When it comes to pricing, most people just pick a number that feels right. But the truth is—your perfect price isn’t about what feels good, it’s about what makes you the most money.
Alex Hormozi breaks this down into three metrics you should track every time you adjust your price:
Price itself
Conversion rate at that price
Repurchase rate (or churn) at that price
Why? Because when you raise the price of non-luxury goods, fewer people buy—and they usually repurchase less often. But if you measure these three metrics, you’ll find the sweet spot where profit is maximized.
👉 Bottom line: Don’t just chase customers—chase profit. The best price is the one that converts enough people at the highest lifetime value.