Should I strive for more cheap sales or smaller amount of expensive sales?

The hard part is getting people to pay. If a person is willing to pay 5 dollars a month for a service, they are likely also willing to pay 10 dollars. At least if you make something valuable.

Also, it depends on who you are selling to. If you are selling directly to consumers, selling is hard. If you sell B2B, then your buyers are spending their employers money, not their own. This also means that B2B products can have a higher price tag.

Why not both ?!
I had the same doubt earlier but then I thought why to miss both of them.

Put this way :

You have built a superb product and so its cost might be higher.

But then it might be something many people need but because cost is on higher end they can't afford it.

This is the most common situation.

What I did and many people do is to grab the customers attention and somehow get them into your product.

1. Free model with minimum functionalities of your product.
2. Base model with minimum price--with added functionalities.
3. Middle tier
4. Premium tier--with all functionalities.

By this way we get more customers ,also chances are high that people on free/base model willing to upgrade if the product is nice rather than a random new customer.

I just shared my thought process as I have been in the situation.
Please ignore if this is something you already know.

All the best for your product.

You kind of what something in between. To reach $1000 MRR you have a few options:

1000 customers paying $1 each
100 paying $10
10 paying $100
1 paying $1000

The disadvantage of having just having 1 customer paying $1000 per month is that you almost become an agency – any feature request they make you'll prioritise as not to lose your income. Avoid this.

On the flipside with 1000 customers, for most products the acquisition level and traffic you'd need to generate that many customers is significant. If you're only charging $1 per month – you'll lose 30% of that straight away in payment processing fees and the support overhead is greater.

You really want a swell of people paying a reasonable amount.

I'm going to go against the trend of the other voters here and say that a greater amount of low cost sales is the super model, although as you'll see in the article below it really depends on if your product is complex enough to warrant field sales or not. As a side note, all the FAANG companies have this model, plus network effects.

Expensive sales generally mean complex products, which also means increased development costs/time. I think at the end of the day product/market fit is more important than anything and you should take what you can get, but if you're bootstrapper looking to filter ideas with the distribution model in mind, then going for simpler products in a self-serve model reduces risk a lot, from a development sunk cost perspective, time to market feedback, and shorter sales cycles, but it sure is competitive.

Sales to big companies can have sales cycles of several months or years, so you'll have to figure out how to keep cash coming in the door somehow.

I would highly suggest reading this https://www.forentrepreneurs.com/sales-complexity/

It depends, and there are lots of great comments here I see. Especially if you're in B2B but maybe sometimes in B2C too, I'd say in the beginning you want to speak to customers (to learn, and to validate and improve your product) and very likely acquire written case studies, so in that case you might not want to price your product too low. Maybe with more context there can be more targeted advice.

It depends on niche and such.. but what's common is that for bigger ticket sales you need a bigger product, more features and such... so often the common strategy is to start low and go up market.
But as I said niches, for example if you offer a strategic advantage for a niche by data or service, scarcity is a good selling point than for fulfilling that you can only sell a few so you must price high.
For b2c, there is more price elasticity commonly, like games work better on lower tickets...
Ultimately you could customise price per customer [type], which is commonly done with packages for example..