Understand Your Market Sensitivity to Price

1 min read

When it comes to calculating the market: don't calculate based on how many competitors there are. This only tells you how red or blue the ocean is.

You have a market when people with similar profiles are facing the same problems and are willing to pay or have paid to solve them.

You know that this is a new market (blue ocean) when the problems have yet to be solved can be solved with your mechanism.

There is no budget set for new market, and you can set any price. That's why you got to educate your ICP with content.

There are budgets for existing market. So you got to price competitively and make it easy to switch. But your product should be significantly better, not marginal improvement.