VC Cafe

JUNE 6, 2024

Net Revenue Retention (NRR) Definition: NRR measures the percentage of recurring revenue retained from existing customers over a given period, considering upgrades, downgrades, and churn. Customer Acquisition Cost (CAC) Definition : CAC is the total cost of acquiring a new customer, including marketing and sales expenses.

B2B 97

B2B Burn Rate Generative AI Retention 97

Startup Professionals Musings

JUNE 21, 2020

The concept of free goods and services to get you hooked, financed by deep pockets, or advertising, seems marginally ethical to many. Startup productivity is embodied in key ratios, including low cost of customer acquisition, high retention, and high revenue per employee. High customer loyalty and high team passion.

Revenue 434

Revenue Valuation Viral Retention 434

Startup Professionals Musings

MARCH 25, 2023

The concept of free goods and services to get you hooked, financed by deep pockets, or advertising, seems marginally ethical to many. Startup productivity is embodied in key ratios, including low cost of customer acquisition, high retention, and high revenue per employee. High customer loyalty and high team passion.

Valuation 235

Valuation Revenue Viral Retention 235

Tim Keane

MARCH 9, 2011

How should I finance my new venture? It’s a deceptively simple question:  what is the optimal way to finance a new startup? The overarching idea, of course, is to reduce the cost of capital while maintaining appropriate flexibility for the venture.  2]   Aligning interests in structure: cost and risk.

Finance 83

Finance Bootstrapping Startup Equity 83

Up and Running

FEBRUARY 1, 2012

While startups and new businesses may already realize the many benefits of leasing their equipment, including conserving their cash and significant tax benefits, they also need to carefully research their equipment financing needs before signing the dotted line. Do due diligence on your proposed financing provider.

Technical Review 98

Technical Review Due Diligence Acquisition Startup 98

Startup Professionals Musings

JULY 13, 2019

The canvas is a visual chart with elements describing your value proposition, structure, finances, and customers, to help companies identify and align business activities. Every business needs revenue to provide investor returns and offset costs. It forces you to bridge the gap between idea and execution. Key resources. Key activities.

Intellectual Property 250

Intellectual Property Business Model Angel Investor Channel 250

Hearpreneur

JANUARY 19, 2022

Especially during challenging times, retention is significantly more crucial than acquisition. We redesigned our organization to take advantage of lower labor costs. As a small business owner, I have managed to stay afloat by reducing my workforce and cutting down the cost. Thanks to Gavin Johnson, Evking ! #3-

Entrepreneur 127

Entrepreneur Metrics Technical Review North America 127

A Smart Bear: Startups and Marketing for Geeks

JULY 23, 2013

I know the argument: The pay-back period on sales, marketing, and up-start costs is long, but there’s a profitable result at the end of the tunnel. The mindset works like this: It costs a lot of money to land an enterprise customer. So these costs are amortized over the customers you do land. for every $1.00 Just wait!

Business Model 335

Business Model .Net Revenue IPO 335

Version One Ventures

DECEMBER 6, 2018

In other words, you should demonstrate that revenue and/or engagement are repeatable and achievable in a cost-effective manner, and not just a function of pent-up demand from a small segment of underserved customers that will dry up in the near future. . Retention rate: What percentage of users can you retain quarter over quarter?

Acquisition 150

Acquisition Distribution Metrics Retention 150

Both Sides of the Table

OCTOBER 8, 2014

billion 2013 figure) have been massive financings at Honest Company ($70mm), JustFab ($85mm), ZipRecruiter ($63mm) and lord only knows how much SnapChat has actually accumulated. Over the past 4 years LA’s tech fundings have growing at a 30% compounded annual growth rate (CAGR) which is > 4 times the US average VC CAGR (7%).

Los Angeles 376

Los Angeles Silicon Valley Entrepreneur Seattle 376

Startup Professionals Musings

JULY 9, 2017

The canvas is a visual chart with elements describing your value proposition, structure, finances, and customers, to help companies identify and align business activities. Every business needs revenue to provide investor returns and offset costs. It forces you to bridge the gap between idea and execution. Key resources. Key activities.

Business Model 143

Business Model Intellectual Property Startup Angel Investor 143

Up and Running

NOVEMBER 12, 2014

If your business needs financing, consider equity crowdfunding; its distinctive traits will lure investors desiring the rewards of investment returns and investor protection, in addition to the goodwill generated by their support. Cover Upfront Costs. Evaluate the administrative and financial costs of running the campaign.

Equity 125

Equity SEC Technical Review Security 125

Startup Professionals Musings

AUGUST 10, 2014

The concept of free goods and services to get you hooked, financed by deep pockets or advertising, seems marginally ethical to many. Startup productivity is embodied in key ratios, including low cost of customer acquisition, high retention and high revenue per employee. High customer loyalty and high team passion.

Revenue 246

Revenue Entrepreneur Valuation Viral 246

Steve Blank

MARCH 4, 2014

These groups are adapting or adopting the practices of startups and accelerators – disruption and innovation rather than direct competition, customer development versus more product features, agility and speed versus lowest cost. Finance The goals for public companies are driven primarily by financial Key Performance Indicators (KPI’s).

IRR 335

IRR Startup Business Model Agile 335

Startup Professionals Musings

JUNE 26, 2016

The concept of free goods and services to get you hooked, financed by deep pockets, or advertising, seems marginally ethical to many. Startup productivity is embodied in key ratios, including low cost of customer acquisition, high retention, and high revenue per employee. High customer loyalty and high team passion.

Revenue 145

Revenue Valuation Startup Viral 145

The Startup Magazine

JUNE 4, 2024

Investment in Growth: Allocate funds strategically to areas that promote growth, such as marketing, product development, and talent acquisition. Cost Control: Implement cost-saving measures without compromising on quality or customer experience. These channels offer cost-effective ways to engage with customers.

Technical Review 110

Technical Review Agile Audience Employee 110

Steve Blank

APRIL 1, 2020

Any place with a fixed cost that relies on foot traffic will come under pressure. Cut costs to stay alive for 24 months. Payroll costs/other variable costs. How can you shift focus to customer retention versus acquisition? Huge segments of the economy have shut down: travel, hospitality, restaurants.

South Korea 335

South Korea Salary Business Model China 335

Duct Tape Marketing

OCTOBER 17, 2018

You can get big-time, modern, virtual phone functionality at a fraction of the cost. And then the third thing about the customer is to focus more on customer retention and growth and not so much on new customer acquisition. Imagine how much that’s costing people. Louis Gudema: Oh, yeah, absolutely.

Marketing 56

Marketing Social Media Analytics Software 56

Mucker Lab

OCTOBER 24, 2013

in seed financing from A16Z and Spark. BloomNation is also much more; it is really a business platform for florists to better manage their marketing, payments, and customer retention activities through a unified and connected platform tailored to the industry. BloomNation is launching today with $1.6M

Vertical 74

Vertical Retention Green Acquisition 74

Mucker Lab

OCTOBER 23, 2013

in seed financing from A16Z and Spark. BloomNation is also much more; it is really a business platform for florists to better manage their marketing, payments, and customer retention activities through a unified and connected platform tailored to the industry. Green screens are the state-of-art. -$35B 35B is at stake.

Vertical 60

Vertical Retention Green Acquisition 60

Austin Startup

MARCH 26, 2019

25 questions that DTC entrepreneurs should ask themselves before scaling customer acquisition So you run a direct-to-consumer (DTC) brand. You just spent a few thousand dollars on advertising and your paid customer acquisition cost (CAC) numbers tested well relative to your best guess for customer lifetime value (LTV).

Technical Review 49

Technical Review Software Review China Acquisition 49

Up and Running

DECEMBER 1, 2015

More often than not, equity compensation is an attraction and retention tool, rather than a replacement to salary. Don’t save starting costs by giving the business away.”. And is willing to share company finances, future, etc.”. Pay the fees [for your vendors]. When you’re happy with a “lifestyle business”.

Equity 60

Equity Employee Stock Options Vesting 60

Austin Startup

FEBRUARY 1, 2011

million in growth financing. In conjunction with the financing, Mark Koulogeorge, Managing General Partner of MK Capital, will join the ReachForce Board of Directors. New customer acquisition is critical to our customers and that is where we focus our value,” said Bob Riazzi, CEO of ReachForce.

B2B 54

B2B Acquisition Retention Finance 54

Growthink Blog

NOVEMBER 19, 2010

Learning the best new techniques in sales, marketing, operations, finance, HR, etc. Focus on Customer Retention Focus more on retaining your customers than getting new ones. Studies have shown that it costs up to 7 times as much to acquire a new customer than it does to retain an existing customer.

Retention 121

Retention Venture Capital Hiring Acquisition 121

Agile VC

FEBRUARY 2, 2012

I’ll focus for now on the business itself, there’s plenty of other info on the web if you care to understand the equity ownership or financing history of Facebook and frankly this has been fairly well known for awhile. ==. Here’s my first look at Facebook viewed through the lens of their IPO filing. Facebook, Inc.

IPO 100

IPO South Korea Venezuela Revenue 100

Women Entrepreneurs Can

AUGUST 30, 2020

Boosting the World of Finance. The finance industry is spearheading the AI revolution. Generally, companies use artificial intelligence to cut costs or increase revenue. Many financial institutions are leveraging AI-powered chatbots to provide personalized services to their customers and cut down operational costs.

Artificial Inteligence 59

Artificial Inteligence Technical Review Retention Aggregator 59

Gust

DECEMBER 27, 2012

You should know every metric regarding customer acquisition, conversion and retention. The expectation is that in an era of increasing technology and decreasing costs, you will be bringing them an operating company with at least some traction. You should know EVERYTHING about your business, product, customers and competition.

Software Review 164

Software Review Term Sheet Technical Review Angel Investor 164

Startup Lessons Learned

APRIL 14, 2009

They know how much it costs to bring in a customer and they know how much money they can expect to make on each one. Products can find sources of validation with impressive stats along a number of dimensions, such as high engagement, viral coefficient, or long-term retention. involved before we go into production.

Customer 167

Customer San Francisco Lean Hockey Stick 167

ConversionXL

NOVEMBER 17, 2022

By switching from manual analysis data to predictive analytics, Sprint could quickly analyze user behavior to spot customers at risk of churn and identify retention offers. Issues such as changes in design, unexpected costs, and your checkout process can all impact conversions. Cost per click (CPC).

Analytics 106

Analytics Metrics Channel Campaign 106

Occam's Razor

JULY 18, 2011

For everything you do it is important to measure your effectiveness of all three phases of your effort: Acquisition. Optimal Acquisition Email Metrics. here are the metrics I’d recommend to analyze your acquisition greatness: Delivery rate = (# of emails sent – # of bounce backs) / # of emails sent. How much do you stink?

Metrics 138

Metrics Campaign Email Marketing 138

Duct Tape Marketing

JANUARY 3, 2023

13:01): Client acquisition seems really hard, or maybe expensive. 14:44): We're gonna be converting the right customers and we're gonna have much higher retention and referral. You've got the finance piece figured out. Sometimes it's busy, sometimes it's slow, , sometimes you can keep up, sometimes you can't.

Customer 87

Customer Marketing Engineer Advertising 87

ConversionXL

AUGUST 30, 2018

It costs money. The key is to connect user research to an improved user experience and, in turn, an increase in customer retention, leads, or any other metric for which C-suite members are accountable. The finance team understands that content customers are less likely to churn and destabilize revenue flows. It has no clear ROI.

Design 111

Design Framework Product Development Technical Review 111

Austin Startup

FEBRUARY 1, 2018

Or, put another way, great product managers are often the “weird kids” in the MBA program who, while sitting in a finance class, wonder if they should have enrolled in a design school or coding bootcamp instead. (I Be careful, though! Being a data nerd is a very useful trait of product managers, but it isn’t enough to be successful.

Management 85

Management Product Technical Review Software Review 85

Steve Blank

FEBRUARY 26, 2020

Btw, the definition of each startup financing stage has changed in the last decade. These elements of the business model– revenue (pricing, pricing strategy), distribution channel, How to Get/Keep/Grow customers, Key Activities, Resources and Costs – are other, critical parts your start up needs to understand and have in place.

Cofounder 433

Cofounder Seed Stage Valuation Metrics 433

Duct Tape Marketing

AUGUST 10, 2022

Client acquisition seems really hard or maybe expensive sales processes still at this point are very manual and customer service now has become an issue and is in inconsistent. And we're gonna have much higher retention and referral. You've got the finance piece figured out. Sometimes you can't.

Customer 78

Customer Marketing Social Media Advertising 78

The Startup Magazine

FEBRUARY 24, 2019

As such, most entrepreneurs focus all their energies on customer retention. In turn, this means hiring twice the number of salespeople, thus doubling costs. Getting Customers, according to the above model involves six key steps: Prospects acquisition (S1 – Prospect). Consequently, the approach leads them down the wrong track.

SQL 85

SQL Metrics Business Model Revenue 85

Reid Hoffman

MARCH 2, 2021

In February, Greylock kicked off “Iconversations,” a new speaker series featuring “icons” across tech, finance, media and culture. In your time there, you oversaw a number of acquisitions that grew its offerings, and you aggressively invested in mobile, and that’s more than half of Expedia’s traffic. RH: The honor is ours.

Iran 41

Iran Technical Review Non-Compete Lean 41