The Pricing Journey: Wins, Losses, and Lessons

When I started my food e-commerce journey, I thought the hardest part would be getting customers. I was wrong.

It was about something completely different: Balancing the urgent need for cash with the dream of building something sustainable.

• On the DTC side, we didn't make a profit until a month ago (crazy!). Every sale counted.

• To focus, we cut our product list by more than half, then again to about a third. Each item had to be worth it.

• We had different types of products. Every price change affected all of them.

• My business partners and I would always disagree over pricing philosophy, leading to endless debates and delayed decisions.

• Food businesses don’t make much money on each sale. margins were razor-thin (10-20%). There was no room for error.

We found ourselves stuck in a loop—constantly weighing our options, never quite sure which way to go:

• If we set prices too low, we would lose money and couldn’t grow.

• If we set prices too high, the customers might leave and never come back.

• We argued about what to do, while other businesses moved faster.

• Every month with bad prices meant money we’d never get back.

The food business is tough (especially in e-commerce). Other companies can copy you or sell for less. If you don’t make enough money, you can’t pay for ads, marketing or buy more inventory.

Sometimes, we had to make quick choices just to keep going - which meant a lot of mistakes and very little planning. We were worried that raising prices by a lot would scare away our best customers.

Then we decided on a phased approach. Here’s what worked for us:

First Steps (0-3 Months)

• We picked a price that gave us a good margin (about 40%). It wasn’t perfect, but it helped.

• We tested different prices for different products to see what worked.

• I watched every sale and every customer comment.

Next Steps (3-12 Months)

• We slowly raised prices by 10-15% at a time.

• Any extra money went into ads, getting new customers and now working on retention too.

• We made our packaging and service better so people would pay more and we would leave our competition in the dust.

Long-Term Plan (1-3 Years)

• We aim for a higher price and a 60% margin, but only after showing our value.

• We worked on what made us special, so people would choose us.

• We made our work faster and cheaper, saving every dollar we could.

The team pulled through

• We set clear goals for money and profit.

• We checked our prices every month.

• We agreed on when to change prices, based on sales and profit.

• We made sure everyone knew the plan.

What we Learned

Pricing is not just a number. It shows what you believe in and how you want to grow. The right plan helps you survive now and win later. If you’re struggling with prices, remember: every choice adds up. Make each one count. You’re not alone.

If this hit home for you, or if you’re facing your own pricing challenges, I’d love to hear about it. Hit reply and tell me what you’re working through - or just DM me “PRICING” on X here.

Talk soon,

Bialy