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Is price a good value skew when selling to businesses?

mav55339

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I have decided to pay a legit developer on Upwork to create some chrome extensions for me. They will be exact versions of popular and successful extensions that already exist. It will be business automation and product search type of extensions. A lot of these extensions cost anywhere from 50 dollars up to 2k per month.

Considering businesses will most likely go to a cheaper extension with the exact same features, can price alone be a good value skew? I believe chrome extensions have a very low overhead so I could charge 30 to 50 percent less for these compared to the original extensions.

Thoughts?
 
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BellaPippin

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You could, but it won’t be sustainable. Think about it; what stops the next person from doing the same and out-pricing you? All the way to the bottom? You’re going to have developed the extensions for nothing if that happens.

I’d see if I can improve upon them, if anything.
 

amp0193

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Pricing is only a good value skew if you have an un-copyable reason for why you are able to offer that price.

One example: Vertical integration. Instead of buying from a factory, you own the factory, the container ship, and the direct to customer business. You can make great product for lower than everyone else because of it, and no competitor can touch you.

Aventon e-bikes does this. Insanely good quality for the price. Best value in the category, and they will soon be the category leader (if they aren't already).


With software... Yikes. Where's the moat? You might make a quick buck but then race yourself to the bottom.
 

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