How to Price SaaS for Maximum Growth with Dan Balcauski

What if your pricing strategy was actually costing you revenue instead of capturing it? In this episode of SaaS That App – Building Tech-Enabled Businesses, hosts Aaron Marchbanks and Justin Edwards sit down with Dan Balcauski, Founder of Product Tranquility, to unpack why most SaaS pricing strategies quietly erode revenue. Dan explains why the real leverage lies in who and how you charge, not just the price itself. From choosing the right price metric to navigating AI monetisation and communicating changes without losing trust, this episode delivers practical frameworks to turn pricing into a durable competitive advantage.

What You’ll Learn:

Why "what you charge" is less important than "who and how you charge"
How to evaluate price metrics using three core criteria
The difference between value metrics and price metrics
Why charging per AI token usage is a strategic misstep
How to segment existing customers before announcing pricing changes
The operational enforcement gap that kills market signals

Dan Balcauski is the founder of Product Tranquility, a consulting firm specializing in helping B2B SaaS companies design pricing and packaging strategies that authentically reflect customer value. With a background as a computer engineer and product leader across startups and enterprise organizations, Balcauski has spent his career at the intersection of product strategy and business growth. He transforms pricing from a strategic liability into a competitive asset for scaling companies, and hosts the podcast *SaaS Scaling Secrets*, where he interviews B2B SaaS founders navigating the complexities of growth. His work directly addresses one of the most challenging problems in software: aligning pricing models with real customer value and sustainable business models.

This podcast is brought to you by Delta Systems, your one-stop shop for front-end, back-end, and full-stack software development. At Delta, Justin and Aaron share the same philosophy when it comes to clients: they treat people like colleagues, not just customers. Maybe that’s why Delta typically spends years working with the same companies: how many software engineering firms can you say that about? So, if you’ve got a big SaaS project in mind but have no idea where to start, come and get a free scope and estimate from Delta Systems on their website.

Got a burning idea for an episode, or a SaaS question you absolutely must know the answer to? Leave us a voice memo at SaasThatApp

Highlights:

[00:00] Intro
[04:39] Pricing and Packaging Are Two Different Problems
[07:28] Don't Innovate in Pricing; Lean on Market Conventions for New Products
[12:50] Look for Pricing Problems in Discount Dispersion, Not Just Customer Size
[18:26] Value Metrics and Price Metrics Are Different; Align Them
[24:42] Avoid Per-Token Pricing for AI Features
[32:12] Segment Your Customer Base Before Announcing Pricing Changes
[38:33] Enforce Your Discount Policy Consistently
[41:18] Key Takeaways: Strategic Pricing Transforms Your SaaS Business

Episode Resources:

Dan Balcauski on LinkedIn
Product Tranquility Website
Aaron Marchbanks on LinkedIn
Justin Edwards on LinkedIn
Delta Systems Website