Agile VC

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Revenue = Product Market Fit

Agile VC

This is a logical thing to do… when we started LinkedIn, my mentor Reid Hoffman instilled a mantra of Growth –> Usage –> Revenue which still holds for many consumer companies. Business facing companies typically provide software or an online service for which their customers pay a fee.

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Groupon's S-1: From Zero to Like? Billions in 30 Months ? AGILEVC

Agile VC

They’ve grown from nothing to >$2B in revenue in 30 months time, making the company among the fastest growing businesses in the histroy of the world. How They Make Money: Groupon keeps a share of the coupon value (typically 40-50%) as its net revenue (1). Financial Snapshot: 2010 Revenue: $713M. to the merchant.

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Cliff Notes S-1: Kayak ? AGILEVC

Agile VC

How They Make Money: Majority of Kayak’s revenue actually comes from advertising on their site (55%), not lead generation or referral fees to travel suppliers as you might think (more on this below). Financial Snapshot: 2010 Revenue: $170 million. Revenue growth: 51% YoY (2010), 1% YoY (2009), 131% YoY (2008).

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Slack S-1: Will APRU Drive Long Term Value?

Agile VC

One of the key questions for me was how might Slack stack up against other great SaaS companies when it comes to average revenue per user (ARPU), and how ARPU and total addressable market (TAM) might drive Slack’s long run market cap. in MRR in 2019 from existing customers for every $1.00 in MRR from customers at the end of 2018.

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Lyft S-1: Kicking Off the Decacorn Bonanza of 2019

Agile VC

There are a variety of quick write-ups on the Lyft S-1 for basic figures like annual revenue, rider growth, or who the largest shareholders are. Early on, one of the key questions for all ride sharing companies was the breadth & depth of usage by their customers. Revenue per rider has more than doubled from 2016–2018 (from $15.88

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Chewy S-1: Category Leadership + Conveyor Belt Into Consumers’ Homes

Agile VC

revenue business still growing >50% YoY? Embedded Growth From Existing Customers. One of the key features of Chewy’s business is the recurring nature of customer purchases. Chewy now has over 10 million customers, repeat purchases by existing customers account for approximately 90% of their revenue today.

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When Does Zynga Become a Value Stock?

Agile VC

We also know lots of valid reasons why the company could be valued at far less than it once was including: Stalled Growth – revenue essentially flat over the last 4 quarters. Zynga’s trailing revenue is nearly $1.2B trailing revenue multiple. That much we all know.

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