Setting a price for products and services seems like a black art. The Art of Pricing covers strategies that you can use to come up with differentiated prices, versioned products, or segment-based approaches.
Click on the image for a larger version of the sketchnote.
The Art of Pricing has some tips for entrepreneurs who are trying to figure out the right price for their first product or service (see the value decoder on p99). It has more tips for business owners who have established a few profitable offerings and are trying to figure out how to tweak the levers for more profit or expanded markets.
If you’re starting a technology business – or other kinds of businesses – you’ll find many tips in Ash Maurya’s book, Running Lean. In particular, he provides step-by-step guides for conducting problem interviews, solution interviews, and MVP interviews, all great ways to validating your business assumptions and make sure you’re on the right track.
Here’s a sketchnote that summarizes the key points from the book. Click on the image to see a larger version.
The business model canvas in Running Lean is released under the Creative Commons Sharealike Licence, so this image is as well. Enjoy!
Running Lean: Iterate from Plan A to a Plan That Works, Second Edition (O’Reilly). (affiliate link) Copyright 2012 Ash Maurya, 978-1-449-30517-8. Recommended for startup founders and early employees.
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This sketchnote was captured live during the free MaRS Entrepreneurship 101 series (webcast and in-person session every Wednesday). Feel free to share this! You can credit it as (c) 2012 Sacha Chua under the Creative Commons Attribution 2.5 Canada licence. Click on the image for a larger version of the sketchnotes.[Read more →]