Adam Steinberg explains that packaging is the features customers see, while pricing is what they pay. Building an efficient business lets you price aggressively and deliver more value, though you still need to monetize premium products.
Chapters
You said that pricing and packaging are different, and I think that that's very true. How are they different in your mind? How would you, how would you create the distinction for people?
Yeah, so, so packaging is, is what you get, um, and how the buyer thinks about, you know, feature set. Pricing is something completely different in my mind. So pricing is, is certainly what the customer's paying, right? Pricing also a combination of our economics as a business, right? So the way I think about pricing is How can we deliver more value to our customers? And we can do that by building a more efficient business. If you can build a more efficient business, you can build a more aggressive pricing structure. So the more efficient you are, the better business you are, the better pricing you can deliver to the market in combination with, as you build premium product, innovative product, you also want to have a balance there with how you think about monetizing that. But it's a classic kind of tension between two there and always finding the right balance.