Science of pricing customer development labs
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Slides from our Science of Pricing workshop at the 2013 Lean Startup Conference. Tools to optimize price without sacrificing conversions.
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Science of pricing customer development labs
- 6. That’s Us.
- 7. Get to Know You
- 8. What is Success Today?
- 10. What does Demand Look Like?
- 11. Groups of 3
- 12. 3 Products… Lowest Price = Suspicious Generics Haircut Gas
- 13. “You get what you pay for”
- 14. “Get What you Pay for” Curve Units Price
- 15. 3 Products… Lowest Price = Good Deal Flights Landscaping Gas
- 16. “Good Deal” Demand Curve Units Price
- 17. Did you ever disagree?
- 18. different people = different curves
- 20. Professor Min Ding Penn. State 2010: Journal of Retailing Price as an Indicator of Quality
- 22. “Low Interest” in Quality Curve Units Price
- 23. “High Interest” in Quality Curve Units Price
- 25. “Actual” Demand Curve Quality Hump
- 27. Real Demand isn’t Blue It’s Pink
- 28. Optimal Pricing = More Revenue Optimal Pricing = More Customers
- 29. Is this true for Startups?
- 34. $25 8.5% $49 8% $99 10.5%
- 35. Yes. Startups have quality humps.
- 36. BONUS: Find your Hump Find More Customers
- 37. NEXT UP How to find your Hump
- 38. Reflection
- 39. 1 Takeaway
- 41. How to find your hump?
- 42. Price Testing
- 43. A/B Testing your Price
- 44. PRICE TESTING: 1. Build a landing page 2. A/B test price 3. Accept real credit cards
- 45. Questions
- 46. SECRET 1: Everyone gets the lowest price
- 47. Where is our Hump?
- 50. What should we price test?
- 51. Who wants to find their hump?
- 52. Pick your team
- 53. 45 Minutes to Launch
- 54. Something like…
- 57. Go.
- 58. 45 MIN
- 59. 40 MIN
- 60. 35 MIN
- 61. 30 MIN
- 62. 25 MIN
- 63. 20 MIN
- 64. 15 MIN
- 65. 10 MIN
- 66. 5 MIN
- 67. 2 MIN
- 68. 1 MIN
- 69. DONE
- 70. NEXT UP: Driving Traffic
- 71. Reflection
- 72. 1 Takeaway
- 74. Driving Traffic
- 75. 3 Ways to Drive Traffic
- 77. FREE!
- 79. Give Your Friends a Script • Ask for advice • Be Grateful
- 80. Give Your Friends a Script Hey Friend of Friend, My friend is launching a new startup trying to solve ________. I’d love it if you can take a minute, take a look at its new site, and support it if it speaks to you. Of course, if you have any thoughts or connections, I’d be happy to connect you with the founder:______. Thanks a ton! -Friend
- 81. Posting to Groups • Be respectful • Be humble
- 82. Posting to Groups Not sure if this is appropriate for this group or not, but I’m passionate about solving the _________ (problem) and hoping for some advice. We’re launching ________ to help solve the ______, and I’d love your thoughts. If you can help, please take a look at the page, and shoot me any thoughts you have:
- 83. Responding to Quora/Forums • Add value • Give full disclosure
- 84. Responding to Quora/Forums Full disclosure, I run a startup which is trying to solve this problem. We just launched ___________ to make it easier to _________. It should help you solve this problem. And if you want to message me, I’d be happy to talk about your situation in greater detail and share the insights I’ve learn along the way.
- 87. You have the tools.
- 88. Bringing it all together.
- 90. A B
- 91. Bounce pre-orders $5 x 1.4% = $.07/visitor $10 x 1.7% = $.17/visitor $20 x 0.9% = $.18/visitor before built product
- 92. Our Goals
- 93. GOAL 1 Why should you price test?
- 94. Find your Hump Find More Customers
- 95. GOAL 2 How to Price Test
- 96. PRICE TESTING: 1. A/B test price 2. Lowest price to all 3. Real credit cards
- 97. GOAL 3 Learn by Doing
- 98. You’ve done it.
- 99. Reflection
- 100. 3 Takeaways
- 101. 1 Next Step
- 102. NEXT UP: Q&A
- 103. Feedback
Notas del editor
- What are your ideas…Be respectful:EmailQuaraGoogle groupsLinkedIn GroupsFacebook posts
- If you can’t convert paid traffic, pivot.