Are your prices silently costing you thousands each month?
If you’re like most SaaS founders, you probably set your pricing once - maybe at launch - and then forgot about it. But while your pricing sits stagnant, the market doesn’t. Competitors adjust, user expectations evolve, and your MRR could be quietly leaking away without you even noticing.
The Silent Drain of Static Pricing
Many founders fall into the trap of thinking pricing is a “set it and forget it” decision. In reality, SaaS pricing is a living part of your business. Your pricing should reflect the value you deliver - and that value almost always increases over time.
Consider this common scenario:
- You launched your SaaS at $29/month, attracting early adopters.
- Your users love it, and your product keeps improving with new features.
- Your team grows, support becomes more robust, and your platform’s reliability improves.
Yet your pricing stays at $29/month. Meanwhile, competitors adjust their plans based on market trends, sometimes raising prices to match value or lowering prices to gain share. Users notice these shifts, and even if they don’t leave, you’re leaving money on the table every month.
Real-Life Example: MRR Left Behind
Let’s break it down with numbers:
- Suppose you have 500 active users paying $10/month less than your product’s true value.
- That’s $5,000 in lost MRR every month.
- Over a year? That’s $60,000 of revenue you could have captured by simply updating your pricing.
And that’s just a conservative example. Consider a more realistic SaaS scenario:
- Initial launch price: $29/month
- Post-traction “fair” price: $39/month
- Users: 1,000
Lost MRR: 1,000 × ($39 – $29) = $10,000/month, or $120,000/year.
Now imagine multiplying that across multiple tiers and thousands of users. The revenue lost from static pricing can easily surpass the cost of hiring additional team members or investing in marketing campaigns.
Why Founders Hesitate to Adjust Prices
Many founders avoid raising prices because they fear churn or negative feedback. But data shows:
- Most users accept price increases if they perceive increased value.
- Strategic adjustments, especially communicated clearly, rarely result in significant cancellations.
- Regularly revisiting pricing is part of building a healthy, scalable SaaS business.
In fact, staying at the same price for years can communicate undervaluation, which sometimes hurts your product’s reputation more than a small, justified price increase.
How to Avoid MRR Loss
Here are practical steps to make sure your pricing reflects your product’s value:
- Track competitor pricing regularly – If competitors adjust, you’ll know when it’s time to reevaluate your own.
- Review your usage metrics – Higher engagement or added features often justify higher prices.
- Segment your customers – Different pricing tiers for high-value customers can capture more revenue without alienating smaller users.
- Communicate increases proactively – Highlight new features, improved support, or other added value when adjusting prices.
Take Action Now
Static pricing isn’t just “outdated” - it’s actively costing you revenue. Don’t let competitors quietly take what’s yours.