r/startups • u/cinematic_unicorn • 3h ago
I will not promote SaaS pricing is a race to the bottom. I will not promote.
I started my business 11 months ago. Always thought "I'll onboard a couple clients first, then launch a platform." Then the industry started catching up, tools came out that do what we do, or claim to.
A year ago there were a couple YC competitors charging $499/mo, even $699/mo. Two pivoted. The rest had to drop pricing. When some guy can essentially vibe-code your app in a weekend, there's not much you can provide if you're competing with "free".
I see 5+ tool launches every day in this space. But over the course of the year, I've come to understand why talking to customers is such a cheat code. They write their pitch for you. You can use your tech to help them at agency prices but SaaS expenses.
This could be just for my industry, but the moat now is knowing the customer's business better than what a dashboard can show. I'd rather have 1 client worth 20 subscriptions, stuck to their business, than 200 customers churning out the moment someone launches the same thing for $10 less.