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Marker was a publication from Medium about the intersection of business, economics, and culture. Currently inactive and not taking submissions.

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Why Your Startup’s Pricing Is Hurting Your Sales

5 min readFeb 7, 2022

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image by freepik

You’ve seen it a million times and it might already be a staple on your own website. I’m talking about a website’s price page with the standard three or four boxes of tiered offerings. That price menu might just be undercutting your entire enterprise business.

Multi-tiered pricing is a popular model because of its simplicity. That simplicity has in turn spawned ubiquity, and now the multi-tiered price menu design is used by everyone from Slack to Zoom to just about any SaaS company trying to grab both B2C and B2B market share.

  • The leftmost box(es) offer a free or low-priced tier, acting like a Trojan Horse to get individual customers to try the product with little risk.
  • The middle box is always either the “Most Popular!” option or offers the “Best Value!” But it’s really just a tier for bulk sales designed to get maximum penetration into teams without triggering a scrutinized corporate purchase. It’s just enough money to slap on a credit card each month without raising eyebrows.
  • The right-most box is always the brass-ring enterprise sale, and in most cases, you’ll need to call a…

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Marker
Marker

Published in Marker

Marker was a publication from Medium about the intersection of business, economics, and culture. Currently inactive and not taking submissions.

Joe Procopio
Joe Procopio

Written by Joe Procopio

Join my email list at joeprocopio.com. I'm a multi-exit, multi-failure entrepreneur, AI pioneer., technologist, innovator. I write at Inc.com and BuiltIn.com.