Second Time Founders cover image

E16 w/ Sahil Lavingia taking Gumroad off the VC treadmill, increasing pricing was very controversial but ultimately the right move

Second Time Founders

CHAPTER

What's the Theory Behind Gumroad's Pricing Structure?

Gumroad was making about three percent or so and what I decided and this was triggered by a lot of things but you know really just recalibrating like seeing the interest rates and figuring out okay going back to the balance sheet. We need to be generating a few million dollars in profit per year, that's fair for how much GM we do  I'm going to sort of reverse engineer every other number based on getting to five million in that income off of about 185 million GMVYou can use Gumroad if you want to sell PDFs you use Gumroad If you want to start a premium newsletter you use substack if you're a YouTuber and you want to connect

00:00
Transcript
Play full episode

Remember Everything You Learn from Podcasts

Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
App store bannerPlay store banner