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SaaS Interviews with CEOs, Startups, Founders

709: 17,000 Using This To Manage Wardrobe Efficiently

03 Jul 2017

Transcription

Chapter 1: What is the main topic discussed in this episode?

0.031 - 25.819 Nathan Latka

17 000 paying customers paying on average four or five six ish bucks a month again to help streamline your wardrobe not sell you more clothes not anything like that but to help you get more use and be more efficient with your current wardrobe they've got a team that'll be about 15 by next week up from six they've raised an additional 1.2 million dollars from just a year ago when they had 1.8 raised so they have 3 million total raised again based in cincinnati helping you streamline your wardrobe

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Chapter 2: What is Cladwell and how does it help manage wardrobes?

25.799 - 51.61 Nathan Latka

This is episode 709. Coming up tomorrow morning, you'll learn from Alan and how his software company is now using $20 million to scale. This is The Top, where I interview entrepreneurs who are number one or number two in their industry in terms of revenue or customer base. You'll learn how much revenue they're making, what their marketing funnel looks like, and how many customers they have.

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52.091 - 54.213 Nathan Latka

I'm now at $20,000 per top.

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Chapter 3: What is Cladwell's current revenue and growth trajectory?

54.233 - 59.879 Nathan Latka

Five and six million. He is hell-bent on global domination. We just broke our 100,000-unit soul mark.

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Chapter 4: How does the Cladwell app provide daily outfit recommendations?

59.899 - 63.163 Nathan Latka

And I'm your host, Nathan Latka.

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63.683 - 86.35 Nathan Latka

good morning everybody my guest today is blake smith he is the ceo and co-founder of a company called cladwell a clothing company that doesn't sell clothing his goal is to fight for sustainability and humane labor practices by enabling people to buy fewer but better clothes in fact we had him on we were just talking about this about a year ago where he had articulated that they've just that they'd passed 11 000

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Chapter 5: What challenges does Cladwell face with onboarding users?

86.33 - 87.952 Nathan Latka

500 customers.

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Chapter 6: What pricing strategies is Cladwell testing?

88.353 - 101.613 Nathan Latka

Each customer would pay on average, call it $6 a month. So they're doing about $70,000 in monthly recurring revenue about a year ago. They were at about 5% churn monthly, spending about $17 to acquire a new customer. They're based in Cincinnati.

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Chapter 7: Who is the typical user of Cladwell's service?

101.753 - 107.261 Nathan Latka

And they had raised at that point about $1.8 million and did about $100,000 in 2015 revenue.

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Chapter 8: How many customers does Cladwell currently have?

107.382 - 116.974 Nathan Latka

Blake, are you ready to take us to the top? Let's do it, man. Are those numbers up? You bet. Yeah, so that was about a year ago. Give us kind of a quick update. Where are we today in terms of maybe customers?

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117.494 - 120.357 Blake Smith

Yeah, I think we're at 17,000 right now.

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121.018 - 125.303 Nathan Latka

That's great. And explain what people are buying. For people that didn't hear the first episode, what are they getting?

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125.663 - 138.898 Blake Smith

Yes, so Cloudwell is an everyday styling app. Actually, this has changed a good bit since the last time you and I spoke. Everyday styling app that literally dresses you from the clothes already in your closet every day that helps you achieve a minimal and interchangeable wardrobe over time.

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138.878 - 151.715 Blake Smith

So based on what you're wearing, what you're not wearing, we'll actually say, Hey, you should maybe get rid of some items or keep these items or buy these types of items. Um, what's different about us is that we don't try to sell clothing to anybody. All we do is actually, we work for the customer, just dressing them every day.

152.236 - 159.606 Blake Smith

Um, and so with that, we can actually deliver minimalism, unlike a lot of other people who are maybe, uh, have a incentive to try to get you to buy more.

160.387 - 168.177 Nathan Latka

And what is the, so people go to cladwell.com. What's the onboarding funnel? They click download or they click buy or what?

168.73 - 183.587 Blake Smith

Yeah, you go to cloudwell.com and you click, you would click buy. We're doing sign up right now through Stripe. And then once you do that, then you download the app. You also can go straight to the app store and do it as well. So we're kind of going both funnels, but obviously it's better for us when we do it through Stripe.

184.088 - 190.375 Nathan Latka

And last time we spoke, you said kind of the average customer was paying you about six bucks a month. What is that today? Five bucks a month. Five.

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