How to make money on a startup?
Today I watched a video from the presentation of one of the team of the 37 signals signals about how they, while remaining a small company (out of 12 people), without attracting venture capital investments, manage to successfully sell their product and be damn lucrative.
Summarizing the idea of the presentation I can say the following:
1. Create a good product.
2. Set a reasonable price
3. Ask your users to pay for it.
')
Everything is as simple as two-two: if people like your product and they find it useful for themselves (it is desirable that it helps them earn more or save money), then they will pay a reasonable price for it (should be less than the benefit the product brings) .
In this regard, I decided to once again return to the monetization model of our project and think over various options that may be subject to different assumptions.
Despite the fact that it may be considered by some as insider information - we have nothing to hide:
// 2500 users use our paid services
2500 users of paid services are obtained under the assumptions:
V of our market = 1000 000 users (according to our
research)
We hold 5% of the market = 50,000 users
5% of them use our services = 2500 users. (this is 25% from 1%;))
# 1 option #
basic: from 5 cu - 50% of users
average: from 10 cu 40% of users
advanced: from 15 cu - 10% of users
1250 * 5 + 1000 * 10 + 250 * 15 =
6250 + 10 000 + 3750 = $ 20 000 month
*** further in the text without decoding
#Option 2#
baseline: from 5 to 60%
medium: from 10 30%
advanced: from 15 - 10%
7500 + 7500 + 3750 = 18 750 month
# 3 option #
baseline: from 5 to 70%
medium: from 10 20%
advanced: from 15 - 10%
8750 + 5000 + 3750 = 17 750 month
# 4 option #
baseline: from 5 to 75%
medium: from 10 20%
advanced: from 15 - 5%
9375 + 5000 + 1875 = 16 250
As you can see, in any case it turns out quite well. These are not the hundreds of millions that key market players turn back on, but this is good money to start with.
Returning to the idea of the 37 signals: you have sooooo small chances to become another facebook, myspace or google. They are, but very small. In addition, even these companies did not become “stars for 1 night”, but developed their user base gradually, albeit with very large steps.
And now ask yourself: are you ready to rework your strategy so that your business really brings money, and does not have a virtual value (as happens with many startups who then buy)? If so, go ahead!
I think we have already made our choice.
Summarizing the idea of the presentation I can say the following:
1. Create a good product.
2. Set a reasonable price
3. Ask your users to pay for it.
')
Everything is as simple as two-two: if people like your product and they find it useful for themselves (it is desirable that it helps them earn more or save money), then they will pay a reasonable price for it (should be less than the benefit the product brings) .
In this regard, I decided to once again return to the monetization model of our project and think over various options that may be subject to different assumptions.
Despite the fact that it may be considered by some as insider information - we have nothing to hide:
// 2500 users use our paid services
2500 users of paid services are obtained under the assumptions:
V of our market = 1000 000 users (according to our
research)
We hold 5% of the market = 50,000 users
5% of them use our services = 2500 users. (this is 25% from 1%;))
# 1 option #
basic: from 5 cu - 50% of users
average: from 10 cu 40% of users
advanced: from 15 cu - 10% of users
1250 * 5 + 1000 * 10 + 250 * 15 =
6250 + 10 000 + 3750 = $ 20 000 month
*** further in the text without decoding
#Option 2#
baseline: from 5 to 60%
medium: from 10 30%
advanced: from 15 - 10%
7500 + 7500 + 3750 = 18 750 month
# 3 option #
baseline: from 5 to 70%
medium: from 10 20%
advanced: from 15 - 10%
8750 + 5000 + 3750 = 17 750 month
# 4 option #
baseline: from 5 to 75%
medium: from 10 20%
advanced: from 15 - 5%
9375 + 5000 + 1875 = 16 250
As you can see, in any case it turns out quite well. These are not the hundreds of millions that key market players turn back on, but this is good money to start with.
Returning to the idea of the 37 signals: you have sooooo small chances to become another facebook, myspace or google. They are, but very small. In addition, even these companies did not become “stars for 1 night”, but developed their user base gradually, albeit with very large steps.
And now ask yourself: are you ready to rework your strategy so that your business really brings money, and does not have a virtual value (as happens with many startups who then buy)? If so, go ahead!
I think we have already made our choice.
Source: https://habr.com/ru/post/44856/
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