The 24 Laws of Monetization

Let’s face it. You started your business to bring success to you and your customers. But, before the triumph comes survival. You know that making sure you meet customer, employee, and governmental needs is no easy task.

Over 80% of businesses fail within three years of starting due to insufficient monetization and profits.

But you already know that. So if surviving is then a game of achieving profitability, then what is success? Well, success is, having a monetization strategy that scales your success!

The 24 Laws of Monetization…Our Manifesto, will guide you along the way.

The 24 Laws of Monetization

1. Psychology is the foundation of monetization & pricing decisions

2. Differentiate your pricing

3. Offer three pricing option levels, four is ok too

4. Monetization is often ruled by power-law principles

5. Value pricing is more optimal than cost-plus or anchor-based pricing

6. An increase in monetization first requires an increase in customer value

7. Bundling and Unbundling are powerful monetization tools

8. How you charge often trumps what you charge

9. 1% increase in price results in a leveraged n(X)% increase in profits

10. Review pricing on at least a monthly basis as part of your financial review - and amend prices quarterly

11. Freemium is not a monetization strategy but it is a powerful marketing customer acquisition & growth strategy 

12. Anchoring high is a foundational law of price quoting

13. Your Product or Service should be a customer’s partner, not a hired hand

14. Your monetization strategy shouldn’t appeal to everyone instead it should focus on a specific someone

15. There is no set market price for your product or service as your product is unique

16. Monetization is a profit and revenue maximization concept, not a growth concept

17. Relationship capital is often more valuable than intellectual, human, financial, or physical capital

18. Usage data enables you to build a relationship highway to your customers

19. Tell customers which one you want them to buy by nudging them in the right direction

20. Monetization is not an island it links with other strategy and business model thinking

21. Every price is made up of signals make sure your’s sends the right message

22. Monetization follows occam’s razor simple normally works best - so avoid feature fog

23. Turn customers into members preach to the converted

24. Risk alignment to customer outcomes provides asymmetric monetization potential

Small businesses, Solopreneurs, and Startups face a mountain of disadvantages. We’re here to level the playing field.