Pricing & Packaging Hypothesis
Hypothesis (falsifiable)
LangListen can charge ~$12/mo (Duolingo-adjacent) using a simple subscription + credits model if: - the unit of value is obvious (what you get per credit), - the free tier is constrained, - and marginal AI costs are bounded.
Why I believe it
- You have credible price anchors (Duolingo, LanguageReactor, Pimsleur, Duolingo Max).
- Tutors already monetize “more personalized / more work” as a premium tier, suggesting value exists for personalization.
Supporting quotes (interviews)
- “Eu criei outra categoria de aula, com um preço diferente, e daí ela inclui esse material personalizado com erros e feedback.” — “I created another lesson category, with a different price, and it includes this personalized material with mistakes and feedback.” (People pay more for personalization/feedback when it’s clear)
- “Correção… leva mais tempo do que eu gostaria…” — “Correction… takes more time than I’d like…” (Time is costly; automation that saves time can be monetized indirectly via subscription value)
Tensions / counterevidence
- “Credits” can feel opaque; if pricing is confusing, conversion will suffer.
- If learners don’t perceive progress quickly, $12/mo looks expensive vs “free-ish” habits.
What must be true in the first 5 minutes
- A new user understands:
- “A month gives me X (minutes / lessons / remixes)”
- “If I run out, it costs Y”
- The free tier does not feel like a bait-and-switch.
Packaging strawman (to test, not to commit)
- Free: limited monthly credits, limited saved items, basic playback.
- Pro ($12/mo): enough credits for a realistic weekly habit (e.g., 3–5 sessions/week), higher limits, faster generation, priority queue.
- Add-ons: buy extra credits à la carte (for heavy users).
Metrics
- Conversion: free→paid conversion rate; “pricing confusion” as a churn reason.
- Unit economics: average credits used per paid user; gross margin estimate.
- Perceived fairness: survey question “pricing feels fair for what I get” (1–5).
Fastest tests (2-week sprint)
- In interviews, present 2–3 packaging cards:
- “$12/mo includes 120 credits; 1 credit ≈ 1 minute of generated study audio” (or “1 remix”).
- Ask which is clearest and what feels fair.
- Ask: “If this were $12/mo, what would you expect it to do every week?”
Decision rule (double down / pivot / kill)
- Double down if users understand pricing in <30 seconds and ≥50% say it’s fair at $12/mo (for their expected usage).
- Pivot if users consistently ask for a different unit (e.g., “weekly plan” > “credits”) or need a much lower price.
- Kill if unit economics force pricing that users reject.