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by Silhouette 3029 days ago
The single best advice Patio11 has given is "charge more".

It's certainly good advice in the right context, but it does very much depend on that context. For a B2C business, particularly one involving discretionary spending on something your customers enjoy rather than something they need, even a slight price rise can also backfire horribly, and equally a significant reduction can result in disproportionate user growth and retention and ultimately much better returns.

As far as I can tell, the best thing you can do in that sort of environment is test in your own particular situation, study your data, and be very careful about making dramatic changes that you will find difficult to wind back if they don't pay off.

2 comments

It does seem like if your SaaS product is truly "just for fun" and does not save anyone time or make or save anyone money, or teach a skill, or otherwise help the user be more productive, then you are right. What is an example?
Almost anything recreational and subscription-based seems to fit -- Netflix, for example -- unless we're arguing that this sort of thing isn't really a SaaS and different economics apply. Even if content-centric services are excluded, presumably all the recreational apps with some sort of tracking component would still qualify.
I agree, if you have a consumer product and are trying to get a place in the customer’s monthly budget for entertainment/recreation, a different set of rules probably apply. These cases probably aren’t as central to what is thought of as “SaaS.”
The reason everybody here just loves Patio11 is that for this audience the odds of it not being suitable are incredibly low.