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Darren Pierce

๐Ÿ‘ค Speaker
136 total appearances

Appearances Over Time

Podcast Appearances

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

That's a great question.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

We don't look at it that way, so I don't have that number at my fingertips, but that sounds roughly right.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

I think that's fair.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

Yeah, that's a little low, but that's fair.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

We use an adjusted churn rate.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

So we renew at 82%.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

So the adjusted churn rate there is 18.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

And the reason we adjust is that about 10% of our customer base tends to either go out of business or shift focus.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

So if you take that out,

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

we say our churn rate's 18%.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

If you add that in, it's 28%.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

Yes, that's a good question.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

We have two models.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

We heavily acquire via outbound sales.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

So our sales team is doing all the prospecting

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

That model comes in at about 65% cost and that's adjusted.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

Yep.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

Cost to revenue, cost to annual contract value.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

And that does adjust for their share of overhead too.

SaaS Interviews with CEOs, Startups, Founders
EP 539: eTailInsights Bootstrapped, $1.4m ARR Ecommerce Data with CEO Darren Pierce

We don't have, we don't, we are not good at generate a lot of inbound sales, but we will pay, you know, we will pay on up to $400 per click.