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SaaS Interviews with CEOs, Startups, Founders

Marketing Personalization Tool Gets First 8 Customers, $1m ARR Shortly

18 Mar 2021

Transcription

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

0.031 - 3.38 Nathan Latka

Can I multiply there? Eight times 5,000, you're 40 grand a month in revenue?

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4.142 - 7.13 Nick Zekets

Yeah, you could get projected roughly in that range, sure.

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7.651 - 10.458 Nathan Latka

Well, I don't want projected though. Is that where you're at currently? Is that what you did last month?

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10.819 - 16.875 Nick Zekets

I think I'll hold back on the total revenue per month at the moment. I'm not sure that we're ready to go live with that.

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18.897 - 38.999 Nathan Latka

You are listening to Conversations with Nathan Latka. Now, if you're hearing this, it means you're not currently on our subscriber feed. To subscribe, go to getlatka.com. When you subscribe, you won't hear ads like this one. You'll get the full interviews. Right now, you're only hearing partial interviews.

39.82 - 60.591 Nathan Latka

And you'll get interviews three weeks earlier from founders, thinkers, and people I find interesting. Like Eric Wan, 18 months before he took Zoom public. We got to grow faster. Minimum is 100% over the past several years. Or bootstrap founders like Vivek of QuestionPro. When I started the company, it was not cool to raise.

60.812 - 65.88 Nathan Latka

Or Looker CEO Frank Bean before Google acquired his company for $2.6 billion.

66.18 - 70.887 Unknown

We want to see a real pervasive data culture, and then the rest flows behind that.

71.689 - 98.66 Nathan Latka

If you'd like to subscribe, go to getlatka.com. There, you'll find a private RSS feed that you can add to your favorite podcast listening tool, along with other subscriber-only content. Now look, I never want money to be the reason you can't listen to episodes. On the checkout page, you'll see an option to request free access. I grant 100% of those requests, no questions asked. Hello, everyone.

Chapter 2: How does airtrafficcontrol.io enable true personalization?

447.783 - 468.021 Nick Zekets

It was called Quadrangle. It was built specifically for higher education professionals. The mistake that we made was building all the features on top of a personalization engine. So as we exited that business, we did reasonably well. The issue was, and our recognition was that the intelligence we had underlying our feature set was really the product.

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468.742 - 485.769 Nick Zekets

And we had made the mistake of building the feature set on top. And as we started to roll out of that, we had a really good sense that a lot of MarTech companies were trying to figure out how to do exactly this, right? How do we deliver personalization And they were doing it because their customers were asking them to deliver on personalization.

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485.949 - 509.567 Nick Zekets

And what was happening is the market was basically building, you know, more and more and more tools for tagging your content and for creating more segments and for creating dynamic logic to line content and humans up, but really content and segments was the best that was happening out there. And, and so the demand is, incredibly well understood.

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509.607 - 529.493 Nick Zekets

And lots of big companies have been marketing the value of personalization and marketing leadership is convinced that it's real. So we weren't pitching a market that didn't know that this was important. What they didn't know is that personalization and segmentation aren't the same thing. They've been sold as the same thing they are not.

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529.573 - 546.978 Nick Zekets

And so as we've walked in and said, hey, we know your pain point is connecting all these dots back in with a ton of logic. Um, but what you really want to do is actually have a machine take over and do the personalization. They all say, Oh my God, yes, you're right. Right. And all we have to do to get in is just say, all right, we'll just connect to the tools that you already have.

548.02 - 553.468 Nick Zekets

That's not really going to cost you anything. And then as you scale up, right, you'll scale up spend because you'll see the success against the use.

554.149 - 564.925 Nathan Latka

I guess, let me ask a different question with, with the product feature set you currently have and the initial set of beta users you're working with. Do you feel like you can break a million dollars in AR by the end of this year? Does it feel doable?

565.58 - 569.084 Nick Zekets

Oh, 100%. Yeah, I have absolutely no doubt that we'll be over a million in year one.

569.164 - 574.609 Nathan Latka

Okay, amazing. So 22. Okay, so you get going here 2020. flesh out the team for me here. Who are you working with? How many people?

Chapter 3: What is the pricing model for airtrafficcontrol.io's services?

805.07 - 814.861 Nick Zekets

is that it's sometimes really tough to tie back to every time that happens, whether I'm making money, but the stripes of the world haven't had that problem.

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815.281 - 820.967 Nathan Latka

Well, that's because that is that is making that that is directly making money. It's obviously attributable.

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822.048 - 827.314 Nick Zekets

Sure, sure. And so it's on us to get as close to attributable as humanly possible. Right?

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827.414 - 830.858 Nathan Latka

And you're not going to be payment, you're not going to be you're not going to build a payment processor.

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831.884 - 848.759 Nick Zekets

No, of course not. Of course not. But I can say that when we do what we do, that revenues are impacted in positive ways. Now, it might turn out that a year down the road, we might find that there are unique instances where depending upon the customer type or whatever it is, two and a half cents isn't actually what we're worth.

849.44 - 857.947 Nick Zekets

We had another customer say, well, every time that I actually get a form filled out or I do get a conversion, I actually would like to pay you 30, 40 times more than that.

858.268 - 859.429 Nathan Latka

Well, yeah, because it's tied to conversion.

859.449 - 860.39 Nick Zekets

You want something further down.

860.45 - 861.17 Nathan Latka

Yeah, totally.

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