- 4.5.1 -

Different customers. Different needs. Different money.

Customers have different needs, so to optimize your profits you should have a price plan with multiple levels. For instance, it is normal that SaaS (Software-as-a-Service) products are priced on a Basic, Premium and Premium Plus scale. The more the customer pays, the more features and benefits they receive. The customer is free to assess and balance their own needs and resources, and decide on the product that fits best.

Back to our airplane example. All passengers have their most basic need met (transport to their destination) but the higher ticket classes receive extra features and benefits – they de-plane sooner, enjoy larger, more comfortable seats, have more personal assistance and service during the flight, and so on. These are extras that most passengers aren’t willing to pay for, but those who are willing are given the option, and so the company optimizes revenue and profits.

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