MultiHub Forum

Full Version: How should I price a freelance project management tool: flat vs per user?
You're currently viewing a stripped down version of our content. View the full version with proper formatting.
I'm launching a new project management tool aimed at freelance creatives, and I'm completely stuck on the pricing strategy. I've done some competitor analysis, but I'm torn between a simple flat monthly fee and a more complex per-project or user-based model. My fear is that a flat rate will leave money on the table from larger users, but a per-user fee might scare away the solo freelancers who are my initial target. How have other SaaS founders in this niche approached this, and what metrics did you use to validate your pricing tiers after launch?
Flat monthly is simple, but you’ll likely miss bigger freelancers. Try a base price plus usage/add-ons so the price scales with value.
We tried a three-tier setup: Starter, Pro, Scale. The base covers up to a certain number of projects and seats, with extra projects or extra seats adding on. We validated mainly with small price tests and watched MRR growth, upgrade rate, and churn.
A value-based angle helped us: map the concrete outcomes freelancers get (time saved, fewer back-and-forths) and price around that, using a quick willingness-to-pay survey and 2–3 price points. Then track NRR and CAC payback and adjust. Consider a short A/B test on pricing too.
Don’t chase the perfect model from day one. Start with a pragmatic hybrid: a light base plus a modest per-project or per-seat add-on. If you lean too hard toward one side you’ll push away half your audience, so let the data steer you.
Are you targeting a global market or a specific region? Do you plan annual prepay discounts? What baseline features are included? Those choices will steer whether you lean more flat, more usage-based, or something in between.
Key metrics to validate after launch: MRR/ARR growth, churn (logo and revenue), expansion revenue, LTV/CAC, activation rate, and time-to-value. Also consider segment analysis (solo freelancers vs small studios) to see who’s paying more for which features.
Try a quick 2–3 version price test over 2 weeks or so. Keep onboarding the same and measure signups, activation, retention, and revenue differences to pick a winner.