S2E24 5 Pricing Decisions that Turned Out to be Costly Mistakes

ProfitLed Podcast

Should you “do right by your customers” at the expense of the company, your team, and your own wellbeing?

Your answer might be “yes”, until you realize a small change that customers would barely feel could mean instant profitability for your bootstrapped startup.

Having said that, hindsight is always 20/20. There are some mistakes that you just have to make yourself, no matter how many warnings you get.

On this episode, Melissa and Todd share the five pricing mistakes they made, why they were so costly (including one that would’ve given them $30k/month overnight), and what they could have done differently.

Takeaways:
• The pros and cons of not offering annual plans
• Why you need to put usage limits on your trial period
• Why “being fair” has little to no impact for your customers
• Why you shouldn’t grandfather and increase pricing across the board
• The importance of understanding every cost that drives your platform

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• Follow Melissa Kwan on LinkedIn where she share stories & lessons from her founder journey weekly.
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