My talk from Failcon 2012 - October 22nd, 2012

1. @mikearsenault
#failcon

2. @mikearsenault #failcon

3. @mikearsenault #failcon

4. @mikearsenault #failcon

5. @mikearsenault #failcon

6. @mikearsenault #failcon

7. @mikearsenault #failcon

8. LEARN
FROM OUR MISTAKES
@mikearsenault #failcon

9. 2009 SMB Phone System
Grasshopper R&D
2010
SaaS Subscription Billing
@mikearsenault #failcon

10. 2010
SMB Word of Mouth
April 2011
@mikearsenault #failcon

11. 2010
14 MONTHS
SMB Word of Mouth
$500,000
April 2011
@mikearsenault #failcon

12. 40,000 0
CUSTOMERS SALESPEOPLE
@mikearsenault #failcon

13. 40%
WORD OF MOUTH
@mikearsenault #failcon

14. Encourage More Referrals
@mikearsenault #failcon

15. Refer An Entrepreneur
@mikearsenault #failcon

16. Ot‫ה‬rMar ls Reþr Ent p ur
$200 $25
CPA CPA
$100K
SIGN UP REVENUE
1.5% 22%
CONVERSION CONVERSION
@mikearsenault #failcon

17. Word of Mouth
Referral System
@mikearsenault #failcon

18. @mikearsenault #failcon

19. +7
@mikearsenault #failcon

20. ✔
A+, Experienced Team
✔
Experienced Founders
✔
40,000 Customers
✔
2,000 Beta Opt-ins
✔
Endless Resources
@mikearsenault #failcon

21. We still failed.
@mikearsenault #failcon

22. Why?
3x
CHURN
dn’t
Cus rs
@mikearsenault #failcon

23. Why?
3x 3x
CHURN CPA
dn’t Ra o Ads?
Cus rs
L ar
@mikearsenault #failcon

24. Why?
3x 3x ✗
High Touch
CHURN CPA
dn’t Ra o Ads? No s‫פ‬
Cus rs
L ar
@mikearsenault #failcon

25. Wasted Our Beta List
@mikearsenault #failcon

26. Wasted Our Beta List
CHIRP
@mikearsenault #failcon

27. Bigger Team ≠
Higher Velocity
Product
Design Engineering
@mikearsenault #failcon

28. Didn’t Charge From Day 1
@mikearsenault #failcon

29. Didn’t Charge From Day 1
MUST
HAVE
@mikearsenault #failcon

30. Didn’t Charge From Day 1
MUST
DATA
HAVE
@mikearsenault #failcon

31. Didn’t Charge From Day 1
MUST
DATA FEEDBACK
HAVE
@mikearsenault #failcon

32. Didn’t Charge From Day 1
MUST
DATA FEEDBACK MORALE
HAVE
@mikearsenault #failcon

33. Product > Marketing
@mikearsenault #failcon

34. Product > Marketing
Building Talking To
Product Users
@mikearsenault #failcon

35. @mikearsenault #failcon

36. @mikearsenault #failcon

37. Thanks.
@mikearsenault
mike@rejoiner.com