Latest / SaaS Business with Fexingo: Software-as-a-Service Companies, ARR, and Recurring Revenue
The SaaS Pricing Trap That Kills Margins
Most SaaS companies treat price increases as a sales problem, not a product one. In this episode of SaaS Business with Fexingo, Lucas and Luna dig into the specific mechanics of how enterprise software firms accidentally destroy their own margins by bundling features that cost nothing to replicate but drive immense churn. They examine why the 'land and expand' model often backfires when expansion pricing is tied to volume rather than value, using a hypothetical mid-market platform to show how hidden discounting erodes net revenue retention. The conversation explores the structural…
The skinny
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