Only the big brother has the right to speak, and the younger brother often lives in the cracks. Pricing is probably the most difficult business decision for many startups. Start-up SaaS companies are either engaged in a red ocean market, in which good companies already have the right to speak, and have to be passive when pricing; to explore.
A good pricing strategy can allow a startup SaaS company to open up the market on the premise of survival, otherwise, it will be caught in a dilemma. So, what phone number list should a startup SaaS company consider when pricing its product? Down-to-earth, looking up at the stars, and on the premise of fully understanding the target customers and competitors, combined with the company's phased goals and product value to formulate a pricing strategy that can embrace changes.
Target customers and competitors
1. Potential customer size
Potential customer size refers to the number of target customers. Different potential customer sizes should naturally have different pricing strategies. For example, if you want to make a CRM product for a car inspection station in a certain city, then the income of your single customer must not be too low, because the number of inspection stations in a city is limited, if the income of a single customer is too low, Even if you turn all potential customers into your customers, your revenue may not cover your costs. Conversely, if the potential customer is large, you can consider taking the market quickly with a low price. The target customers of Youdao Cloud Note are in the tens of millions, and its pricing is also low.