11
8 Comments

Isn't pricing weird?

Pricing is one of the things we currently struggle with. What is the right amount? How do you know your product value? Comparing with competitors doesn't feel right. They may have free plans up to very expensive ones and a big palette of features which we cannot offer being a bootstrapped side-project. How do you go about pricing especially right before launching your product?

on June 12, 2019
  1. 3

    Start at a reasonable price and then make small increments. When sales slow down then you know your charging too much. You will eventually find your price.

  2. 2

    There’s no strategic advantage in being the second cheapest.

    Depends what you're going for with your app.

    Test it. Keep increasing your price until you get complaints or less buyers. Ideally you want fewer people paying you more than 1000s paying you near to nothing. Easier to deal with customers that way.

    ( unless you're going for some ad business model, or there's some value in your data)

  3. 2

    Reposting a part of a comment;

    Your price (== amount of money you receive from customer in first 6 months) should be...
    ... more than the cost of acquiring, supporting and serving the product to that customer over the first 6 months
    ... less than ~50% of the value your customer estimates they derive from using your product in the first 6 months

    https://www.indiehackers.com/post/b2bcaab3cf?commentId=-Lh-uMvGMsg0FydVEv31

  4. 1

    I'm experimenting with different prices now on $1 Feedback and as a result I've renamed the whole project to $5 Feedback :) Let's see how this goes.

    1. 1

      Interesting keep us posted 😁

  5. 1

    One piece of advice I've seen show up pretty frequently is: experiment, especially if you're just getting started. It depends on the type of business you're running, but in B2B you can definitely tweak that price customer by customer until you finally get push back.

    Even then you can probably segment by customers willing to pay higher vs. lower -- basically getting at the answer to the age-old question: how much value does X customer derive from my product?

    1. 1

      Thanks for your thoughts on this. Adjusting the prices as you go is probably the way we will do this. However, I still can't get that feeling of ”that’s a good starting point” but that might never come 🙈.

      1. 1

        Totally empathize. I also agree with your point: there's probably no point where you're fully comfortable until you have a ton of data points from talking to customers and negotiating your way to the right number!

Trending on Indie Hackers
I've built a 2300$ a month SaaS out of a simple problem. 19 comments 🔥 Roast My Landing Page 12 comments Where can I buy newsletter ad promos? 9 comments Key takeaways growing MRR from $6.5k to $20k for my design studio 6 comments How would you monetize my project colorsandfonts? 5 comments How I built my SaaS in 2 weeks using NextJS and Supabase 5 comments