Customer Usually Quote by Steven Gary Blank
““The line from a first customer is usually, “We need a big discount because we are your first customer.” You should turn this around and say, “You need to pay list price because you are going to be the first ones to use it.” If that doesn’t sound rational to the customer, you haven’t found a visionary. Feel free to be flexible on the terms (no payment until delivery, no payment until it works as spec’d, etc.). But be tougher on discounts.””
About This Quote
Source Business Advice: Startup Founders Guide, 2018
Encourages founders to set firm pricing, treating early customers as partners rather than discount seekers, and to be flexible on payment terms while maintaining price integrity.
In simple terms: Charge full price, be flexible on terms.
Key Takeaway
Maintain price discipline with early adopters.
Themes
pricing
negotiation
startup strategy
Mood
strategic
assertive
Type
advisory
motivational
When to use this quote
- seed funding pitches
- early sales negotiations
- contract drafting
Key Concepts
value proposition
customer acquisition
visionary mindset
Questions to Reflect On
- How can you demonstrate value to justify full price?
- What risks exist in refusing discounts to first customers?
A Different Perspective
May alienate price‑sensitive customers; requires strong value justification.
