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Mitchell Reichgut

๐Ÿ‘ค Speaker
153 total appearances

Appearances Over Time

Podcast Appearances

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

For us, I can share with you that we've been growing 10, 20, 15 percent over the past several years profitably.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

So it's a nice, slow, steady curve.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

We're just disciplined business people.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

And we have been able to grow this business in a profitable way because of that.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

No, our dollars come from commitments from brands and their media buying partners.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

Some of them are per project.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

Some of them are annual upfront commitments.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

Well, it's interesting that you're asking that in a different way, but I'm really not able to answer specific financial questions like that.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

Yeah, no, it's a great question.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

So the pricing model will vary a little bit depending on what the ask is, because it's much, for instance, if an auto company came to us and said they really want to reach only high-end consumers in certain demographic areas with household income 200K and above, that's a more expensive ask.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

So our price is going to be higher.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

We're going to be tossing out lots of people who want to view the ad but aren't correct.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

A less expensive play would be the spaghetti sauce example where everybody buys it.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

Well, a CPM, a cost per thousand in this industry, could be $8, $12, $20.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

We're going to charge a cost per engagement, which is a little more than that because it's an actual consumer who's taking their interest.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

I would say in the industry, a $20 CPM is a premium high CPM.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

Okay.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

And we tend to be a little higher than those CPMs because it's an engagement.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

It's engagement.

SaaS Interviews with CEOs, Startups, Founders
786: How This Ad Tech Company Used $1m+ In Mezzanine Debt to Grow Profitably

I loved my boss, but I did not like my job after a while.