Doubling or price (and value)

Doubling or price (and value)

We asked ourselves the following question; "Do we really want to compete on prices?" Our collective answer was NO, NO and NO. If you're looking for an inexpensive AI chatbot, there are 10,000 SaaS companies out there delivering less expensive chatbots than us.

In fact, you can even use our for free if you wish. And I think there's at least half a dozen "free WordPress plugins" delivering AI chatbots based upon OpenAI. We're not one of them.

How to chose a chatbot

When you chose a chatbot price might be important. However, some of the clients we're dealing with are looking to save millions annually. If we delivered an AI chatbot for $49 per month, there's no way we could justify spending the amount of resources we do today on guiding them, such that they can save their millions.

If price was so important, why are people paying $4,000 for their MacBook Pro laptop when they can buy a PC at Wallmart for $298?

Of course, everybody who owns a MacBook Pro knows the answer to the above question. IBM once did research on the subject and found that people using a MacBook are on average 22% more effective than people using PCs. When you're aiming to save millions, an AI chatbot that's 22% more effective than the other implies millions of dollars in additional savings every single year. $300, $450 and $800 per month in this context becomes "lunch money".

We do not want to become "the Wallmart of AI chatbots", sorry! We'd rather turn down people by being too expensive, than to accept everybody to increase revenue. This allows us to spend more time on each individual client, guiding them, and helping them become better at what they do.

If we had to rush from one client to another due to being too inexpensive, we'd end up delivering sub-standard service, and we'd not feel good about ourselves. If the alternative is to turn down clients because they can't afford us, but delivering kick ass service to those who can afford us, it's not really a choice for us. We're therefor changing our price structure as of today. And our new prices are as follows.

  • Professional $300 per month
  • Professional + $450 per month
  • Enterprise $800 per month

No changes for existing clients

None of our existing clients are in any ways touched by this. If you already have an agreement with us, you get to keep your existing agreement, at least for now and in the foreseeable future. If we've already given you an offer, we will also honour our word. However, if you're coming in as a new customer today or later, you'll have to pay the above price.

10 months ago when we started, our product was immature, instable, and didn't have 10% of the features it's got today. The nature of running a SaaS company is that as your product improves, all clients automagically gets these improvements "for free". If we make it 10x better in the future, we might even double our price again later down the road.

Early when we started, we would even give some of our partners cloudlets for €70 per month. This was of course because we were desperate to simply get clients. Today we're in a more comfortable space, and we can afford to turn down those who can't really afford us. We're still honouring our existing agreements, and those who started out paying us €70 per month are not affected by this at all.

If you came in early, what can I say? Consider yourselves lucky. In fact, some of our early clients are paying €70 per month, and getting the same value today as we're charging $300 for today. If you terminate your current plan though, and return later, the above prices are what you're looking at. And the reason is simple ...

Because we're worth it!

Besides, somebody needs to help out all the teenage startups delivering cheesy chatbots based upon ChatGPT and OpenAI, right? By "moving out" of this bloody ocean, hopefully there will be room for these "less expensive AI chatbot vendors" too ...

Psst, for the above reasons you might want to hurry and buy before we realise the product is worth even more ... 😉

Thomas Hansen

Thomas Hansen I am the CTO of AINIRO.IO AS. I am a software developer with more than 25 years of experience. I write about Machine Learning, AI, and how to help organizations adopt said technologies. You can follow me on LinkedIn if you want to read more of what I write.

Published 31. Jan 2024