Founder of ProfitWell, bootstrapped to $200m
Patrick Campbell founded ProfitWell, bootstrapped it and sold it without any funding for over $200 million. He has spent a decade trying to teach pricing, because most companies spend on acquisition and retention and probably nothing on pricing. His advice is to watch revenue per customer, do one pricing thing every quarter and get the value metric right, since that is how you charge.
Lenny's Podcast 00:47 18:23 18:47 19:00 20:41
Pricing
Pick the unit you charge on before the number. Get it right and expansion revenue typically doubles.
you have three growth levers you have acquiring customers monetizing them and retaining them you're spending a lot of time and money on acquisition you're spending some time and money on retention you're probably doing nothing on pricing and monetization
Patrick Campbell
treats pricing as an operating rhythm you run on a live business, one change a quarter, value metric first.
disagrees on sequence: run willingness-to-pay conversations before the product is built, on the grounds that a price discovered after launch is a price you are stuck defending.
From The Value Metric
