The incongruency sometimes baffles me.
Maybe it comes from a fear that nobody will buy.
Maybe it comes from not understanding the impact and value.
Maybe the importance is simply not understood or overlooked.
More often than not founders of b2b startups price their products too low.
If you ask a founder whether they are solving an “important” and “urgent” problem the answer will be yes.
Then why are you charging so low?
Low pricing can hurt you in multiple ways:
- You will have less revenue
- Customers will automatically put you in the low value-low capability bucket
- Your chances of growth are curtailed unless you raise prices or get high volume over time
How do you charge more?
- Connect your price to value
- Establish this connection with actual number or articulation of your claim and case studies
- Compare yourself to higher priced competition and almost never to lower priced competition
If customers are getting more value, why would they mind paying more?