Hybrid Pricing

The Rise of Hybrid Pricing Strategies in SaaS – Gain the Attention of Customers

With the expansion of different pricing models, the need is to find one that ticks off all the requirements. Every business has a different buyer persona which is why the pricing strategy needs scrutiny and inclusivity as well. There is a continuum of features ranging from based to advance levels, and here the hybrid pricing model comes into the limelight.

The hybrid pricing model is a mixture of different pricing models (profitable for buyers and retailers) in which customers have the freedom to enjoy pricing flexibility with a given set of features.

The subscription-based businesses are expected to grow by 200%. Surveys show that people are not attracted to the traditional business models rather they are more inclined towards value for the customers. SaaS companies are rapidly modifying their pricing strategies and models with hybrid pricing as it is more profitable.

In this article, we are going to look at the rise of hybrid pricing strategies in SaaS and what makes the foundation for building up hybrid SaaS billing.

Laying the Groundwork for Optimized Hybrid Billing

If you plan on introducing and including the feature of hybrid billing then it is important to make it optimized enough with a strategy.

For laying the groundwork for optimized hybrid billing, some postulates can help you in setting the prices and selling features for hybrid billing. Let’s look into them.

Market Research

Without market research, no one can step up the chance to win. Therefore, it is important that you conduct market research thoroughly to understand your buyer persona, competitors, pricing, pricing trends, most selling and demanded features, and so on. It is highly recommended to look into the pros and cons of the hybrid billing strategy just to make sure that it suits your business and will give you enough profit with marginal costs.

Search For The Best Automated Tools In the Market

There is a myriad of automated tools in the market, however, one has to be extremely picky and choosy while choosing a crucial software for pricing.

While you search for the best-automated tools you will need to look into the aspects of pros and cons of using that tool. Not only this, but it is important to study the difference in pricing of different tools of their features. SubscriptionFlow is one of the automated tools in the market that has been given the award of High performance by G2.

Our SaaS tool provides B2B merchants with different pricing models that they can leverage to extend their services to the customers in the most flexible way. Our hybrid billing model is specifically made to cater to the needs of merchants who want to make their business pricing inclusive of the hybrid billing model.

Centralize the Database

Centralizing the database means relying on automated and cloud-based software and leaving behind all the traditional/manual methods.

When you centralize the data, it gets easier for you to roll out the new pricing without affecting the data. Moreover, by centralizing the customer database, it will be easy to locate your data to the SaaS pricing management software so that the database and pricing can be implemented seamlessly.

Hybrid Billing Options for SaaS Companies

Hybrid billing strategy is a wide subject and it includes different billing options that companies can choose from. Every billing option will help you decide to choose one that fits your industry and customer needs. Let’s look into them.

Feature-Based Subscription Tiers

Small businesses and startups use feature-based subscription tiers in which there is a hierarchy among tiers based on advanced and basic features. The pricing of those feature-based subscription tiers helps you decide which tier to use along with choosing the pricing that fits your budget.

The benefit of this turbid pricing option is that you can provide your product or service to the customers to have a limited budget and less need for advanced features. Therefore, never miss out on any customer and cash the opportunity with it.

Overage-Based Billing

Overage-based billing is an amalgamation of usage-based billing and flat fee billing. This pricing strategy entails charging customers for other than the flat fee bill when the usage exceeds.

For suppose, if a customer has a flat fee billing model for certain features and usage consumption and it exceeds then the customer will be compelled to pay for the exceeding usage of features or consumption.

It helps in revenue generation and also gives liberty to the users to keep their work going by paying extra charges for that. Overage-based billing helps build a good customer merchant relationship as the services are not cut off directly once the package has been fully utilized.


Freemium seems to be an appealing and easiest pricing strategy to offer. However, this is not child’s play, and not every business can jump into offering freemium.

Freemium entails offering some features to the customers for free but not all features are available in a free package. With this being said, for pricing the advanced features it is extremely important to scrutinize the aspects that will help in making a freemium strategy.

We the free trial and freemium management that help customers to manage their free trials or freemiums using our software with a complete database of paid and unpaid users. Explore our features to know how you can turn your unpaid users into paid users.

Read more: Maximize Customer Acquisition With Free Trials and Freemiums for Your SaaS!

Wrapping Up

Implement a hybrid pricing strategy for your business using SubscriptionFlow. Our pricing and billing features are made to fulfill every need of the customers and using our software you can achieve it all seamlessly.

Our technical team will give you a walkthrough of our software to help you understand its importance of it for your business.

Schedule a demo now!