We recently spent a couple weeks going over pricing with a GitLab regional Account Leader. We already use GitLab for all our source repos, CI/CD pipelines, and had been using it for issue management as well — all fully self-hosted. The hope was to drop Jira, which was also being used for project planning, and fully adopt GitLab, but the costs were simply unjustifiable. Basically GitLab ended up being a full order of…
GitLab team member here. Thanks for the thoughtful feedback. Will share with our team.
Gitlab is moving to a three-tier product subscription model
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Re: Gitlab is moving to a three-tier product subscription model
#102Remember when you make a pricing model for your company: you can never change it without some kind of backlash unless you can make things cheaper . So it's fine to charge a bit more initially and figure things out as you go, you can then lower the price once you've worked the numbers and/or have to respond to competitive pressure. But changing your model will upset your customers, no matter how well you intend it and…
Everything you said makes sense -- but at the same time, when building a SaaS offering, your initial product may have much less functionality than what you eventually plan to build. If you start at the price you want to charge in the end, people will look at the product and say, you expect me to pay $X for that ? One thing that may work is to offer early adopters a lower price, and keep them at that price forever, wh…
Re: Gitlab is moving to a three-tier product subscription model
#103Remember when you make a pricing model for your company: you can never change it without some kind of backlash unless you can make things cheaper . So it's fine to charge a bit more initially and figure things out as you go, you can then lower the price once you've worked the numbers and/or have to respond to competitive pressure. But changing your model will upset your customers, no matter how well you intend it and…
Everything you said makes sense -- but at the same time, when building a SaaS offering, your initial product may have much less functionality than what you eventually plan to build. If you start at the price you want to charge in the end, people will look at the product and say, you expect me to pay $X for that ? One thing that may work is to offer early adopters a lower price, and keep them at that price forever, wh…
* Grandfather current customers, which gitlab did at near minimum here (current year / ~no changes ?). ~Lifetime / tier would be better, esp as a growing co should be fine here revenue wise. Better current customers sing your praises internally + externally than say you're yet another couldn't-care-less quarter-driven bigco / sales-driven vc co: growth wins.
* Put new stuff in new plans/tiers. Gitlab VPs seem to be choosing a weak balance here.
I'm all for offering higher prices. Trick is, when adding stuff, people should pay more for more, and same / less for standing still. Let hungrier/spendier teams spend more, and cost-sensitive ones happily spread the good word.
Not what happened here? Gitlab seems big enough that all this doesn't really matter though, they are probably reaching a customer size and capital-intensitive enough moat that they don't care toooo much.
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A good contrast is github / microsoft, which also is way into clever pricing:
- Way cheaper per-user at all tiers. We got tier-shifted at some point, but don't recall any pricing funniness during that.
- Adding customer abilities to spend infinite amounts, but via new layers, like pay-as-you-go CI/CD offerings that do not gauge existing users. I expect the prices to go down, not up, as they figure out more scaling tricks / computing improves and they try to get users more addicted.
GH/MS is probably working on a much bigger timescale than GitLab, as GH doesn't need to look at juicing numbers to fundraise / sell while buyers are willing, and instead focus on being a friendly shift-left answer to AWS/GCP
Re: Gitlab is moving to a three-tier product subscription model
#104Earlier quoted context omitted.
Especially considering GitHub enterprise is $21/month/user
Well but it seems gitlab offers a lot more value?
Re: Gitlab is moving to a three-tier product subscription model
#105I cannot find if project-scoped access tokens (which was a Bronze+ feature) are available in the Free tier, or whether they require Silver. It's such a glaring omission on GitHub - which only has personal access tokens which give apps full access to all your repos.
[0]: https://docs.gitlab.com/ee/user/project/settings/project_acc...
Re: Gitlab is moving to a three-tier product subscription model
#106Earlier quoted context omitted.
Especially considering GitHub enterprise is $21/month/user
I'm under the impression that GitHub Enterprise's on prem ci/cd pipelines isnt available yet
Today, we’re making GitHub Enterprise Server 3.0 available as a release candidate. Announced in the GitHub Universe Keynote, it’s the biggest ever change to Enterprise Server, bringing customers:
* Actions – developer-first workflow automation and CI/CD * Packages – publish and consume packages together with code * Mobile Apps (beta)- iOS and Android apps for collaborating from any device
For companies interested in automating code security with GitHub Advanced Security, we’re also bringing:
* Code scanning – scan every pull request for known vulnerabilities with CodeQL * Secret scanning (beta) – detect credentials in code before they hit production
Re: Gitlab is moving to a three-tier product subscription model
#107We recently spent a couple weeks going over pricing with a GitLab regional Account Leader. We already use GitLab for all our source repos, CI/CD pipelines, and had been using it for issue management as well — all fully self-hosted. The hope was to drop Jira, which was also being used for project planning, and fully adopt GitLab, but the costs were simply unjustifiable. Basically GitLab ended up being a full order of…
My first surprise was that Gitlab does not allow for Monthly payments...if I wanted to go into the Bronze tier, I would have had to pay a whole year in full. My startup doesn't do whole-year payments (quarterly or monthly) so that stopped me on my tracks.
I guess with the full weight of Microsoft, Github will out-price Gitlab. It's kind of sad because I prefer Gitlab CI/CD to Github actions (I just couldn't make sense of them).
Re: Gitlab is moving to a three-tier product subscription model
#108I cannot find if project-scoped access tokens (which was a Bronze+ feature) are available in the Free tier, or whether they require Silver. It's such a glaring omission on GitHub - which only has personal access tokens which give apps full access to all your repos.
The manual says "Bronze and above" for gitlab.com https://docs.gitlab.com/ce/user/project/settings/project_acc... but I tried the open-source "CE" docker container earlier this week and found that they worked there (maybe that's what "Core" means?)