data synchronization?

Intelligent Product Configurator

Product Costs

Profitability Goals

User Behavior

Intelligent Product Configurator

Real-timeOffers

Product Managers

PackageChanges

Customers

Science Fact Not Fiction

Airlines’ yield management systems Amazon Web Services spot pricing Geolocation driven coupons Exchange Powered Business Models

Dynamic Offers & PricingI like expensive

hotels

Acquire, Analyze, Act - Wrap Up

Visual turns big data into actionableknowledge

Architect to track user activity and consumption

Build your business with measurement in mind

Leverage cloud to scale out Big Data

Use pricing, rewards and offers – drive customer & partner behavior

Thank You For Attending

www.metanga.com

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