Checklist
Read a price test before you set a price
Five checks for a founder's first demand curve
Five checks for reading the results of a price test (Gabor-Granger) before you commit to a price. They cover where the peak falls, who is giving the reasons, whether the lowest price is accepted, whether a nearby price earns almost as much, and what would justify the highest price. Treat any curve as a ceiling, because stated willingness to pay runs high. Koji's report shows the curve with quotes.
Where this appears
What's in this checklist
- The peak price sits inside your ladder, not at the top or the bottom
- The reasons at the peak price come from the buyer you want
- Your cheapest price is not rejected by most people
- A second price is within about 10% of the peak revenue
- You can name what would make the highest price work
Use this image
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<a href="https://www.koji.so/visuals/read-a-price-test-checklist-for-founders"><img src="https://www.koji.so/visuals/read-a-price-test-checklist-for-founders/read-a-price-test-checklist-for-founders.png" alt="Checklist of five checks for reading a price test: where the peak falls, who gives the reasons, the cheapest price, a close second price and the top price." width="1200" height="630" /></a>
<p>Source: <a href="https://www.koji.so/visuals/read-a-price-test-checklist-for-founders">Read a price test before you set a price</a>, Koji</p>
