Competitive Pricing Analysis and Strategy Generation

Analyze the pricing strategies of the following competitors: [Competitor A] - pricing at [Price], features [Features]; [Competitor B] - pricing at [Price], features [Features]; [Competitor C] - pricing at [Price], features [Features]. Our product has the following features: [Your Product Features]. Considering the current market conditions: [Market Conditions], develop three distinct pricing strategies to achieve [Desired Market Position, e.g., market leadership, premium brand, cost-effectiveness]. For each strategy, outline the potential benefits and risks, and recommend a specific pricing tier structure. Furthermore, suggest corresponding marketing messages that align with each pricing strategy to effectively communicate value to the target audience. Evaluate which strategy is most effective for a new product launch.

I need a pricing strategy for a new subscription-based software. Our target audience is small businesses. Competitor 1 charges $29/month with limited features. Competitor 2 charges $49/month with advanced features and support. Our software offers a balance of features and excellent customer support. We aim for a middle-ground positioning, targeting customers who want more than the basic features but find the advanced options too complex. Current market trends indicate a demand for user-friendly software with reliable support. Develop three different pricing tiers, outlining the features included in each tier and the corresponding price point. Explain the rationale behind each price point and its potential impact on customer acquisition and retention. Include considerations for introductory discounts or promotions. Also, please estimate the Customer Acquisition Cost (CAC) and Lifetime Value (LTV) for each pricing tier, and give insights on how to keep CAC low.