How to use the price sensitivity meter
- Copy the four questions below the tool into a survey, in that order, after explaining what the product does.
- Send it to people who match your target customer. Aim for at least 20 answers, more if you can.
- Export the answers as four columns (too cheap, bargain, expensive, too expensive) and paste them in.
- Read the acceptable range and the two price points, and hover over the chart to see each curve’s share at any price.
How the curves work
For every price, the chart shows the share of people who would still call it too cheap or a bargain (these fall as the price rises) and the share who already find it expensive or too expensive (these rise). Where they cross:
- Lower bound (point of marginal cheapness): “too cheap” meets “expensive”.
- Upper bound (point of marginal expensiveness): “too expensive” meets “bargain”.
- Optimal price point: “too cheap” meets “too expensive”.
- Indifference price point: “bargain” meets “expensive”.
Answers that are out of order (a “too cheap” price above the “expensive” one) usually mean a misread question, so those rows are skipped and counted.
What it doesn’t tell you
It measures what people say, which is not what they pay, and it knows nothing about your costs or competitors. Use the range to choose a few prices to test on your real pricing page, and compare them with an A/B test if you have the traffic. The LTV and CAC calculator shows what each price means for your unit economics.