Let's talk Pricing: How do you set prices for your products?
Hey IH,
Let's exchange experience around pricing.
Personally I start with what feels right to me (what I would personally pay for this product, considering competition). Then after getting some baseline I start testing with the 10-5-20 method that I learned about from one of y-combinator's videos.
It goes like this: Set a price that is 10X, that is a 10th of the value you are providing, increase prices by 5% incrementally, until you are losing 20% of the deals.
There is much more to pricing than this indeed, but I like to keep it simple when testing new ideas.
How do you approach pricing your products?
That's a tough one for me, I think method depends on type of product as well
Hmm, probably not the best approach but I try to stay around competition average somehow and start with a cheap option and provide extra tiers
I think things should be kept simple as you start 👍