Unlocking the Mysteries of White Label SaaS Pricing: A Guide for Resellers and Agencies

Anant Gupta
28 Min Read
- Advertisement -

Are you struggling with understanding and setting the right price for your White-label SaaS product? You’re not alone. As a veteran in this industry, I can assure you that I’ve navigated the same choppy waters, discovering that pricing is crucial to maximizing revenue (Fact).

In this guide, we’ll unfold the mysteries of white label SaaS pricing and provide effective strategies tailored for resellers and agencies. Ready to dive into the world of profitable pricing? Let’s unlock these secrets together!

Key Takeaways

  • Pricing white label SaaS products requires careful consideration of factors such as market demand, value proposition, cost structure, target audience, pricing models, scalability, competitive landscape, customer lifetime value, packaging options, and iterative testing.
  • Different pricing models for white-label SaaS include flat-rate pricing, usage-based pricing, tiered pricing, per-user pricing, and freemium pricing. Choosing the right model depends on factors such as the complexity of the service and customer preferences.
  • Strategies for effective white label SaaS pricing include conducting market research and competitive analysis to determine a competitive yet profitable price point; implementing value-based pricing to emphasize the benefits and outcomes of the software; using tiered pricing to cater to different customer segments and upsell opportunities; and leveraging bundling and upselling techniques to add value and maximize revenue potential.

Understanding White Label SaaS Pricing

White label SaaS pricing is crucial for resellers and agencies in order to maximize revenue and effectively compete in the market.

Importance of pricing in white label SaaS

Crafting an effective pricing strategy for white label SaaS is key to your agency’s success. Not only does it directly influence your profitability, but it also shapes the perceived value of the product you’re selling.

Moreover, proper pricing can help build a robust brand around your product and position you ahead in this competitive market. As resellers and agencies, when setting prices for white-label SaaS, remember that while our primary goal is maximizing revenue, we should also strive to offer fair value to our clients that encourages loyalty and recurring business.

It’s not just about short-term gain; setting the right price points is essentially planting seeds for longer-term growth and stability in your business. Understanding different SaaS pricing models will allow us more flexibility in achieving these goals.

Factors to consider in pricing

Pricing white label SaaS products can be a complex task, but by considering these factors, you can determine the ideal pricing strategy for your agency or resale business:

  1. Market Demand: Analyze the demand for similar SaaS products in your target market. Identify what price points customers are willing to pay and how your product compares to competitors.
  2. Value Proposition: Determine the unique value your white label SaaS product offers. Consider the features, functionality, and benefits it provides to customers compared to other options in the market.
  3. Cost Structure: Calculate all costs associated with acquiring, customizing, and delivering the white label software. This includes licensing fees, customization expenses, ongoing support costs, and any additional services you provide.
  4. Target Audience: Understand your target audience’s budget and purchasing power. Consider their industry, company size, revenue potential, and specific pain points that your product solves.
  5. Pricing Models: Explore different pricing models such as subscription-based (monthly or annual), usage-based (per user or API calls), tiered pricing (basic, premium, enterprise), or freemium with upgrade options. Choose a model that aligns with both customer preferences and your revenue goals.
  6. Scalability: Evaluate whether your pricing allows room for growth and scalability as you acquire more clients or increase product demand. Consider how price changes could affect customer retention and revenue growth.
  7. Competitive Landscape: Research competitor pricing strategies to ensure you remain competitive in the market while offering value-added features or better customer service at a justified price point.
  8. Customer Lifetime Value: Estimate the lifetime value of a customer by considering their average retention rate and potential upsell opportunities. Use this information to determine an appropriate pricing structure that maximizes long-term revenue.
  9. Packaging Options: Assess whether bundling additional services or features with the white label SaaS product can justify higher prices or create upselling opportunities for existing customers.
  10. Iterative Testing: Continuously monitor the effectiveness of your pricing strategy and make adjustments based on customer feedback, market conditions, and overall business objectives.

Different pricing models

As a savvy agency owner or reseller, understanding the various pricing models of white-label SaaS is critical to your success. There are several pricing models you can consider, each with its own advantages and drawbacks.

Pricing Model Description Accordingly Important Fact
Flat-rate Pricing This is the simplest pricing model, where customers pay a single, fixed fee for the software. Ideal for straightforward, uncomplicated services. White-label SaaS is generally less expensive for resellers. They don’t have to invest time and money into developing the program. Therefore, they can afford to offer a flat rate.
Usage-Based Pricing This model charges clients based on how much of the software’s features or services they utilize. Great for SaaS with a wide range of features and services. SaaS pricing can vary depending on factors such as features and usage.
Tiered Pricing Often favored by SaaS companies, this model offers different pricing levels, with each tier offering more features or services. Enables clients to choose a plan that suits their needs. Agencies often resell white-labeled software coupled with content creation for between $100 and $700 per month. A tiered model can help match client needs with this price range.
Per User Pricing As the name suggests, this model charges per user or seat. It’s a common model for B2B SaaS products. Pricing white-label SaaS correctly is crucial for maximizing revenue and building a brand around the product. Charging per user can ensure you’re pricing accurately.
Freemium Pricing This model offers basic services for free, with premium features or services attracting a fee. This can help attract new users or small businesses. White-label SaaS can be a profitable business model for resellers and agencies. By offering a freemium plan, resellers can attract new users, who may later upgrade to paid plans.

Remember, pricing should not only consider cost but also value. By choosing the right pricing model, you can ensure you’re delivering value to your clients while maximizing your profitability.

Strategies for Effective White Label SaaS Pricing

To ensure successful white label SaaS pricing, resellers and agencies should employ strategies such as market research and competitive analysis, value-based pricing, tiered pricing, and bundling and upselling.

1. Market research and competitive analysis

As agency owners and resellers, conducting thorough market research and competitive analysis is essential for setting the right pricing for your white label SaaS products. By understanding the current market trends, customer preferences, and competitor pricing strategies, you can position yourself for success.

Start by examining your target market’s needs and pain points. What are their expectations when it comes to SaaS solutions? By gaining insights into their specific requirements, you can identify opportunities to differentiate your offering and provide greater value.

Next, analyze the competition. Look at how other resellers are pricing similar white label SaaS products and services. This will help you gauge what customers are willing to pay in relation to the features offered.

Keep in mind that different markets may have varying price ranges based on factors such as industry sophistication or geographical location.

2. Value-based pricing

As an agency owner or reseller, one pricing strategy you should consider for white label SaaS is value-based pricing. This approach involves setting the price of your software based on the perceived value it brings to your clients.

By focusing on the benefits and outcomes that your software delivers, rather than just its features, you can justify a higher price point.

For example, if your white label SaaS product helps businesses streamline their operations and increase productivity, you can position it as a valuable tool that saves time and money. In this case, charging a premium price becomes more justified.

To determine the ideal value-based pricing for your white label SaaS product, consider factors such as ROI (return on investment), efficiency gains, cost savings, competitive advantages, and unique features that set your software apart from competitors.

By understanding the tangible benefits that customers will receive by using your product, you can confidently price it at a level that reflects its true worth in the market.

3. Tiered pricing

One effective strategy for white label SaaS pricing is tiered pricing. This approach allows resellers and agencies to offer multiple packages at different price points, catering to the diverse needs of their clients.

With tiered pricing, agency owners can create a range of options that provide varying levels of features, functionality, and support. By offering different tiers, you can appeal to a broader audience and capture customers who may have different budgets or requirements.

For example, if you’re reselling white-labeled software coupled with content creation services, you could have three tiers: Basic, Pro, and Premium. The Basic tier might include essential features at an affordable price point aimed at small businesses or startups.

The Pro tier could offer additional functionality and more extensive content creation services for mid-sized companies looking to scale their marketing efforts. And finally, the Premium tier could provide advanced features like automation capabilities and personalized content strategies designed for large enterprises.

Tiered pricing not only allows you to cater to various customer segments but also provides opportunities for upselling as client’s needs evolve over time. As your customers grow their business or require more advanced solutions, they can easily upgrade to higher-priced tiers with enhanced functionalities.

4. Bundling and upselling

One effective strategy for maximizing revenue and adding value to your white label SaaS offerings is through bundling and upselling. By combining different features or services into packages, you can create compelling bundles that cater to the specific needs of your clients.

This not only enhances the perceived value of your products but also allows you to charge higher prices.

When bundling, it’s important to understand your target market and their preferences. Conducting market research and competitor analysis will help you identify which combination of features or services is most in demand.

Additionally, tiered pricing can be implemented within each bundle, giving customers options that fit their budgets while still providing valuable solutions.

Upselling is another powerful technique that involves offering additional upgrades or add-ons to existing customers. For example, if a client has purchased a basic package from you, you can present them with an opportunity to upgrade to a more advanced version with enhanced functionality.

Upselling not only increases customer satisfaction but also boosts your overall revenue by selling higher-priced products.

Remember, when implementing bundling and upselling strategies, it’s crucial to track essential metrics like customer retention rates and average revenue per user (ARPU). These insights will help you refine your pricing strategy as well as identify areas where customers may need additional support or incentives.

Overcoming Challenges in White Label SaaS Pricing

Tracking crucial metrics is essential for overcoming challenges in white label SaaS pricing, as it allows resellers and agencies to analyze the effectiveness of their strategies and make data-driven decisions.

1. Tracking crucial metrics

As agency owners and resellers, tracking crucial metrics is essential for understanding the effectiveness of your white label SaaS pricing strategy. By analyzing these metrics, you can make data-driven decisions to optimize your pricing and maximize revenue. Here are some key metrics to track:

  1. Conversion Rate: Measure the percentage of potential customers who convert into paying clients. This metric helps you evaluate the effectiveness of your pricing in attracting and convincing prospects to purchase.
  2. Customer Lifetime Value (CLV): Calculate the average value a customer brings to your business over their entire relationship with you. By tracking CLV, you can determine if your pricing is generating long-term profitability.
  3. Churn Rate: Monitor the rate at which customers cancel or stop using your white label SaaS product. High churn rates may indicate that your pricing is not aligned with customer expectations or needs.
  4. Acquisition Cost: Determine how much it costs to acquire new customers, including marketing and sales expenses. This metric helps you assess if your pricing generates enough profit to cover acquisition costs.
  5. Profit Margin: Measure the difference between the revenue generated from sales and the total costs associated with providing the white label SaaS product. Tracking profit margin allows you to identify if your pricing strategy is delivering sufficient profits.
  6. Pricing Elasticity: Assess how sensitive demand for your white label SaaS product is to changes in price. Understanding pricing elasticity helps you determine if adjusting prices will result in increased sales and revenue.
  7. Customer Satisfaction: Regularly survey customers about their satisfaction levels with your white label SaaS product and its pricing structure. Positive feedback indicates that your pricing aligns well with customer expectations.
  8. Competitive Analysis: Continuously monitor and analyze competitors’ pricing strategies to ensure that your offerings remain competitive in the market.

2. Developing a pricing strategy

Developing a pricing strategy for your white label SaaS products is essential for maximizing revenue and ensuring the success of your business. Here’s how you can create an effective pricing strategy:

  1. Know Your Market: Research and analyze your target market to understand their needs, preferences, and willingness to pay. Identify any gaps or opportunities in the market that your white label SaaS product can fulfill.
  2. Determine Your Value Proposition: Clearly define the unique value proposition of your white label SaaS product. What makes it stand out from competitors? How does it solve specific pain points for your target audience? Use this information to position your pricing as a reflection of the value you provide.
  3. Consider Tiered Pricing: Offer different pricing tiers based on features, usage limits, or customer segments. This allows you to cater to different types of customers and capture a wider range of potential clients. Ensure that each tier provides clear benefits and value for customers at that level.
  4. Bundle and Upsell: Consider bundling additional services or add-ons with your white label SaaS product to increase its perceived value. This can include premium support, features upgrades, or exclusive access to resources or training materials. Additionally, offer upselling options that allow customers to easily upgrade their subscription as their needs evolve.
  5. Test and Iterate: Don’t be afraid to experiment with different pricing strategies and models. A/B test different price points, discount offers, or packaging options to see what resonates best with your customers. Continuously monitor customer feedback, engagement metrics, and competitor pricing to make data-driven adjustments.
  6. Monitor Key Metrics: Keep a close eye on key performance indicators such as customer acquisition cost (CAC), customer lifetime value (CLTV), churn rate, and average revenue per user (ARPU). These metrics will help you evaluate the effectiveness of your pricing strategy and identify areas for improvement.
  7. Stay Competitive: Regularly research and analyze your competitors’ pricing models and strategies. Ensure that your prices are competitive within the market while still reflecting the unique value your white label SaaS product offers.

3. Convincing clients to purchase

From my experience working with agency owners and resellers, I understand that convincing clients to purchase a white label SaaS product can sometimes be challenging. However, there are several strategies that can help you overcome this hurdle.

Firstly, it’s important to clearly communicate the value and benefits of the white label software to your clients. Highlight how it can streamline their operations, increase efficiency, or save them valuable time and money.

Additionally, showcasing success stories or case studies of other clients who have benefited from the software can greatly enhance your credibility and persuade potential buyers.

Another effective approach is offering trial periods or demos to allow your clients to experience the software firsthand before committing to a purchase. This gives them an opportunity to see its functionality and determine if it aligns with their specific needs and requirements.

Furthermore, emphasizing the cost savings associated with white label SaaS compared to developing a similar solution from scratch can be a persuasive factor for budget-conscious clients. By stressing that they don’t need to invest significant time and resources into development or maintenance costs, you’re illustrating how choosing a white label solution offers immediate value at an affordable price point.

Lastly, highlighting any unique features or customization options available in the white label software can help differentiate your offering from competitors in the market. Clients are more likely to make a purchase when they feel like they’re getting something tailored specifically for their business.

Steps to Choosing the Right White Label SaaS Product

Research the market, test and subscribe to different white label SaaS products, customize them to fit your customers’ needs, and start selling.

1. Researching the market

Researching the market is a crucial step in choosing the right white label SaaS software for your agency or reseller business. By understanding the market trends, customer needs, and competitor offerings, you can make an informed decision that aligns with your business goals.

Start by exploring the different white label SaaS products available and evaluate their features, pricing models, and target markets. Look for reviews and testimonials from other resellers or agencies to get insights into their experiences.

Additionally, pay attention to any special requirements or customization options offered by the white label SaaS providers. Consider conducting trials or subscribing to software yourself to gain hands-on experience with its functionality and ease of use.

This will help you determine if it meets your client’s needs and if it’s something you can confidently sell.

Remember that every market may have unique demands and preferences, so take this into account when researching potential customer’s pain points and how a particular white label SaaS product can address them effectively.

2. Testing and subscribing

Once you have researched the market and identified potential white label SaaS products for your agency or reselling business, the next step is to test and subscribe to them. This allows you to get firsthand experience with the software and understand its capabilities, features, and user experience.

By testing and subscribing, you can evaluate whether the product meets your requirements and aligns with your client’s needs. It’s important to thoroughly assess the functionality, ease of use, scalability, and reliability of the software before offering it to your customers.

Additionally, subscribing to a white label SaaS product gives you access to ongoing updates, support services, and any new features that may be released in the future. Testing and subscribing is an essential part of choosing the right white label SaaS product as it ensures that you can confidently customize and sell a high-quality solution to your clients while maximizing revenue for your agency or reselling business.

3. Customizing and selling to customers

When it comes to white label SaaS, one of the key advantages is the ability to customize and sell the software as your own. This means that agency owners and resellers can tailor the product to fit their client’s specific needs and brand identity.

By customizing the software, you can create a unique offering that sets you apart from competitors and adds value for customers. Whether it’s adding additional features or integrating with other tools, customization allows you to meet the individual requirements of each client.

Once customized, selling becomes easier as you have a tailored solution that aligns perfectly with your target market’s needs. Remember, by presenting a personalized product to potential clients, you demonstrate expertise in understanding their challenges and finding solutions – making it more likely they will choose your offering over generic options available in the market.

Conclusion: Unlocking the Success of White Label SaaS Pricing

In conclusion, understanding and mastering white label SaaS pricing is essential for the success of resellers and agencies. By conducting thorough market research, implementing value-based and tiered pricing strategies, and continually tracking crucial metrics, businesses can unlock the mysteries of white label SaaS pricing.

With the right approach, resellers and agencies can maximize revenue, build a strong brand around their products, and offer customizable solutions to their clients. So don’t let the complexities of white label SaaS pricing deter you – embrace it as an opportunity to thrive in this ever-evolving industry.


1. What is white label SaaS pricing?

White label SaaS pricing refers to the cost structure and strategies associated with reselling software-as-a-service (SaaS) products under your own brand. It involves purchasing a ready-made software product from a provider and rebranding it as your own, allowing you to offer it to customers as part of your service offerings.

2. How can I determine the right pricing for my white label SaaS product?

Determining the right pricing for your white label SaaS product requires considering factors such as market demand, competitive analysis, target audience, value proposition, and costs associated with providing the service. Conducting thorough research and testing different price points will help you find a balance that maximizes profitability while remaining attractive to potential customers.

3. Are there any common mistakes to avoid when setting white label SaaS pricing?

Yes, some common mistakes to avoid when setting white label SaaS pricing include underpricing your product leading to undervaluation, overpricing resulting in limited customer interest or affordability issues, not accounting for ongoing maintenance and support costs in the pricing model, and failing to regularly review and adjust prices based on market conditions or customer feedback.

4. Can I customize the features and functionality of a white-label SaaS product?

Yes! White-label SaaS products generally offer flexibility for customization according to the needs of resellers or agencies. You can often tailor the branding elements such as logo, color scheme, website design, etc., and even add custom features specific to your target market’s requirements without having to develop an entire software solution from scratch.

Share This Article
Founder @ GrowMeOrganic | GlideCampaign 🚀 - Helping Small and Medium-Sized Businesses Reach Their Full Potential
Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *