Madhavan Ramanujam (00:00:00): When we talk about pricing, many people quickly gravitate to dollar figures. That's just a price point, that's a dollar figure. But when we think about price, we think about it as a measure. Like liter is a measure of volume, price is a measure of value. And when you think of it this way, it really stands for, do people actually want your product and would they actually buy it? And that is their whole willingness to pay conversation. And entrepreneurs and companies need to do this much earlier so that they can understand, are they on the right track? Lenny (00:00:31): Welcome to Lenny's Podcast. I'm Lenny and my goal here is to help you get better at the craft of building and growing products. Today my guest is Madhavan Ramanujam. Madhavan is the author of Monetizing Innovation, the most widely read book on pricing strategy. He's also Senior Partner at Simon-Kucher & Partners, which is the premier consulting agency for companies looking to get help with their pricing. And unsurprisingly, when I asked people on Twitter, who the smartest person on pricing is, Madhavan was by far the most mentioned. In this episode, we get deep into all manner of pricing strategy, specially focusing on five lessons for product teams on thinking about pricing. Enough talking. Let's get into it. I bring you Madhavan Ramanujam after a short word from our wonderful sponsors. (00:01:18): This episode is brought to you by lemon.io. You've achieved product market fit. You're able to activate, engage, and retain your customers, but you don't have the engineers that you need to move as fast as you want to, because it's hard to find great engineers quickly, especially if you're trying to protect your burden rate. Meet lemon.io. Lemon.io will quickly match you with skilled senior developers who are all vetted, results oriented and ready to help you grow and all that at competitive rates. Startups choose lemon.io because they offer only handpicked developers with t...