Should we use flat-rate pricing for a SaaS product or tiered usage pricing?

[JerryGR]

We’re about to launch a new SaaS tool and I’m stuck on how to structure the fees. I like the idea of a flat-rate pricing model for its simplicity, but I’m worried it won’t capture the full value from our larger clients who would use it much more intensively.

[Aaron_M]

I thought flat rate would be the holy grail for onboarding, but bigger customers kept bumping into usage ceilings. We tracked API calls and seats for a couple of accounts and ended up offering an overage option and a higher tier. It saved the relationship, even if it wasn't as clean as we wanted. The tricky part was naming and counting usage in a fair way.

[Joseph.R]

I still like the simplicity for small teams, but I kept worrying about undercharging. We tried a couple of experiments where we allowed a 'heavy user' add-on for a month, nothing long term, and it felt confusing for customers and for us to support.

[DennisR]

Maybe the real problem isn't how you charge but whether the product actually solves their pain well enough. If onboarding is rough or reports are missing, price feels heavy regardless. Is the pricing problem really the problem here?

[PatrickT]

Ran a 3 bucket pilot: flat, usage-heavy, per-seat. Measured signup, churn, ARPU over 90 days. Some direction, but new friction in the plan chooser, so we paused to rethink the UI.