alexe-ev Evaluate Pricing Model
Purpose
Help teams assess whether the current pricing model is aligned with value delivery, customer behavior, and business objectives — and identify structural changes worth pursuing.
Skill type
Conceptual skill
Use this skill when
- Pricing is suspected to be limiting growth or expansion
- A pricing model change is being considered (e.g., moving to usage-based)
- Competitive pricing pressure is eroding the current model
- Expansion revenue is low and pricing structure may be the cause
Do not use this skill when
- The goal is packaging tiers (use design-packaging-tiers)
- The goal is pricing a new feature from scratch (use support-pricing-packaging)
Required inputs
- Current pricing model and structure
- Target customer segments
- Business goals (growth, expansion, NRR, margin)
Optional inputs
- Expansion revenue data
- Customer feedback on pricing
- Competitive pricing structures
- Churn reasons related to pricing
- Unit economics data
Upstream context
Works best when:
- LTV:CAC model exists
- Customer segments are defined
- Churn analysis exists
Downstream handoff
Output can feed:
- support-pricing-packaging (evaluation → pricing recommendations)
- design-packaging-tiers (model change → tier redesign)
- align-revenue-strategy (pricing model → revenue strategy)
Instructions
- Describe the current pricing model and how it works.
- Identify the value metric: what do customers pay for? Is it aligned with the value they receive?
- Assess expansion revenue: does the model allow customers to expand without friction?
- Assess competitive positioning: how does pricing compare to alternatives?
- Identify structural issues: where is the model misaligned with value or growth?
- Evaluate alternative models: per-seat, usage-based, outcome-based, hybrid.
- Recommend whether to keep, adjust, or replace the model.
Output
Provide:
- Current model description
- Value metric assessment
- Expansion revenue analysis
- Competitive pricing position
- Structural issues identified
- Alternative model options with trade-offs
- Recommendation: keep / adjust / replace
- Validation steps before changing the model
Risks / caveats
- Pricing model changes affect existing customers and require careful migration planning
- Usage-based pricing introduces revenue unpredictability — model the variance
- Pricing changes must be tested before full rollout — pilot with new customers first