I'm telling you from practical experience. I've helped several Indian and Pakistani restaurants in San Francisco register domain names, get hosting and then built their websites. These are the people that need a service like Little Warden, cos routinely an owner would call me and say "Hey my website is not accessible." or worse still "Someone stole my site." -- cos they let the card expire, or used some obscure AOL account or changed phones etc - and someone registered their expired domain. Restaurant owners are notoriously disorganized w.r.t. their digital / online presence.
I can also tell you from practical experience that these small business owners don't want to spend 20$ / month = 240$ / year for guarding their site, when the domain registration and hosting is far less than that.
At this pricing range, maybe Little Warden's target user-base is corporate / enterprise clients, the "5000 dollars is a rounding error" companies.