Increase global sales by pricing your product according to your market's purchasing power

One of the easiest way to increase global sales of our SaaS products is to sell our product in the local currency of our market. But there's another mechanism to increase the sales even further, That's pricing our product according to the purchasing power of the market.

Those who sell physical products have been doing this from the beginning of the global trade, But SaaS product developers often tend to ignore the value in pricing the products according to the purchasing power. After all, A product price should be what the market is willing to pay!

I wanted to price my products according to the Purchasing Power Parity but the existing calculators are all outdated or non-functional. So I had to build one myself and I'm sharing it with you all folks today.

I hope the PPP calculator from StartupToolchain - https://www.startuptoolchain.com/calculators/ppp.html comes handy to help you set a fair price for your products according to the purchasing power of your customers for not only increasing the global sales but also to do the right thing.

  1. 2

    Hi Abishek, very interesting concept. I love the idea of ​“​social justice”.

    However, how would you prevent misuse? E.g. somebody from the US just logs on your Indian domains and buys the same product for less money in a different currency. (As online payment providers do an automatic conversion, if I know correctly)

    1. 2

      Thanks for asking Dennis.

      Honestly, if the availability of price parity is well known (e.g. Steam) it will be cat & mouse game between those who try to exploit it and measures to avoid exploitation.

      But I feel the benefits outweigh the trouble as even Steam has only recently started to block VPNs to avoid this(I'm sure Factorio's developers are feeling good about someone in India enjoying their game for 700 INR (~10 USD) when the standard price is 30 USD).

      So keeping the price parity but not advertising it seems to be the starting point for avoiding misuse of price parity.

      Further we can implement the following measures,

      1. VPN detection.
      2. Billing address verification.
      3. Payment Card based restrictions.
      1. 2

        That sounds reasonable. Thanks for the insights.

Trending on Indie Hackers
How long did it take to build your MVP? 20 comments Free e-mail countdown timer that doesn't suck 💩 6 comments Return of the external link 4 comments Former Product Of The Day Further has been launched once again on Product Hunt! 3 comments The FIRE Movement (Financial Independence, Retire Early) 1 comment Do you have a SaaS idea? Let me build an MVP for you 1 comment