We’ve been going in circles for weeks now. I think higher prices will attract better customers and increase revenue per user.
He’s sure we need to keep prices low to grab market share first.
Both strategies have their pros, but we’re at an impasse. How have you navigated similar disagreements?
Look at your bank account first. Got 6+ months of runway? Go premium. Those customers stick around longer and it is worth it long-term.
Tight on cash? Focus on volume to prove people actually want your product. You can bump prices later once you see how customers behave.
Test both. Pick one segment and try higher prices for 2 weeks. Track revenue per user, churn, and support tickets. Run another segment with low prices and measure how many users you get plus their lifetime value. Data beats arguments every time. Most pricing fights happen because everyone’s just guessing. Your actual users will show you what works for your product and market.
Flip a coin and commit to the result together.
Focus on the numbers. Whichever strategy shows better data wins. That’s clearer than any argument.
Been there with two startups. Here’s what worked: run both strategies at once for 60 days.
Split your traffic 50/50. Half gets premium pricing, half gets volume pricing. Track acquisition cost, LTV, support load, and feature requests.
Turns out we were both right. Premium users had 3x higher LTV but took 5x longer to get. Volume pricing filled the pipeline fast but support costs killed our margins.
The real gold was in user behavior. Premium users gave way better feedback and stuck around. Volume users helped us catch bugs faster.
We ended up hybrid - start with volume pricing, then push upgrades based on how people actually use the product. Sometimes you don’t have to pick a side.