Skip to content

Comment on Ask HN: What tech problems would you glady pay $25 a month for a SAAS solution?parent

Comments

I think that's non-sense. Just because X and Y cost the same to solve doesn't mean they are equal pain-wise. It doesn't take into account any of relevant factors like market size. I've seen a lot of services that are trivial in comparison charge a lot more because it's a much smaller market and/or the value of a very specific tool is worth far more for people in that niche.

If X and Y cost the same but do not solve the same amount of pain, one of them is underpriced.

X and Y can cost the same amount and solve different amounts of pain and both be priced accurately.

How?

Amount of Pain X Solves < Amount of Pain Y Solves

X solves a problem for a small market where the consumers are still find it worth $25 to solve the problem and have less options.

Y solves a massive problem that a lot of people have (big market). Prices have been driven to $25 by many competitors.

Different amounts of pain, different amounts of complexity, same price. Y's price has been driven down to 25 by competitive factors. X's price is higher because a lack of competitors. All this requires is that one is under-priced relative to value delivered but not to the market's competitive forces. Therefore neither is under priced given the reality of both sides of the market.

AboutSource Built by g1lg1l

Hackerly is an independent reader for Hacker News, built on the public HN API. Not affiliated with Y Combinator.