Startup Funding Espresso – Pricing Based on Strategy

Pricing Based on Strategy Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Your product strategy drives your pricing model. There are three strategies to consider which are driving revenue growth, gaining market share, or driving profits. For startups raising funding, driving revenue growth is the best strategy as investors want to see traction and growth. Regardless of the competition or the state of the product, the startup should put revenue growth first. Take all sales opportunities to maximize revenue. For startups not raising funding but looking to win market share, start with a low price and then increase it with premium features or by usage. Look for opportunities left open by the competition for your sales efforts. For startups looking for profitability, start with a small number of customers that will pay a higher price. As you grow the business you can look for additional profitable business opportunities that allow for premium pricing. Avoid low-margin products by letting other companies provide them. You can use partners to complete the solution for the customer if necessary. Set your business strategy before setting your pricing strategy. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding. Let's go startup something today. _______________________________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.