My website is in the SaaS field; so I feel that price is more important to customers than in other industries, especially since through my survey responses everyone has been saying to lower my pricing. How important is being in a similar "pricing range" as your competitors in a SaaS business?

Jon Manning's answer is spot on.
I will add that you have not done a good job of picking your customers. Instead, it sounds like you're trying to attract generic, undifferentiated customers. Pick a clearly defined subset of customers who most value what your SaaS product delivers and then hit them with that specific message.
For instance, your customer is never "every company between 50-500 employees in Industry X". It's companies in Industry X that highly value powerful, easy sales reporting OR maybe companies who value that the schedule notifies every employee of their activities via their smartphone.

When a customer thinks "these software guys really understand us", you're no longer competing solely on price. They may gripe about price, but they will buy if the value is clearly there.

Answered 6 years ago

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