How do you validate your start-ups pricing without undervaluing your business with sales?
I've started a new SAAS product called https://wpnativeapps.com/ that turns Wordpress websites into native mobile app.
It's been live a couple months now and have only had a couple sales.
I did a post on a Wordpress dev forum on Reddit and we received a bit of feedback saying that the price feels a bit high.
It's a hint, but not conclusive.
Our pricing is $399USD for set up. This covers our cost of getting the app on the App Store and Google Play store.
And $99USD a month for unlimited push notifications, users etc.
I've had experiences in the past lowering prices on new startups and it de-valuing the product.
Has anyone been able to validate their pricing model for their SAAS in an early stage?
Would appreciate any advice!
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Maybe this calculator might help you :) https://www.saas-calculator.com/
I'd suggest, if you have the time/patience, start with a higher price. Then, if nothing happens experiment with lowering the price. Also, be aware that it aways depends on your audience. $400 could be a bargain to some big companies whereas that might be a deal breaker for others.
p.s. you should also submit https://wpnativeapps.com/ to SaaSHub. As long as you can list two competitors, it will be approved within a day.
Appreciate you're perspective on this.
A higher price and some patience is the approach we've been following and will stick it out.
You're right about audience. The fact devs are saying it's a bit high is why I'm questioning the feedback validity.
I will give you an example. Some people will try to "negotiate" a lower price (it's $99) for their product promo on SaaSHub, whereas others would stay happily subscribed for years (e.g. monday.com is paying $15/click through some channels whereas the same referral costs them only $2.2 on SaaSHub)
Where should we submit it?
Sorry, SaaSHub.
Done ✅
Ah, I just noticed that you are based in Syd. Same here 👋.
👋 good to see some aussies in the mix
Hi James,
If you're handling the cost of an Apple Developer Account and Google Account, that's a bargain, but you need to put a calculator showing what kind of savings of time and money people will get from it.
Examples:
I found the monthly subscription relatively high, considering I would expect to have a push notification included.
You might want to look at similar platforms doing the same work: