Supply based pricing is a poor communicator of value.
Substitute the cost to the founder with the cost of a substitute for the customer.
Example: I have a side project that takes me an hour or so each month but saves my clients $400/month.
Should I charge the $2/mo the calculator recommends or the $99/mo that I'm currently charging?
Every click costs Google essentially the same, so why charge 10x as much for the search "apartments for rent near me" than the search "knitting pattern for dog sweater"?
I took this as a bare minimum price per user for the project to be worth your time (i.e. better pay than your day job) — maybe that could be communicated more clearly?
This is something this tool can be useful for: a lower bound estimate. But as side businesses bear uncertainties, a risk averse person should probably charge more than the given estimate.
Thanks for the feedback! Reflecting on this, I completely agree -- what this tool is actually estimating is a minimum to compensate you for lost time, sanity, energy, and money. Your actual price should be based on the market.
I've updated the messaging on the page to reflect this. Thanks!
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[ 2.7 ms ] story [ 33.2 ms ] threadSupply based pricing is a poor communicator of value.
Substitute the cost to the founder with the cost of a substitute for the customer.
Example: I have a side project that takes me an hour or so each month but saves my clients $400/month.
Should I charge the $2/mo the calculator recommends or the $99/mo that I'm currently charging?
Every click costs Google essentially the same, so why charge 10x as much for the search "apartments for rent near me" than the search "knitting pattern for dog sweater"?
Again, love the UI!
I've updated the messaging on the page to reflect this. Thanks!
Also founder salary should not be in pricing. More like how much customer saves a month