FoundersOnly

Pricing & Monetization: what to include when you ask "what should I charge?"

#1

Nobody can answer that question without context, and with context the answer is often obvious.

Include:

  • What the product does and for whom
  • What the customer does today and what it costs them in money or hours
  • Your current price and model, if any
  • What customers have said about price, in their words
  • Your numbers: conversion from trial or visit, and churn, if you have them
  • Your costs per customer, if they are significant
  • What competitors and alternatives charge

Useful starting points

  • Price against the value to the customer and the cost of the alternative, not against your costs or your hours.
  • Businesses pay more readily than consumers, and pay for different things.
  • A price that nobody ever objects to is probably too low.
  • It is easier to raise prices for new customers than founders fear. Existing customers can keep their old price.

For a detailed review of your tiers, post in the Workshop. For revenue figures, see MRR Flex, and Real Numbers in Premium.

Your perspective belongs here.

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