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Functional notes
AI
podcast
13
August
,
2024

SaaS Talks #35: Pricing AI Products

EXPERT
Swapnil Jain, Co-founder and CEO, Observe.AI | Brij Bhuptani, Former CTO of Ola and Co-founder, Spry | Shubham Mishra, Co-founder, Pixis.AI

Today, a growing number of AI SaaS companies are emerging from India.

However, pricing and packaging often become tricky for these companies. Should pricing be user-based, usage-based, or outcome-based? Annual upfront or "pay as you go"? Purely product revenue or blended with services? How do you figure out whether you are leaving too much value on the table?​

For all of these questions and more, watch this highly relevant edition of SaaS Talks on pricing AI products, featuring three outstanding entrepreneurs.

Register for our future SaaS Talks: https://rebrand.ly/SaaSTalks

00:00 Introduction

05:29 Brij’s AI pricing model then v/s today

09:26 The evolution of Observe AI’s pricing model

10:32 Shubham’s approach to pricing at Pixis

12:10 Relevance of the per-seat based pricing model for AI products

15:33 Brij on usage-based pricing v/s outcome-based pricing

19:39 Shubham on usage-based pricing v/s outcome-based pricing

21:38 Shubham on judging who drives outcomes in outcome-based pricing

23:35 Swapnil on the advantages of predictable pricing

26:06 Brij on prioritising process outcome over customer outcome

27:28 How do you price for different markets?

30:52 On pricing differently for different value outcomes

35:33 How does discounting work, and when does it become a lever for growth?

39:57 Is A/B testing recommended while choosing pricing models?

43:48 Shubham on pricing experimentation

46:29 How do you offset the costs of AI enablement?

51:32 Pricing for AI implementation if you’re an early-stage company  

55:25 Handling the lack of predictability on your revenue

58:58 Concluding remarks

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