The Multiple Dimensions of Cloud and SaaS Pricing Models

Cloud and SaaS pricing is typically multi-dimensional, meaning that there are two different variables that drive the monthly price.  The first dimension is typically the number of features available for the customer to use.  Most cloud and SaaS applications are packaged into multi-tiered offerings.  Each tier offers more features along with a higher price.  The second dimension is typically a value metric that correlates to the customer’s actual interaction with the product.