The Entire SaaS Landscape Changed. Are We Ready?
AI's rapid development capabilities are fundamentally shifting the software-as-a-service market. While fast product development is exciting, it creates an unintended consequence: buyer perception of effort and value has dramatically decreased.
When everyone assumes AI built something—or could have built it—their willingness to pay drops through the floor.
Products previously commanding premium prices now feel significantly cheaper to consumers, regardless of actual quality.
There's a critical psychological shift happening: buyers equate lower perceived effort with lower justified pricing. This isn't about product quality degradation but rather changed expectations about development investment.
The traditional SaaS playbook requires reimagining around:
- Pricing strategies that reflect new value perceptions
- Product packaging approaches that differentiate beyond features
- Success metrics beyond monthly recurring revenue
- Audience building as differentiation
The market is shifting toward lower price points, one-time purchases, and "taste as the last true moat"—brand distinction and refined judgment become increasingly valuable competitive advantages.
Fewer companies will achieve significant success, requiring substantially more post-launch effort than previous market conditions demanded.