Scenario

Clixflow is developing a new tiered pricing plan in order to meet their ARR (annual recurring revenue) goal of $50 million by increasing their paying user base to 1 million.

The new pricing plan will have three tiers: a free plan, and two paid plans with different features and benefits.

In the free version of Clixflow users can:

• Build a website for free (with a Clixflow ribbon ad).
• Use all of Clixflow’s web building tools.
• Get 1 GB of bandwidth and 500 MB of storage space.
• Get unique daily visits to the site of up to: 25,000 (users will be notified and charged if they go over).

In the second tier, users can:

• Connect a custom domain.
• Remove the Clixflow ribbon ad.
• Add a custom search engine to their site.
• 5 GB of bandwidth and 10 GB of storage space.
• Get unique daily visits to the site of up to: 250,000 (users will be notified and charged if they go over).
• One-time annual payment =$192 ($16 per month). Monthly payments, $20 per month.

In the third tier, users get:

• All benefits of the second tier, plus
• Unlimited bandwidth and 35 GB of storage space per site
• Unique daily visits to the site: 1,000,000 (users will be notified and charged if they go over)
• Advanced website analytics tool.