Product-User Fit Comes Before Product-Market Fit

Andreessen Horowitz

Product-market fit is “ the only thing that matters ” early on in the startup journey, wrote Marc Andreessen in June 2007. Conventionally, product-market fit comes down to early signals that the market has voted your product as the best … enterprise & SaaS Company Building 101 product-market fit

What successful startups were launched while the founders worked 9 to 5 jobs on the side?

SaaStr

Mailchimp is perhaps the most interesting one to me because they took their time until 2007 to go all-in. I’m not aware of any huge successes in SaaS that were active side projects while the founders worked at different companies. But there are a bunch that were side projects at the same company: Mailchimp was a side project while the founders ran a web-design agency. There are many start-ups born out of agenies and consultancies. It can be a tough transition, but it’s pretty common.

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The Power of Going Long in SaaS

SaaStr

in first angel round in 2007. Just get there. Blackline is worth $7 Billion pic.twitter.com/PmdU6Zf4sD. — Jason BeKind Lemkin (@jasonlk) December 7, 2020. Sometimes, it makes sense to sell your company. Or pack it in. Or move on to the next thing.

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RBS automates away £7 million in manual server provisioning tasks

IT World

The Royal Bank of Scotland (RBS) Group – which will soon be rebranded as Natwest Group under new CEO Alison Rose – has been on a big technology modernization drive since its government bailout after the 2007 banking crisis.

Bonobos: Customer Journey Breakdown and Marketing Review

ReSci

But first, some background information… Founded by Brian Spaly and Andy Dunn in 2007, Bonobos has one obsession: the perfect fitting pair of pants— not too tight, not too boxy. Today, I’m going to take you on a customer’s journey, breaking down Bonobos’ email marketing. The post Bonobos: Customer Journey Breakdown and Marketing Review appeared first on ReSci

Who are some examples of people in the tech industry who started a side gig that eventually made enough for them to quit their jobs?

SaaStr

Then in 2007, when it hit 10,000 users, the two decided to commit full-time”: The New Atlanta Billionaires Behind An Unlikely Tech Unicorn. In SaaS, the stand-out example may be Mailchimp. Mailchimp is now approaching $1 billion in ARR and is 100% bootstrapped. And it started off as a true side project: “Mailchimp, named after their most popular ­e-card character, launched in 2001 and remained a side project for several years, earning a few thousand dollars a month.

SaaS 100

Microsoft buys former employee Charles Simonyi’s Intentional Software

Network World

He made his first trip in 2007 and liked it so much that he went back again two years later. Serial space tourist Charles Simonyi is going back again -- to his former employer, Microsoft. When Simonyi quit as Microsoft's Chief Software Architect in 2002, it was to create a start-up devoted to making programming simpler. Now Microsoft has agreed to acquire that company, Intentional Software.

Microsoft buys former employee Charles Simonyi’s Intentional Software

Network World

He made his first trip in 2007 and liked it so much that he went back again two years later. Serial space tourist Charles Simonyi is going back again -- to his former employer, Microsoft. When Simonyi quit as Microsoft's Chief Software Architect in 2002, it was to create a start-up devoted to making programming simpler. Now Microsoft has agreed to acquire that company, Intentional Software.

Self-Correct Before You Self-Destruct (Summit Replay)

Sales Hacker

Rob has received 15 Stevie Awards for Sales and Service since 2007. This video training was originally presented at the 2019 Sales Hacker Success Summit. In it, Founder and CEO of Xvoyant, Rob Jeppsen, gives you 3 tips to get you focused on the right stuff, so you can streamline your efforts and nail 2020. What You’ll Learn. How to create predictability to have enough deals and a cadence you can count on. The 4 essential sales metrics and the equation that blends them.

How To Keep Your Customers For a Decade. Or Longer.

SaaStr

it wasn’t until later on in 2007 that we had enough revenue to create a large enough group of customers to go on a 10 Year Journey with. Salesforce likes to talk about “Customers for Life”, and while that’s sort of catchy, it’s a little hard to grok what it really means. It finally sunk in for me a bit the other day.

How to Renegotiate When Your Deal Seems Lost

Sales Hacker

During 2007, The Writers Guild of America (WGA), which represents over 12,000 writers for film and TV shows, tried to renegotiate their contract with the Alliance of Motion Picture and Television Producers (AMPTP), representing more than 300 production companies.

The 10x Feature is Real. At Least, for a While. What’s Yours?

SaaStr

2007: Salesforce integration. Recently there was a lot of discussion around if there are truly “10x engineers” or not. It’s a complicated topic. But one thing that is clearly true — there are 10x Features. Talk to any experienced SaaS sales leader in a competitive space. She’ll agree. What’s a 10x Feature? It’s a feature that, for a material number of customers and prospects, wins the deal vs. the competition. Period. Not always, but often. .

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18 investors fueling Latin America’s SaaS superstars

SaaStock

It was launched in 2007 to operate the Criatec I Fund’s investments in São Paulo. Founded: 2007. As we showed you in the list of SaaS companies coming out of Latin America, the region has no shortage of SaaS superstars. How did this come about, though? What are the ingredients required to help foster such an ecosystem? A healthy availability of capital is one. We looked at the data and discovered a few vital moments in the funding history of the region.

What Could the Venture Market Look Like in the Coronavirus Era

Tomasz Tunguz

That grew to about $5B per quarter in 2007 and early 2008. What could happen to the fundraising market in the coronavirus era where organizers cancel events, the financial markets suffer from a bear market, and there is a lot of uncertainty? The most recent event to use as an analogy is the 2008 financial crisis. In 2008, I had just joined the venture industry, and then Lehman fell. So this was a bit of a trip down memory lane. Let’s look at the data.

Customer Acquisition Spending: Lessons from Workday

Practical Advice on SaaS marketing

times more on customer acquisition than annual revenues, and in 2007 it spent nearly 18 times more than annual revenues. With only $455,000 in revenues in 2007, Workday funded a direct sales force and a professional marketing effort costing more than $8 million. High growth : Workday's revenues grew at a compound annual growth rate in excess of 300 percent from 2007 through 2011. According to a business adage, you need to spend money to make money.

The top SaaS companies ruling the East Coast

SaaStock

Founded: 2007. As we wrote in our launch post about expanding SaaStock New York into SaaStock East Coast , our main aim is to foster a community of top SaaS companies that spans all the way from Florida to Quebec. The SaaS industry’s beating heart will probably always be New York, and it will also be the home of SaaStock East Coast on June 4-6. However, we believe in giving the entire coastline a chance to flourish.

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Even More of SaaStr’s Most Respected Leaders Unveiled!

SaaStr

Mikkel later founded Zendesk in 2007 while living in Copenhagen, Denmark. Meet SaaStr’s Most Respected Leaders of 2019. Our most popular CEO, COO’s and Presidents that spoke at SaaStr Annual 2019. Curious how we came up with this list? We found our most popular speakers by speaker views and likes, session bookmarks and ratings weighing categories more heavily for overall rating than initial interest.

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The 3-Step Startup Marketing Framework We Created to Grow KISSmetrics

Hitenism

The first Twitter hashtag was used by Chris Messina in 2007. — Chris Messina (@chrismessina) August 23, 2007. It was 2008, and I was having a classic founder moment. I had no idea what I was doing. But at least I was doing! I was founding a SaaS business, KISSmetrics. Like any startup, we were flailing, failing, and on fire, all at the same time. It was a wild, insane, and ridiculously exhausting experience.

Get Ready: Home Improvement Startups are Set to Surge at the Fastest Pace than ever Before

The Marketing & Growth Hacking Publication

Now, this is supposed to be the biggest yearly increase since our final quarter of 2007 when it was a time of great recession and homeowners were planning to spend maximum on different renovations. Like in the mid of 2017, Carol Tomé has revealed that retailer saw some additional tailwind- the greatest number of first-time homeowners since 2007.

More Focus on SaaS Gross Margins in 2020

OPEXEngine

A good example of a SaaS company from that period with a strong recurring model enabled by professional services is Netsuite; here’s a chart before and after IPO in 2007. SaaS gross margins have been getting attention lately as investors dig into SaaS cost structures and revenue growth rates going into 2020. Gross margin is simply revenue minus cost of revenue, expressed as a percent. Gross margin shows what is left over after you deliver your products and services.

A look into the future

ProfitWell

Tien founded Zuora in 2007 and took it public in 2018. Today, we're taking a look into the future.the future of subscriptions. And who better to learn from than Tien Tzuo, founder of Zuora? Listen wherever you get podcasts: The future is subscription.

SaaStr Podcast #357 with BlackLine CEO & Founder Therese Tucker: “Busting the Myths About Startup Success”

SaaStr

In fact, one of our decisions, in 2007, we had to decide, are we going to sell SaaS or are we going to be an on?prem 357: Therese Tucker breaks through the dogma behind what it takes to build a successful tech company.

SaaStr’s Podcast “Best Of Guide” Our Top 10 Podcasts of All Time

SaaStr

About the episode: Mark Suster is Managing Partner at Upfront Ventures which he joined in 2007, having previously worked with Upfront for nearly 8 years as a two-time entrepreneur. Here is our countdown to our top ten most downloaded podcasts of all time. Sometimes oldies are goodies, especially when it comes to some of our most downloaded podcasts.

Dropbox, the ultimate Mouse Hunter

The Angel VC

Dropbox was founded in 2007, the year the iPhone was launched and just when the move to a multi-device world started to become inevitable. I’m late to the party here, I know. Dropbox went public a bit more than a month ago and I’ve finally had a chance to take a close look at the company’s S1. I’ll be sharing a few specific observations from the S1 review, but let’s start with some more general thoughts about the company.

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Dropbox S-1 Analysis - The King of Freemium

Tomasz Tunguz

Founded in 2007, Dropbox epitomizes the freemium go-to-market. Dropbox has grown from 0 to 500 million users over that time period. 2% of those users convert to paid and pay an average of $9.33 per month. 90% of revenue originates through self serve channels - an astounding figure for company that generated more than $1B in revenue last year. Dropbox’s revenue grew from $604M to $1.1B from 2015 to 2017, a compound annual growth rate of 35%.

Subscription Rockstars: How HubSpot Went From Zero to $500+ Million in Annual Revenue

Chargify

2007: 48 customers. 2007: 15 employees. 2007:$255,000. Most notably, $5 million in VC funding from General Catalyst in 2007, $12 million in VC funding from Matrix Partners in 2008 and $16 million in VC funding from Scale Venture Partners in 2009. Welcome to the Subscription Rockstars series! In this series, we will take a closer look at wildly successful companies to better understand how they got to where they are today.

A Crypto-Trading Uber Driver and a Billionaire's Spat over Candy - On The Importance of Sticking to Your Strategy

Tomasz Tunguz

They said as much on page 6 of Berkshire’s 2007 shareholder letter. At Redpoint’s annual investor meeting earlier this year, I quipped, “The day-trading taxi drivers of the dotcom era have been replaced by crypto-trading Uber drivers.” ” But over the weekend, a grizzled Uber driver with a mane of grey hair and wind-and-sunburnt cheeks asked me about crypto. “Can you explain to me why public key/private key technology is important on the Blockchain?”

The Increasing Costs of Real Estate for Startups in San Francisco

Tomasz Tunguz

JLL the real estate broker shared their data on the average asking rent in San Francisco from 2007 two 2016, year to date. In addition to increasing labor costs, startups in San Francisco are facing monotonically increasing real estate prices. In 2009, the average asking rent was $31.37. In 2016 that number has more than doubled to $73.05, for an average annual increase of just about 13%.

Beyond the Downturn: Recession Strategies to Take the Lead

OPEXEngine

Headed into the global financial crisis a decade ago, a group of almost 3,900 companies worldwide that we ran through Bain’s Sustained Value Creators analysis posted double-digit earnings growth, on average, from 2003 to 2007. For two US companies with a similar enterprise value in 2007, for example, our Sustained Value Creators analysis finds that the winners’ average enterprise value grew three times that of the losers by 2017 (see Figure 3). It’s overdue.

The SaaS superstars of the East Coast

SaaStock

Founded: 2007. As we wrote in our launch post about expanding SaaStock New York into SaaStock East Coast , our main aim is to foster a SaaS community that spans from Florida to Quebec. The SaaS industry’s beating heart will probably always be New York, and it will also be the home of SaaStock East Coast on June 4-6. However, we believe in giving the entire coastline a chance to flourish.

6 Alternatives to Amazon For E-commerce

Neil Patel

Established in 2007, Bonanza has built itself a loyal following, with a vast range of categories. With a net worth of $1.7 trillion , Amazon has dominated the e-commerce sector for years, leaving many of its competitors in the shade. But are there alternatives to Amazon?

Product Channel Fit Will Make or Break Your Growth Strategy

Brian Balfour

Then in early 2007, social emerged as a new channel with the Facebook platform. This is part 3 in a series about the growth frameworks companies need to grow to $100M+ Part One: Introduction & Why Product Market Fit Isn't Enough. The Road to a $100M Company Doesn’t Start with Product. Subscribe to get the rest of the series. This is part three in a series about 4 Frameworks To Grow To $100M+.

Reflections on the early days at Zendesk (part 2)

The Angel VC

Our timing was horrible – it was almost at the height of the global financial crisis which had started in 2007. This is part two of my post about the early days at Zendesk. The first part is here. Small, fragmented and no potential for differentiation As mentioned in the first part of this post, the seed round was only $500,000 and it was clear that we’d need much more money soon.

How Fast Does a SaaS Startup Have to Grow to Survive?

Tomasz Tunguz

To cite one critical counterexample, Concur’s rapid revenue growth in 2006 and 2007 occurred after nearly a decade of tepid expansion. McKinsey released a study of high growth software companies entitled Grow Fast or Die Slow. One salient conclusion: If a software company grows at 20% annually, it has a 92 percent chance of ceasing to exist within a few years. In other words, software companies must grow quickly to survive.

SaaStr Podcast 215: Ryan Smith, Qualtrics Co-Founder & CEO On The Things Nobody Tells You About an $8 Billion Acquisition

SaaStr

Ryan Smith: And so we had to switch and we chose Qualtrics, and it was the best thing we’ve ever done because everything we ever wanted to do, pivot the company or get away from surveys, which in 2007 were like, “Whoa, this is way bigger.” ” And I’m like, “Just watch, because all it takes is one little hiccup in 2007, ’06 and ’08.”.

Brutal Intellectual Honesty

Tomasz Tunguz

I’ve been reading a book called Legacy Of Ashes, which is an exhaustive history of the CIA since its founding more than 50 years ago through to 2007. Reading spy stories is always enthralling, but surprisingly, the book is a fascinating case study in management. The major theme of the book is the value of intellectual honesty, a principle which was often forgotten according to the research compiled by the author.

Sales Engagement: The Intersection of Sales and Science

Sales Hacker

At this stage, any person who still thinks so belongs to the club that described the original touchscreen-enabled iPhone (2007) as mere novelty on the path to irrelevance, citing the tight dominance of keypad-heavy market leaders during that period. Sometimes, simple ideas can spark revolutions. What if I can bring and use a phone anywhere I go? Hello cellphones; goodbye phone booths !). What if my friend can receive my letter as soon as I send it? Goodbye snail mail; hello email!).

Techstars Announces Accelerator in Abu Dhabi, Second Accelerator in UAE

TechStars

Mubadala has over a decade of experience of investing in the technology sector, beginning in 2007 when it acquired a significant stake in Advanced Micro Devices (AMD). Techstars partners with Hub71 to launch Techstars Hub71 Accelerator. BOULDER, Colo. July 23, 2019 – Techstars, the worldwide network that helps entrepreneurs succeed, today announced the launch of the Techstars Hub71 Accelerator.

How Healthy is the SaaS IPO Market?

Tomasz Tunguz

By 2007 there were five IPOs and that number crested at nine in 2013 and 2014. Salesforce’s initial public offering in 2003 demarcated the beginning of a new era, the era of Software as a Service. In the 13 years that followed, many startups have followed their path to build innovative software that has transformed their respective industries and sectors. The shift has been revolutionary both in software delivery as well as sales.

The Path to Exponential Growth

Tomasz Tunguz

From 2004 to 2007, the company grew at a fairly linear rate. For years, a product can grow linearly before suddenly seeing compounding growth. Facebook is a great example. And then, the magic happened! The network effects kicked in and exponential growth ensued. Linear growth always precedes exponential growth. For market places, in social networks or in advertising exchanges, the story is always the same. Linear, linear, linear. BOOM, exponential. One day, the magic happens.