alt Hacker News> a provider is trying to align their pricing with the value it creates with solving your problem.
That's just an euphemism for "a provider is trying to capture for themselves all the value their product creates for you".
A real head scratcher. Perhaps has something to do with there being no point of buying if all (or even most) of the value flows back to the seller? Unless you're a nail wholesaler and are happy with 0.1% margins because you sell by truckloads anyway.
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> "a provider is trying to capture for themselves all the value their product creates for you".
And what precisely is the problem? Obviously, we have incomplete information, but in efficient markets ALL providers all trying to capture the full value of the solution they provide. With infinite time, markets essentially adjust themselves towards this goal. As long as that number is 99.99% (meaning the buyer creates an additional 0.01% of economical value) it's still valuable for BOTH parties.
FWIW most SaaS businesses severely underprice their offering relative to the economic value they create.
No, I get the purpose of his comment. For a complex product and large customers, it's rare that you can guess what is useful to the company and price it appropriately. The product may offer 20 features, of which 5 are useful to the customer. Your (few) pricing options may be insufficient. You may have a pricing that offers only 3 of the features they need. They're not going to buy it. Your next tier may offer 10 options. It has all 5 of what they need, but too much more, so it's priced too high.
Even worse, your tier may have 10 options but still not capture the 5 they need.
So you negotiate, and they provide you the 5 you need at a reasonable price.
This is standard.
Oh, and negotiating a trial period is almost always a must. Perhaps a 2 week free trial is not enough for the customer. If you could bump it to 4 weeks, it could lead to a lucrative sale.