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"Charge more" can be misleading if you assume it means to raise prices and keep everything else the same. In practice, the idea behind "charge more" is to move more toward the expensive end of the demand curve. You're better off building a $1000/month product for 1000 customers than a $100/month product for 10,000 customers, and you're even better off building a $10,000/month product for just 100 customers. The cheap, highly-scalable products become a race to the bottom where competitors one-up each other with lower and lower prices until they arrive at basically free.

Unfortunately, I've watched most people interpret "charge more" to mean that they should raise their prices and keep everything else the same, which only works if your product was underpriced to begin with. Many startups are underpriced, so it works for a while, but eventually people get SaaS subscription fatigue and start trimming away the high cost / low value services. The "charge more" services that don't also offer more value are the first to go.




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