Occam's Razor

APRIL 8, 2013

To win in business you need to follow this process: Metrics > Hypothesis > Experiment > Act. We are far too enamored with data collection and reporting the standard metrics we love because others love them because someone else said they were nice so many years ago. That metric is tied to a KPI.

Metrics 156

Metrics Analytics Lean Churn Rate 156

SoCal CTO

NOVEMBER 10, 2009

Visible networking is turning into a really great opportunity to get to know people better, get to meet new people, and have some interesting conversations. It was also beneficial because I got some good experience with both B2B and B2C business models. You mention social / viral aspects at both Google Photos and United Online.

Management 150

Management Product Entrepreneur Silicon Valley 150

VC Cafe

NOVEMBER 2, 2019

One question that keeps coming up when speaking with early stage entrepreneurs when it comes to funding, is what metrics the company needs to hit to raise seed/series A/B etc: What’s a good conversion rate? Benchmarks are typically specific to stage/business model/geo. What should our MRR growth be?

B2C 141

B2C Technical Review Startup Retention 141

Version One Ventures

DECEMBER 7, 2016

If you have been following our blog or firm, you know how much we love network effects. Our investment thesis is centered around network effects , and our portfolio is full of network effects startups ranging from marketplaces to social platforms, SaaS and applications of AI and machine learning. Why social?

Artificial Inteligence 60

Artificial Inteligence Viral Valuation Networking 60

This is going to be BIG.

FEBRUARY 17, 2020

They often harken back to apocryphal stories of how some conference drove some consumer app “out of the blue”, without acknowledging the network that was already using that app or how much more connected to influencers that founder was to begin with.

Startup 117

Startup Viral Venture Capital .Net 117

Cracking the Code

NOVEMBER 13, 2008

It is time to fix your key SaaS metrics: P&L: MRR = MRE: you control your destiny when your monthly revenue equals your monthly expenses Sales & Marketing: Your cost of capital doubled, so if a CAC ratio > 0.5 SaaS business metrics: why are they different? Popular Media: the key to viral marketing. Software 2.0:

Software Review 48

Software Review Technical Review Valuation Portfolio 48

reidhoffman.org

NOVEMBER 12, 2013

This gave me an idea: I could help many more entrepreneurs by making the deck available not just to the Greylock network of entrepreneurs, but to everyone. Friendster’s valuation set the tone for the entire social networking space. The graphic we chose emphasizes that it is a network of people. Why is it valuable?

Entrepreneur 111

Entrepreneur Revenue Viral Networking 111

Ben's Blog

MAY 15, 2020

Finally, we’ll zoom out and assess the big picture: how various categories of company may be impacted long-term, how this crisis compares to 2008 (and what that means for early-stage founders), and the industries and business models that are now prime for growth. What are those metrics?

Founder 36

Founder Conversion Technical Review Cash Position 36

Genuine VC

APRIL 30, 2008

After the crash at the end of the last decade, web startups clamped down to focus on their core value proposition and were forced out of necessity for survival to hone their revenue models. Now the new plan for distribution is facilitation through low-cost viral strategies via Facebook and other social media.

Distribution 103

Distribution Widget Viral Social Media 103

Genuine VC

APRIL 30, 2008

After the crash at the end of the last decade, web startups clamped down to focus on their core value proposition and were forced out of necessity for survival to hone their revenue models. Now the new plan for distribution is facilitation through low-cost viral strategies via Facebook and other social media.

Distribution 100

Distribution Widget Viral Social Media 100

Cracking the Code

DECEMBER 2, 2006

Today, VARs are the key to the SMB segment and their business model is collapsing, opening new opportunities for them and for technology providers. To survive, VARs need to change their business model and move from product sales to services. SaaS business metrics: why are they different? Feedburner Network.

Software Review 48

Software Review Technical Review Europe Software 48

David Teten

DECEMBER 3, 2019

But, most of use raise capital and source deals the same way people looked for dates 20 years ago: by networking at conferences (or bars). . But in business, you want a lot of partners. This is a great example of why data businesses have substantial moats. That’s why 40 million Americans use online dating sites.

Technical Review 78

Technical Review Software Review Analytics Private Equity 78

Both Sides of the Table

MAY 23, 2012

The movie, “The Social Network” might have had more of an impact on creating future entrepreneurs than any other event of the past 5 years. The mobile world brings enormous business opportunities and changes to business models that were unthinkable when VCs made investments ten years ago that produced the last decade of results.

Venture Capital 347

Venture Capital Technical Review LP Mobile 347

Cracking the Code

DECEMBER 16, 2006

SaaS business metrics: why are they different? Popular Media: the key to viral marketing. Feedburner Network. Paperblog network. ► 06/17 - 06/24. (1). Save the planet! ► 04/15 - 04/22. (1). Don't click on this link! ► 04/08 - 04/15. (1). Software 2.0: How the use of internet is transform.

Software Review 48

Software Review Silicon Valley Technical Review Software 48

grasshopperherder.com

FEBRUARY 19, 2011

We’re testing a viral loop, direct sales, and affiliate marketing.&# If I can steal your idea by just hearing it, there is no defensible business model there. Show Metrics If you ask me to be a co-founder or even just a consultant, you’re essentially asking me to invest in your company with my time.

Cofounder 47

Cofounder NDA Founder Sweat Equity 47

mashable.com

SEPTEMBER 14, 2011

Clearly Define Your Business Model While this may sound like a trivial task, young startups often have an exciting and innovative product, but no real plan for monetizing it. It’s critical to establish this component of your business before thinking seriously about growth. in place before you expand.

France 77

France Marketing Social Media Startup 77

Startup Lessons Learned

MARCH 13, 2009

You have to know your business model. Most startups launch before theyve figured out what business theyre in. If the viral coefficient is 0.9, Know what the success metrics are for the launch. Would have been nice to have this last year when I started my own business. Most startups arent so fortunate.

San Francisco 168

San Francisco PR Lean Early Stage 168

A Smart Bear: Startups and Marketing for Geeks

OCTOBER 24, 2011

So that means stuff like thinking about what a business model might be, it does mean customer development. Do you feel like the more users you have it helps accelerate, is there some kind of, maybe not necessarily viral, but that people just tell their friends at all. What’s the worst case? Let me let Bob get in now.

Cofounder 208

Cofounder Technical Review Software Review Differentiation 208

andrewchenblog.com

JANUARY 28, 2010

Check out my list of featured essays How to create a profitable Freemium startup (spreadsheet model included!) Comments Click to download Freemium spreadsheet Background on this discussion Last year, the stupendous Daniel James co-hosted a talk with me on Lifetime Value metrics for subscription and virtual goods-based items.

CPA 51

CPA Retention Viral Acquisition 51

betashop.com

OCTOBER 8, 2012

It has been awesome, flattering, and humbling to see that post went viral and has been seen by so many thousands of people — mainly aspiring entrepreneurs — and has been translated into many languages. But, you can iterate and iterate on features, but you cannot iterate your way to a business model. Connect With Me.

Technical Review 108

Technical Review Technology Software Review Valuation 108

Cracking the Code

OCTOBER 10, 2008

Effectively measuring and understanding your CAC and CLTV metrics are key to future success. You validated our business model and added huge value to our efforts. Bessemer SaaS Law #1: Your key monthly business metrics are: CMRR (Committed Monthly Recurring Revenue), Churn, and Cash flow - “Bookings” is for suckers.

Software Review 48

Software Review North America Europe Metrics 48

Cracking the Code

SEPTEMBER 2, 2008

If that were the case, most of the Cable and Wireless companies who have been using a similar business model would have gone bankrupt a long time ago and Saleforce would not have 20% FCF margins today. It is true that understanding this new business model is hard for a traditional software incumbent, as this interview demonstrates.

Software Review 48

Software Review Software Technical Review Cloud 48

Entrepreneurs-Journey.com by Yaro Starak

JUNE 19, 2010

Because I have no employees, there’s a profit margin of about 70%, so it’s a really fantastic business model and gives me the freedom to travel and come back from my travel with more money than I left with. It made this site very sticky and it grew organically through viral word-of-mouth as a result of doing that.

Technical Review 73

Technical Review Software Review Prospectus Audience 73