3 ms·
When to start charging
Hi
I was wondering when is it the right time to start charging for what your startup is selling. I'm particularly interested on startups that are based on a B2B model. Should I start selling right the second I have something working or should I give it for free the first months?
- znmeb 13y agoNever give anything away for free! If people aren't willing to pay for it, your product has no value!
- gjmulhol 13y agoIf you are going to give something away free, make clear the avoided cost. Say something like: "A monthly subscription of WorkBetterFaster is usually $1250, but because you are offering to give us feedback (or helping us work out bugs, or whatever) we are going to give it to you free for a year!" It also works for steep discounts. Steve Blank would suggest that you ask for some money (maybe 90% off) just to prove that they can and will spend SOMETHING on it. So 2 lessons: 1. Make clear what it would cost otherwise 2. Charge something to show that they person can and would pay.