Pricing is a challenge, but now more than ever, companies need to hit the market with optimized pricing to stay competitive. Many companies leave money on the table by not pricing thoughtfully, which can impact revenue.
With the right combination of long and short-term strategies, businesses can attract more loyal customers. Accrue helps technology companies increase profits by testing and optimizing pricing, product and service bundling, and monetization aspects.
The Nuts & Bolts
Problem: We’ve seen that pricing is typically one of the last decisions made for products or services of high growth startups. While there may be rigorous processes in place for shipping products, pricing seems to be more of an afterthought, and in some cases, a shot in the dark. Accrue is setting out to productize pricing science methodologies to help companies better optimize their pricing schemes.
Solution: Accrue uses a combination of established and novel pricing strategies and employs the latest AI and data science approaches to help companies reach their desired business outcomes by identifying key opportunities in areas, such as:
- Pricing structure/metrics
- Pricing levels
- Packaging/bundling
- Payment terms
- Contract lengths
- Discounting
When 500 Met Accrue
We met the Accrue team through open office hours. Ammanuel Selameab, the co-founder and CEO, has deep experience in pricing, spending the last eight years in this space. Prior to starting Accrue, Ammanuel was the Head of Pricing at Carta and has spent time working in pricing for Gap, Reinvate, and Cargill.
Why Now?
Studies found that half of seed-stage SaaS companies think about pricing at the last minute, as they’re getting ready to launch their product. Over 40% of these companies have never tested or piloted pricing, and a similar number have never performed market research to assess how much buyers would pay for their product or service.
Executives know this is a problem. A Bain survey found that 78% of respondents noted their pricing decisions could be improved, and they realize they are leaving money on the table on many aspects of pricing.
Accrue has adopted a data-driven approach to pricing automation to help companies scale faster. They typically begin an engagement with a Proof of Concept where they evaluate business goals and current pricing strategies, run preliminary tests, and provide a list of actionable recommendations for increasing revenue and profit.
Future of Accrue
Accrue is currently in private beta, so if you are interested in giving their product a test drive, sign up to join the waiting list today.
If you would like to learn more about companies, sectors, and trends that we are excited about as well as receive invitations to exclusive previews, and expert roundtables, please sign up here.
You can learn more about Accrue at: https://goaccrue.io.
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