Tools

Search

Explore

Videos Channels Figures

Atmrix

About

Tools

Search

Explore

Videos Channels Figures

Atmrix

About

DC

Dalton Caldwell

06/01/19

@ Y Combinator

Most startups are significantly undercharging for their products, often due to misconceptions that they should not charge or should charge very little.

Video

YC

Most Startups Are Undercharging - Dalton Caldwell

@ Y Combinator

Most Startups Are Undercharging - Dalton Caldwell

06/01/19

Related Takeaways

AE

Aaron Epstein

12/16/22

@ Y Combinator

Most startups are undercharging, and relying solely on lower prices as a differentiator is not a sustainable strategy.

DC

Dalton Caldwell

06/01/19

@ Y Combinator

I've seen startups charge as little as 1/10 or 1/100 of what they should be charging, which sets them up for failure.

KN

Kirsty Nathoo

08/22/19

@ Y Combinator

Startups often underestimate their expenses, especially in the early days when founders may undervalue their own time and efforts.

AE

Aaron Epstein

12/16/22

@ Y Combinator

To summarize, charge appropriately, price on value, recognize that most startups undercharge, understand that pricing isn't permanent, and keep it simple.

EG

Elad Gil

10/18/18

@ Y Combinator

Raising prices is often necessary for startups, as many technology companies underprice their products in hopes of gaining market share.

BF

Brad Flora

06/02/22

@ Y Combinator

Startups often refuse to charge their users, which is a common issue we see repeatedly.

BF

Brad Flora

08/27/22

@ Y Combinator

Founders sometimes mistakenly believe they should sell to startups just because other successful companies did, without understanding the unique challenges involved.

EG

Elad Gil

10/18/18

@ Y Combinator

Startups should experiment with pricing strategies, especially when they have a small customer base, as it's easier to adjust prices than to raise them later.

MS

Michael Seibel

06/02/22

@ Y Combinator

Successful startups frequently test their pricing, adjusting it as they learn more about their market.