How do I price my SaaS?

Question

I am about to launch my Saas and is looking for advice on how to price it. It's a service that automate the work for companies doing inspections on certain machines. There are at most say 150 potential customers in my country. Customers have 1-100 employees (I.E. users) (average 15) and the ambition is that this service will improve their productivity with 10-15%. I am considering user based pricing, since I have taken some measurement to prevent users from sharing accounts. It also adds a lot of value for them to use personal accounts. However, the internet appears to be more in favour of tiered pricing. How should I reason here?

throwaway019254 · Accepted Answer

So how much are they paid for the machine inspection? How many machines can one person inspect per year?If one person can inspect 100 machines per year and each inspection brings 5000$ which is 500k per year of revenue. Then I would pay you a lot of money if I knew that they will be able to inspect 115 machines from now.

brudgers · Answer

Let x = number of actual customers right now Let y = total salary load Let z = overhead Let p = profit price = (p * (y + z)) / x Good luck.