Y Combinator Kevin Hale — Startup Pricing 101
How should we price our service or products? We are going to cover from first principles.
We are going to talk about a lot of things surrounding pricing, there are a lot of things to consider for pricing. And since start-ups are usually working in a new market, it is hard to compare. So it is much harder.
The acquisition is more customers, retention is about keeping customers, and monetization is how much money per customer. The basic idea behind the pricing is supply and demand.
The relationship between value, price, and cost will control how your company will grow. The larger the gap between cost and price the more we want to sell. And the smaller gap between value and price, the more customers want to buy since they…