Founder Playbook
Pricing
“our test showed us that 99 would have made us more when you calculate all the numbers in the spreadsheet it was like a little bit better right it wasn't like massively better and so it's kind of like why don't we do that and it was like I don't know it just felt like overreaching right we were doubling our price we want good vibes to continue we can always go up”
Double the price but stop short of the data-maximizing number
Skylight's tests showed $99 narrowly beat $79 on spreadsheet ARPU but felt like overreaching after doubling from $39. They chose $79 as a middle ground with high confidence it would hold, leaving room to raise again later. Optimizing purely for ARPU-max ignores brand equity and customer sentiment; leaving a little on the table today preserves the ability to raise again in future without triggering a backlash moment.
M
Michael Segal & Mark Ungerer
SkylightBootstrapped hardware subscription company that doubled subscription price from $39 to $79/year with minimal churn, now in ~2 million family households.
Sub Club by RevenueCat
How Skylight Doubled Subscription Prices to $79· 82:26