Ever wondered how aligning your pricing model with sales can make or break your product launch?
Today I’m speaking with David Caughman, Director of Pricing and Monetization at Docker, Inc. Discover how David's extensive experience-from crafting pricing models for airlines to leading Stripe's monetization team-shapes his approach to tackling Docker's unique pricing challenges. Drawing on real-world experiences and industry wisdom, we explore ways to harmonize product-led and sales-led growth strategies. Hear firsthand about the transformative shifts in Docker’s pricing models, as they move towards a more unified platform, simplifying access for developers and sparking potential upsell opportunities.
As we look to the future, we delve into AI's revolutionary impact on B2B software pricing. Discover how outcome-based and input-based pricing models are redefining value attribution, challenging traditional user-based pricing. With AI at the helm, imagine a world where pricing aligns perfectly with delivered value, offering new pathways for monetization.
In this episode:
(00:00) David Caughman's pricing journey, from airlines to Stripe, Simon-Kucher, and current role at Docker
(04:26) Discussing trends and AI's impact, lessons for launching a second product, aligning pricing models, collaboration between product and sales teams, and expanding customer use cases
(09:52) Value as a risk, involving sales teams early in the product development and pricing discussions, maintaining open and constant communication, and utilizing customer insights
(17:00) Docker’s newest pricing model, pricing and packaging changes simplifying access to products, reflecting customer feedback and potential upsell opportunities
(25:28) Start now for future pricing changes, looking ahead in the evolving landscape of B2B software pricing strategies in the era of AI, including outcome-based and input-based models
(35:00) Closing remarks, favorite jam
Welcome to Street Pricing, the only show where proven SaaS (Software as a Service) leaders share their mindset and mistakes in pricing so we can all stop guessing and start growing. Street Pricing is hosted by Pricing I/O CEO and Pricing Coach, Marcos Rivera, sought after slayer of bad pricing. With 20 years of pricing expertise, he has helped price over 200 SaaS products and coached over 100 SaaS CEOs and counting! From the streets of the Bronx to CEO, Marcos wants to take the guessing out of pricing.
Resources:
David Caughman LinkedIn: www.linkedin.com/in/david-caughman-7aa41319/
Docker Website: www.docker.com/
Axia Consulting: www.axiaconsulting.co/
Marcos Rivera LinkedIn: www.linkedin.com/in/marcoslrivera/
Marcos Rivera X: x.com/PRICINGIO
Pricing IO: www.pricingio.com/
Book: Street Pricing: www.amazon.com/Street-Pricing-Playlist-Leaders-SaaS/dp/1737528010
Email Street Pricing for a consultation: mailto:info@pricingio.com