What does value pricing mean? Rajan simply puts Value pricing as cost plus and value minus. It means deriving value of your product not through features but the value it provides to customers. He urges us to focus on value before growth hypothesis and how that becomes mantra for a value Saas Company.
What is the importance of value pricing at place capital is meagre? Why an Indian start-up has to do ten times more effort than valley? When would be the right time for the founder to sell? How to choose between Investing and bootstrapping?
Our mentor Thiyagarajan Maruthavanan answers all the above questions and teaches us nuances of Value pricing. He is currently a partner in Upekka, a value SaaS Company. Moreover, he is also a co-founder of Start-up Bridge India which encourages cross border business for start-ups. He is also an expert in product management and an innovation leader.
Value SaaS Series focus on businesses surviving in their path to first million. They bootstrap or raise tiny external investments. During this period they iterate rapidly to create a growth engine for scaling to $10Mn and beyond. By accessing & deploying founder-ownership friendly capital, they grow rapidly and thrive.
Organization that is able to make $1 of revenue through less than $1 of spend is a Value SaaS Business. Veeva, Zoho, MailChimp, Atlassian, BrowserStack, even SalesForce, are all Value SaaS startups – they made more than $1 Mn ARR with less than $1Mn in spend.