Take a look at what you're selling and taking your growth outlook into perspective, decide how aggressive you want to be with pricing. Pricing strategies are determined largely in part by the company's brand, sector and offerings. In addition, I find that oftentimes the pricing structure you start with isn't what you'll build into a sustainable model, so it's always important to iterate. Having led pricing strategy for Google Cloud for a few years, I've found that leading with value-based pricing as opposed to cost-based is critically important for long-term success. Research, test and revise until you find that sweet spot that fits both the budget of your customers and the revenue goals of your business. While there are best practices, using a one-size-fits-all model can lead to an unintended disconnect with your customers. Pricing decisions cannot be made in a vacuum they need to be based on target market, buyer personas and marketing strategy research. Do they feel a subscription model or pay-per-use model feels right? Again, you need to be willing to ask. Customers will also tell you how they want to pay. Customers will tell you what they value, how much they value it and what they will pay for it if you ask. Working with prospective customers to get the pricing strategy right is the only way to do it. I quantify our time spend against a rate card and extend a discounted rate for retainer clients. There will always be a cheaper alternative to what you offer but competitors can't take away the relationship that you have formed with your clients.

Understanding your unique selling proposition (USP) is key to selecting a pricing strategy.

Competitor based pricing strategy