Founders under-price because they fear churn. This shows the surprising math: how many customers you can lose on a price rise and still make more money.
What this tool does
You enter your current price, the proposed increase, and your margin; it calculates the break-even churn — the share of customers you can lose and still come out even or ahead.
Who it's for
Founders considering a price rise who want the math before the nerves.
How to use it — step by step
- Enter current price and margin. Your starting point.
- Enter the proposed rise. The new price you're considering.
- Read break-even churn. The share of customers you can lose and still win.
- Compare to expected churn. If real churn is below break-even, raise the price.
How to read your result
The higher your margin, the more customers you can afford to lose — often far more than founders fear. If expected churn is below the break-even churn, the increase is a clear win.
Worked examples
The same tool behaves differently depending on what you put in. Here are 3 situations.
10% rise, healthy margin
Inputs: $100 → $110, 70% margin.
What the tool shows: You can lose a meaningful share of customers and still make more.
What to do: Raise it — expected churn is almost always below break-even.
High-margin SaaS
Inputs: Software with ~85% margin.
What the tool shows: Break-even churn is very high — pricing power is large.
What to do: Raise confidently; grandfather key accounts if needed.
Low-margin product
Inputs: Thin margin business.
What the tool shows: Break-even churn is lower — less room, but often still positive.
What to do: Raise carefully and watch retention.
Common questions
Won't I lose customers? Some — but the math usually still wins, which is the point.
Why does margin matter? Higher margin means each retained customer covers more lost ones.
Should I grandfather existing customers? Often yes for goodwill — model both.