www.forentrepreneurs.com

FEBRUARY 2, 2010

Business Model I would like to propose that in addition to team, product, and market, there is actually a fourth, equally important, core element of startups, which is the need for a viable business model. However there is a lot of value in looking at these same metrics for all other businesses.

Acquisition 103

Acquisition Cost Customer Entrepreneur 103

VC Cafe

OCTOBER 23, 2022

The CEO shared the revenue target for the year at X, and the revenue target for next year at 3X. One of the board members asked a simple question: “Why is revenue our North Star KPI? One of the board members asked a simple question: “Why is revenue our North Star KPI?”

Metrics 179

Metrics Revenue B2C Portfolio 179

Seeing Both Sides

JULY 11, 2013

Across our portfolio and in my own entrepreneurial experience, I have seen three main sales models work successfully in scaling B2B sales: 1) Enterprise; 2) Telephone; and 3) Developer-driven. The typical quota for a sales rep varies by type of business model (SaaS vs. perpetual), product gross margin (e.g.,

Sales 50

Sales Technical Review Software Review B2B 50

Up and Running

JULY 10, 2017

Different sources define freemium as a business model or a pricing strategy. It’s critical to understand the metrics in terms of dollars per additional user, as you’ll have to spend this amount to serve thousands of your non-paying customers. It’s mostly popular with B2C markets. Freemium isn’t free. Youtube ads. $1

Startup 110

Startup Non-Compete Viral Software Review 110

Mucker Lab

APRIL 6, 2023

Are there types of companies, market segments, industries, or business models where PLG does not make sense? If you work in B2C or e-commerce, you optimize that Add to Cart flow like crazy because that is your revenue. You still have a revenue goal to hit this quarter, something like that. Just get it to work.

Product 78

Product CTO Hire Startup Fractional CTO 78

David Teten

DECEMBER 3, 2019

The majority of funds are using the popular B2C websites and services for basic due diligence, e.g., Linkedin, Twitter, HackerNews. Lean Case provides standard business models & metrics, so you can apply a standard approach to business planning, modeling, and profitability tracking.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Steve Blank

NOVEMBER 5, 2009

Chasing funding versus chasing customers and a repeatable and scalable business model, is one reason startups fail. Is there a profitable business model? The Traditional VC Pitch Entrepreneurs who pursue the traditional product development model don’t have customer data to answer these questions. Can it scale?”

Customer Development 262

Customer Development Developer Customer Silicon Valley 262

Seeing Both Sides

AUGUST 16, 2012

TripAdvisor may be one of the most fascinating companies I know and so I was excited to dig into their business model as part of my series on scaling. TripAdvisor is more of a classic consumer Internet success story, but with even more powerful network effects and an amazing business model. Henry Harteveldt, Forrester.

Part-Time VPE 54

Part-Time VPE Software Review Costa Rica Technical Review 54

Cracking the Code

OCTOBER 10, 2008

Be prepared to cross the desert - SaaS requires R&D and sales expense up front for a multi-year stream of revenue, so it demands enough investment capital to fund 4+ years of runway. Effectively measuring and understanding your CAC and CLTV metrics are key to future success. Great list! I particularly agree on points #2 and #4.

Software Review 48

Software Review North America Europe Metrics 48

ConversionXL

APRIL 22, 2015

You could have an in-house user research lab with fancy neuroscience technology and 25 researchers, actively track 5000 metrics across 500 segments and what not – but it would not only cost a lot (likely way more than the profit from testing wins), it would be distracting and silly. B2B and B2C. Up to 7 seconds?

Analytics 48

Analytics Technical Review Conversion Framework 48

Austin Startup

MAY 29, 2019

Yesterday I was having a discussion with one of our executives on the strength of network effects inherent in the data.world business model. This led to a far ranging strategic discussion that got us both really excited about the huge potential of our business. Reed’s law on networks is a good resource to really nail this home.

Networking 48

Networking Fractional CTO CTO Hire B2C 48

VC Cafe

JANUARY 16, 2011

Established location-based services to enable the CSP offer B2B and B2C services based on mobile positioning, tracking & locating, turn-by-turn navigation and mobile local search. Improves customer experience during sale, after sale and support interactions while generating revenues and reducing operational costs. GoNet Systems.

Mobile 103

Mobile Securities and Exchange Commission Flash IP 103

ConversionXL

JUNE 2, 2020

Byron Sharp and the Ehrenberg-Bass Institute have criticized differentiation, arguing that its role in the B2C setting is less important. Gaining market share is the best thing a brand can do for its loyalty metrics, word of mouth, and getting into a consideration set of buyers. When differentiation doesn’t matter.

Differentiation 162

Differentiation Software Review United States Demand 162