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Glossary

Fig. 01 · Glossary

Seat-Based Pricing

Also known as Per-Seat Pricing, Per-User Pricing

Definition

Seat-based (per-seat) pricing charges by provisioned user, whether or not the seat is used. Its compounding mechanics - headcount growth times annual uplift times low utilization - are the engine of most SaaS budget shock. It is also the pricing model most exposed to the internal-build reversal: 'no per-seat fee' is one of the most common reasons teams cite for replacing a subscription with owned software.

Seats are the unit of negotiation. A seat audit before renewal - who is assigned, who logged in, which tiers they actually need - is the single highest-yield hour in software cost work.

Human Renaissance glossary · operator-grade definitions · Research methodology

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