Ryan Petersen

And hedge funds and analysts like Wall Street types that want to see what's going on.

They'll pay and they'll pay.

They're not that price sensitive and they'll keep paying every month.

But we weren't that sophisticated.

And our signups were always pretty good.

relatively consistent.

I forget the numbers, but we would sign up a few hundred customers every month.

And then, but eventually, you know, the size of your business is just simply the number of new signups that you get divided by your churn rate, annual churn rate.

And that tells you how many customers you're going to get at equilibrium when those, because those two lines will cross.

And we got to that point.

And then from there, I tried everything I could to like, we tried everything we could.

It wasn't just me to bend that arc, either make the signups go up or the retention change.

And like, we ended up just adding a lot of costs to the business without, you know, we did some stuff that works, but really your scale of your business is very much limited by your churn rate.

If you have any churn at all, you have like a cap on how big you can be, unless you're increasing the number of customers you're getting or the size of those customers.

Yeah.

It's pretty simple math.

I teach a lot at Flexport.

It's like how important it is to retain customers.

Yeah, I think so.

Well, that's what my brother largely does is take data sets and build businesses around them.