Lean Pricing: Pricing Strategies for Startups (Hors collection)

Present the price increase as a percentage not an absolute number. It will be perceived as a lower increase compared to an absolute number. Weber’s law gives us a clue on how big the percentage should be; Weber’s law is the principle that a change is being perceived in proportion of how big the initial amounts were.

Competitors, and consequently their prices, are as much a factor in the market as customers so they should not be ignored.

Rather than requesting the customer to name a price, ask instead what kind of money they spend on this problem to inform your pricing strategy.

three axes are pretty much the norm.

The easiest way to implement price anchoring is to create a tiered pricing strategy providing different versions of a core product at different prices.

Great customer service and support is critical to retaining customers. So offering it is a good business decision, but then you also have to charge for it. Companies

Communicating early, clearly and setting expectations is the key to successfully introducing new prices.

reasonable notice of two to three months.

freemium model is less of a business model and more of a marketing tactic