# Dealix — Pricing Discovery Worksheet > **Never ask "what would you pay?"** — answer is biased toward zero. > Use Van Westendorp Price Sensitivity Meter (PSM) after 8+ discovery interviews. > Combine with value-based sanity check. --- ## 1. Van Westendorp — four questions Asked at end of discovery call, after pain + quantitative discovery: 1. **Too cheap**: "At what annual price would this feel so cheap you'd question its quality or seriousness?" 2. **Bargain**: "At what annual price would this be a good deal — strong value for the cost?" 3. **Getting expensive**: "At what price would this start feeling expensive, but you'd still consider if the value is there?" 4. **Too expensive**: "At what price is it simply too expensive, regardless of value?" Record in SAR/year, unprompted. No anchoring from you. --- ## 2. Raw data table | # | Company | Interview date | Too cheap (SAR/yr) | Bargain | Getting expensive | Too expensive | |---|---------|----------------|--------------------|----|-------------------|---------------| | 1 | | | | | | | | 2 | | | | | | | | 3 | | | | | | | | 4 | | | | | | | | 5 | | | | | | | | 6 | | | | | | | | 7 | | | | | | | | 8 | | | | | | | | 9 | | | | | | | | 10 | | | | | | | --- ## 3. Intersections (fill after ≥8 data points) Plot cumulative curves; find intersection points. | Point | Definition | Value (SAR/yr) | |-------|------------|----------------| | Point of Marginal Cheapness | "too cheap" ∩ "getting expensive" | | | Optimal Price Point (indifference) | "bargain" ∩ "getting expensive" | | | Point of Marginal Expensiveness | "bargain" ∩ "too expensive" | | **Acceptable pricing band**: Marginal Cheapness → Marginal Expensiveness. **Initial list price**: start at Optimal Price Point, test both sides. --- ## 4. Value-based sanity check (per customer) For each interviewed customer, compute: ``` Annual value = (hours_saved_per_week × 52 × avg_hourly_cost_of_role) + (num_better_decisions × avg_decision_value) + (risk_avoided_per_year) ``` **Rule**: price ≤ 20% of annual value; customers rarely accept above 25%. | Company | Hours saved/wk | Hourly cost | Better decisions/yr | Risk avoided | Annual value | Max price (25%) | |---------|---------------|-------------|---------------------|--------------|--------------|-----------------| | | | | | | | | | | | | | | | | --- ## 5. Pricing-model A/B experiment matrix After first 5 interviews, prototype and test **one model per prospect** (never three — creates indecision). | Model | Structure | Best when | |-------|-----------|-----------| | Per seat | SAR/user/month | Predictable user count, horizontal role | | Per workflow | SAR/workflow/month + seats | Workflow count drives value | | Platform + usage | Base SAR + SAR/approval or SAR/evidence-pack | Usage tracks with realized value | Track acceptance rate: | Model | Offered to (# prospects) | Continued to demo | Signed pilot | |-------|---------------------------|-------------------|--------------| | Per seat | | | | | Per workflow | | | | | Platform + usage | | | | --- ## 6. Red flags in pricing discovery - All "too cheap" answers ≥ current plan price → pricing too low; room to raise. - Large gap between "bargain" and "too expensive" across interviews → market isn't segmented yet; stratify by company size/sector. - "Annual value" computed < 5× price → cannot justify the ROI pitch; either raise value or lower price. - Customer names zero competing tools → category is unknown to them; education cost is your hidden CAC. --- ## 7. Pricing decision log Every price change logged here with reason + evidence: | Date | Tier | Old price | New price | Reason | Evidence source | |------|------|-----------|-----------|--------|-----------------| | | | | | | |