Core Intuition episode 125 is different from their normal episodes. This one covers their creation of a Saas app, but the real win is their discussion of The Presentation Mistake You Don’t Know You’re Making:
“For example, they showed that when buyers were presented with an iPod Touch package that contained either an iPod, cover, and one free song download, or just an iPod and cover, they were willing to pay an average of $177 for the package with the download, and $242 for the one without the download. So the addition of the low-value free song download brought down the perceived value of the package by a whopping $65!”
There’s a lot of great discussion on the episode of how adding a less-than-impressive feature DECREASES the perceived value of your product or service. Marketing is also discussed – mentioning your app supports [something outdated or no longer popular] probably also hurts sales.
This episode has changed how I think about making and selling software; can’t recommend enough listening to it.