Founders underprice their first product almost every time, for the same reason: it feels less risky to ask for less. It isn't. Underpricing attracts the wrong customers, teaches your team the wrong instincts, and is far harder to fix later than raising a price that was too high.
Cheap customers complain the loudest
Customers who pay the least tend to have the highest support expectations and the least patience for rough edges, because price is often the only thing that got them in the door. Price-sensitive early customers can quietly set your product roadmap by being the loudest voices in your inbox, even though they're not the customers you actually want to build for long-term.
Raising prices later is harder than it should be
Every existing customer treats your current price as a promise, even if nobody ever said it was permanent. Raising prices on people already paying you generates far more friction than simply starting at a fairer price with your very first cohort, before anyone has an expectation to defend.
Test willingness to pay before you build anything else
Ask five potential customers what they currently spend solving this problem — with money, time, or a workaround — before you finalize a price. If nobody's currently spending anything to solve it, that's a signal about the problem's urgency, not just about your price point.
A useful anchor
Price high enough that losing a prospective customer to price actually stings a little. If every deal closes easily, you're very likely leaving money on the table — and worse, quietly signaling to yourself that the product is worth less than it actually is.