Opportunity

The client had a significant opportunity to unlock revenue and enhance customer satisfaction by simplifying their pricing model. The existing bespoke structure, with minimal differentiation across tiers and a tangle of add-ons, created friction for both customers and sales teams.

Addressing this complexity through a streamlined pricing approach—aligned to customer segments and value drivers—offered a path to improved monetisation, reduced support burden, and stronger product-market fit.

Challenges

• Limited value differentiation: Customers struggled to perceive the value in higher-tier plans, reducing the likelihood of upgrades
• Complicated product offering: Excessive add-ons caused confusion, hindering adoption and complicating sales efforts
• Misaligned with customer segments: The product offerings did not match well with defined customer personas, creating a disconnect
• Unprofitable lower-tier plans: Entry-level offerings did not generate enough revenue to cover associated customer support costs
• Inconsistent feature usage: Variation in how features were utilized across customers indicated that the pricing structure was not capturing optimal value

Outcomes

The engagement delivered a projected $26–35 million annual revenue uplift, driven by the introduction of a more intuitive pricing structure and monetisation of previously free offerings.

A roadmap was established to support long-term pricing relevance, including usage-based pricing models for high-volume customers. This transformation also improved alignment between the commercial and product teams, enabling clearer value communication and increasing customer lifetime value.