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Oct 5, 2020

Amy Konary has more than 20 years of experience advising companies on subscription business strategies. She is the founder and chair of Subscribed Institute, a think tank for the subscription economy. Through the Subscribed Institute, Amy brings together a community of business executives, thought leaders, and industry experts at a series of Executive Summits and events. She generates research and industry benchmarks on subscription transformation topics. Amy also advises Zuora customers on subscription business strategy development, execution, and maturity.  

Amy shares about subscription success in this episode, impacting revenue growth by enabling flexible pricing and product packaging.


Why you have to check out today’s podcast:

  • Learn about how subscription pricing considers three pricing models to maximize revenue 
  • Find out the three pricing elements that impact revenue growth 
  • Learn to understand the B2B Subscription Pricing


“Simple core with flexible pricing, that would be my advice.” 

 - Amy Konary


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Topics Covered:

01:41 - Amy talks about the report B2B Subscription Pricing: Three Critical Elements That Impact Revenue Growth 

03:07 - What is flexible pricing 

04:44 - Company that uses a flexible pricing 

06:07 - On price tweaking 

08:14 - How is a product defined 

12:04 - Flat fee versus per unit pricing 

13:51 - Getting in-depth into per-unit pricing 

15:25 - The difference between per-unit pricing versus usage-based pricing 

17:59 - Discussing growth rate in terms of using or not using usage-based pricing 

19:18 - How Box uses a usage-based pricing 

22:13 - One important pricing advice that could have an impact on one’s business 


Key Takeaways:

“What we find in the subscription world is the way that you add flexibility is by coupling a simple and flexible approach. And what we mean by that is rather than selling products, you're selling services around specific subscribers.” - Amy Konary  

“The fastest-growing companies are those that introduce new packages or products more frequently.” - Amy Konary  

“Pricing and packaging are really important, your ability to cross-sell, and upsell is really important. Your ability to increase volume is really important because that's really where you're going to get the most of your revenue from that subscriber.” - Amy Konary  

“Keep it simple, just launch something really simple when you get to market. As the company matures, as their revenue grows, that's where you start to see companies do segmentation, really get into the good, better, best models, maybe sell some add-ons.” - Amy Konary 

“In the subscription world, you want to eliminate that kind of friction, you want to make it really obvious to the customer, what they should buy, and what kind of value it's going to offer to them. You’re doing yourself a disservice if you've got too much choice for customers.” - Amy Konary 

“We see usage-based pricing being a really important approach, particularly in situations where it's really important what that usage might be to the value that you're getting out of the service.” - Amy Konary


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