Eric Luttmann retweeted
Difficult to overstate the shortcomings of even "modern" sports analytics relative to current AI/ML, pure math, stats, and computing capabilities.
Spatiotemporal tracking data that conceptualizes the field/pitch/court/rink as a 3-D coordinate plane and conceptualizes the players+ball as a network/graph are under a decade away from proving that many human-observed "principles" of how you're supposed to play soccer, basketball, hockey, etc. are simply laughably wrong.
Eric Luttmann retweeted
Maybe the most important slide from my chat @MadhavanSF
A 2x2 for determining your ideal pricing model:
"There's attribution and autonomy.
The bottom left, that is the quadrant where your attribution is low, and your autonomy is low. In that situation, the best pricing archetype is seat-based or a subscription model, because you're not able to attribute a lot of value to what you bring.
The bottom right quadrant, those are companies that can prove more attribution, and show what they actually bring to the table. But they're still not in a fully autonomous mode, there are still humans in the loop. A hybrid pricing model is the best option for them.
If you look at the top left quadrant, those are products that are very autonomous, but are not strong on attribution. These tend to be mostly backend or infrastructure kind of products. In that situation, you need to be on a pay-for-what-you-consume model.
The quadrant that you really want to be in is the top right one. That's the outcome-based pricing model. This is where you have great autonomy and great attribution. You are not only charging for work delivered, but you're charging for work delivered that was delivered by AI with no humans in the loop.
If you want to win in AI, figure out a way to get to that quadrant because that's a magic quadrant.
Madhavan Ramanujam (@MadhavanSF) has helped 30+ unicorns architect their pricing strategies.
He also wrote the definitive book on pricing strategy, Monetizing Innovation, and next week, he's releasing his newest book, Scaling Innovation: How Smart Companies Architect Profitable Growth, which will instantly become the new go-to guide for pricing your AI product.
In our conversation, Madhavan shares:
🔸 Why popular AI coding tools may have already doomed themselves with underpricing
🔸 His 2x2 framework for determining your ideal pricing model
🔸 Why AI companies can capture 50% of value (vs 10% for SaaS)
🔸 Why AI companies must get monetization right from day one—not “figure it out later”
🔸 The negotiation trick that helped one founder 4x their deal size overnight
🔸 How to price your POCs for maximum leverage
🔸 How companies like Intercom’s Fin and Sierra pioneered outcome-based pricing (charging $0.99 per AI resolution)
🔸 The single question that reveals if your pricing is too complex
Listen now 👇
• YouTube: youtu.be/NR85H55eYkM
• Spotify: open.spotify.com/episode/1YK…
• Apple: podcasts.apple.com/us/podcas…
Thank you to our wonderful sponsors for supporting the podcast:
🏆 @Enterpret_ai—Transform customer feedback into product growth: enterpret.com/lenny
🏆 @DeveloperXM—A platform for measuring and improving developer productivity: getdx.com/lenny
🏆 @withpersona—A global leader in digital identity verification: withpersona.com/lenny
Pre-order the book here: amazon.com/Scaling-Innovatio…
If you purchase more than five copies, send a screenshot of your receipt to [email protected] to enter to win a free pricing strategy conversation with Madhavan, a signed copy of the book, an invite to the book launch, and more.
Eric Luttmann retweeted
𝐆𝐚𝐫𝐝𝐞𝐧𝐞𝐫𝐬 🌻🌺🎍 Using AI to imagine a hopeful, solarpunk future ☀️
Made using Veo 3 and Flow; soundtrack generated using Lyria 🎶
Eric Luttmann retweeted
Had a wonderful chat about building the @cerebral_valley AI community with @aparnadhinak from @arizeai
Check it out 👇
forbes.com/sites/aparnadhina… – at San Francisco, CA
Eric Luttmann retweeted
I’m thrilled to announce Beam’s seed round led by @Accel, along with @SusaVentures, @WischoffVC, and many angels!
At Beam, we’re building powerful and easy-to-use financial software for construction. Our mission is to accelerate the development of housing and infrastructure.
We’re excited to announce Beam’s seed round led by @Accel, along with many other leading investors! 🎉
What we’re building and why 👇
techcrunch.com/2023/03/23/fo…
Eric Luttmann retweeted
So unbelievably pumped to finally share this with the world – at San Francisco, CA
Introducing the Substack app.
It’s like your email inbox, but better.
Get it now for iPhone and iPad: substack.com/app/get-ios
Learn more 👇
Eric Luttmann retweeted
its not the product, it's the team 💪
our team deserves a huge shoutout today, they made this happen!! 😎
behind the scenes, 3 yrs of heart and soul went into the journey, and we're just getting started 🚀 come join us!
techcrunch.com/2021/11/17/cu…
Eric Luttmann retweeted
So excited to finally share that the Cocoon team has been acquired by Substack! Almost two years ago I joined Cocoon with the goal of helping to create a new space to share with your loved ones, untainted by ads and the algorithms that accompany them. 1/x – at San Francisco, CA
We are thrilled to announce that the world class team from @Cocoon_HQ has joined Substack!
Cocoon will be joining our team to contribute their skills, creativity, and vision to strengthening Substack’s network of writers and readers.
on.substack.com/p/welcome-co…
Eric Luttmann retweeted
today is one of those days where 3 years of sleepless nights feels like it was all worth it 😴
i can't express how grateful I am to wake up every day and work with the best people in the world 🔥
come join us! 🚀
forbes.com/sites/frederickda…
Eric Luttmann retweeted
Major WWDC preview: the new 3D Apple arrives.
scobleizer.blog/2021/05/15/t…
Will be doing a Twitter Space later this afternoon to talk with everyone about this.
If you are in VR or AR you MUST read this. It will change our industry deeply.
Eric Luttmann retweeted
Never thought I'd be on Forbes let alone running a company with 2 of my best friends at the age of 24 😊🚀
I'm so grateful for all of the support and opportunities that we've received, and thank you to @fredsoda @Forbes for featuring us! 🙏
forbes.com/sites/frederickda…
