Perceived Value - Deepstash
The Startup Masterclass

Learn more about problemsolving with this collection

How to start a successful business

How to build a strong team

How to market your business

The Startup Masterclass

Discover 160 similar ideas in

It takes just

25 mins to read

Perceived Value

Perceived Value

So many technology companies go to market competing on price rather than value.

You definitely don’t have to be the cheapest, however, you also don't need to be the most expensive.

This largely comes down the phrase "If it's that cheap, it must be rubbish" - I've seen it time and time again, where SaaS companies have struggled by going to market with a super cheap pricing model, then had massive success by raising their prices considerably! Who knew?!

15

48 reads

MORE IDEAS ON THIS

The Price Ceiling

I got a call from a large global business that liked the product, and wanted an unlimited license for their 10,000 employees and £500k/mo wasn't the budget they had in mind! Nor should it have been!

Our pricing model needed to adapt to allow businesses of different sizes to pay more, but sc...

15

50 reads

Test and Adapt

Test and Adapt

After saying all of this, you don't have to, and probably won't get it right first time. When you first go to market, irrespective of how well prepped you are, how well understood the market is, the chances are your pricing model will need to adapt as you grow and the market changes. The ...

16

27 reads

Don't be afraid to deal to get going

When you first take your product to market, beyond the price, clients also want to see proof points and case studies. If they're the first customer, this will always make them nervous, particularly if there's a lot of money on the line. This is where the old adage of "No-one ever...

16

29 reads

Understand the market

Understand the market

Now, just because you're in the same market as your competition, it doesn't mean you have to copy their pricing strategy, nor should you look at competing on price. However, you should leverage the work that they've done to understand their buyers, and the psychology behind it.

Look at h...

16

77 reads

The Existing Budget

The Existing Budget

Think of this as putting yourself in the shoes of the company exec pitching their budget - what saving or benefit will they need to demonstrate to win the approval of the CFO? Importantly, which exec will be the one to best position your product to get the green light on budget?

16

36 reads

Taking inspiration

If you're about to launch a SaaS platform, you can't really go wrong by analysing how some of the most successful businesses have approached their pricing matrix. I know it's cliché, but they will have spent a lot of time and money in understanding the customer, their psy...

16

30 reads

Understand your costs

Understand your costs

There’s no need to go into this too much as for any business owner, this is 101 - but it is always the foundation of getting your pricing strategy right. Ensure you understand how much your product has cost to develop, how much it will cost to deliver and how that cost will scale...

16

222 reads

CURATED FROM

CURATED BY

dianamdutica

in Tech👩🏻‍💻 with a passion for Business🦁 and Product Management📚

Read & Learn

20x Faster

without
deepstash

with
deepstash

with

deepstash

Access to 200,000+ ideas

Access to the mobile app

Unlimited idea saving & library

Unlimited history

Unlimited listening to ideas

Downloading & offline access

Personalized recommendations

Supercharge your mind with one idea per day

Enter your email and spend 1 minute every day to learn something new.

Email

I agree to receive email updates