AppSumo

“I think about roughly a little over 808 hundred plus people bought it on AppSumo. Average value of about 200 dollars.”

“We realized if we dive deeper, marketing agencies were our most profitable customer segment, and they were buying software to reduce their monthly spend on software. So let's just do more of that. We go way deeper with them. We build way more customer loyalty.…”

“Today that, that, that revenue channel does multiple eight figures in revenue for AppSumo.”

“And now it's like, you know, a business that does a hundred million a year in revenue.”

“We go out and find tools that are more, more or less getting started, and then we negotiate a deal, 50 dollars for life, so none of our products that we promote on our marketplace have subscriptions.”

“We have a marketplace of, you know, million entrepreneurs that want to buy software”

“And for me, getting started with AppSumo my freedom number is 3000 bucks.”

“And then AppSumo, our first year was somewhere 300,000 plus. Second year is three million.”

“If Google was cheaper or Facebook was more efficient or people could do marketing themselves, like there wouldn't be AppSumo. There wouldn't be Airbnb if you could just promote your home yourself.”

“And then I got, I asked the founders to give me ads for free. Jeff Berman: The founders of Reddit to give you ads for free. Yeah. Why would they? Noah Kagan: Well, I think because they were launching their ad platform and they wanted some data on it. And so, y…”

“No, it cost me 48 dollars. I got, a guy named Muhammad who I still talk to this day, 15 years later he helped me put the PayPal button on the website. And it was 12 dollars for the domain, that's part of the 48 dollars. And then I used Gmail as my back-end.”

“Now, you know, AppSumo today, you know, almost a hundred million dollars a year in revenue, which is insane.”

“Now, for me, I think hiring is a great practice, and the easiest way to practice it at home. Hire a cleaner. Just practice it. Do they come on time? Do they, do you have a checklist for them? How do you make sure they're doing well? How do you pay them where t…”

“Every time we've tried to hyperscale and go beyond, I guess, the organic growth curve of our company we've, we fucked up.”

“And I just got a, you know, every day I get a pulse and like we're already at 25% growth this year because we're not stressing on how we 10 X our business so fast and try to prove to anybody else.”

“And I was like, well, I guess in subconsciously, I'm sure that's how I felt many years running up soon. Like I'm going to do the same. Just like be reckless, be a liability, make some bad decisions, make bad hires, you know, go, you know, just self-sabotage.”

“When people are like, Hey, I've had a job less than a year. That, that just, even to this day, almost a red flag to be hired at our company.”

“This is in 2010, and we actually built software to run our own giveaway. Launched it in the morning, and by noon, a quarter million people signed up for it.”

“So we launched a Calendly competitor called TidyCal. I don't know if you've heard of this, but yeah, that's a, you know, three, four million dollar a year business.”

“Noah illustrates the power of email by sharing how his business, AppSumo, which generates sixty-five million dollars a year, Has over 50% of all of its revenue come from email?”

“He has AppSumo, which is doing really well. I think it's eighty million a year.”

“So gross sales is 76.7 net revenue was 56. Pretty good. And then profit was 7.5.”

“So we copy Amazon for, if you actually look at our net profit over the past literally 14 years, it's like .5% net income margin.”

“All of them got rich as well in one way. Like I was just at FedEx this morning because I interviewed the guy from Kinko's. He just focused on copiers. That's it. But a lot of newer entrepreneurs I've seen are ones that haven't had as much success. They're like…”

“And I was telling you tidycal.com, our calendar, Calendly alternative is crushing. It's like five X growth this year. And that's one of about 10 products that we've launched on the original team.”

“We launched 300,001st year. Second year, three million. Third year, four million. And then it was basically three to five million for the next three years. And then this year it'll be around eighty million. 1313 years later.”

“Don't go to me. Go to the person whose audience is, like, hyper engaged on a really tight subject, And even if you want to be even more creative, go to different languages. So we have people crushing it in Spanish, crushing it in Portuguese. And it's like when…”

“One, we spent a year recruiting, and then we spent 18 months training.”

“I mean, I was making two to three million dollars a year,”

“We went from 15% margin to around two percent margin of the business.”

“Our teammate cost per month, we call them teammates, not employees. Today it's about 1.2 million a month. I think we got it up to two and a half, three million.”

“And this year though, we've definitely gotten back up to, I think around 12% margin, reduced a lot of the distractions that I was doing, and then just focused on the core of the business”

“Ours is tidy cow, which brings in, I think it's around almost 25% of all new buyers come through tidy cow into the AppSumo ecosystem.”

“I mean, we're spending on per video, I don't know, maybe 30,000, if you look at salaries, and editing, and thumbnail designer, and consultants, and all this different travel stuff”

“We've surveyed, and around 30% of people that buy at AppSumo know who I am.”

“And we spend about a half a million dollars a month around that and it's all profitable.”

“There's a tool on AppSumo called CastMagic. I think in less than a year, they had a million ARR.”

“And so in 48 hours, I was able to sell 3000 dollars worth without using any social media or any of my email list. And in pre-sales to a DocuSign alternative for life, which will launch in 30 days on AppSumo.”

“So we launched tidycal.com maybe two years ago, and that's doing 3000 dollars in profit a day at 29 dollars for life.”

“We use howdy.com. Have you seen them? So they give you, they hire South American developers and employees, but they do all the vetting and they just make it stupid easy for you to have full-time dedicated staff in an area. So we're on our absolute originals pr…”

“We go and look at who did the thing at this company that's ahead of us. And then we pay that person a lot of money per hour. And then we hire a more junior person who cares probably a little bit more about AppSumo. And then they, it's kind of a nice, nice merg…”

“Almost everyone in leadership gets a person. So Anna who runs people, we have Christine, who's the chief people officer from Duolingo. Moody Glasgow was the CMO of Zapier and Glassdoor. He does marketing. There's a guy named Colin Gardner. He does revenue. So …”

“And so we went from 600 to 13,000 products within six months on the site and our revenue stayed the same, but our profit went down, right? Because now we have different margins. So some products have Better margins than others. So we went from normally like a …”

“And then I decided to also spend a million dollars cash to promote that we have all these new products on AppSumo.”

“And I've noticed with all of my successes, they have started fast. Like that's what I, you know, weekend, if not sooner.”

“Once they start working, you know, for AppSumo, it was like, we did some of you, it worked right away. It was like first year, 300,002nd year, three million, but then it was flat, you know, for a few years. Like 4,000,004 1,000,005 1,000,004. Then it started p…”

“AppSumo used to be bundled software deals. And then we went to individual daily deals and it's not just cause that's what Groupon did. It's cause we literally like had to go understand that we looked at the economics of bundles. Andrew Chen put it together. He…”

“Within a week of our lifetime deal that we launched on AppSumo, we got more than 5000 paid users who bought a lifetime deal, ah, in a week's time. And our brand search volume, it went from zero, because we were non-existent, literally, to 500 searches a month.”

“Currently, we, we've blocked all the all the AppSumo customers or on our AWS account with which is which is with a hundred K activate program. So we don't have any cost with that during this and next year.”

“1015, maybe.”

“Probably not, but you know, I would advise other SaaS founders to try AppSumo because you know, this is probably the easiest way and a low hanging fruit to talk to your audience.”

“Yeah, because like if you launch there you get wrong kind of customers. You don't get the kind of customers that are going to be with you like long-term. They don't count towards churn like retention. It's a lifetime plan. It's like only good for like very spe…”

“AppSumo has asked us to go back. Like, so like, no, like no more lifetime deals. Like it's out of question.”

“We got that around, I think, 3000 people from AppSumo.”

“So I actually think that it is one of the most valuable things that we've done in the lifetime of the company.”

“Yeah, because honestly, the problem, the problems that are That, that user versus the problems that are a larger company user, they're almost identical when you're talking about launching products. Like I actually fundamentally disagree with the idea that they…”

“They do pay us because we have other, other product, other products. In, in app purchases that they buy.”

“It was a good launch strategy for us because it gave us a lot of really good, very quick, hard feedback about, hey, it ought to do this and it ought to do this and it ought to do this. That really helped us iterate and get to the state that we're in today.”

“We're not on that platform. We don't do lifetime deals anymore.”

“The trick is you have to understand what your software what with the activation metric is. So if it's number of leads reached out to per month, the lifetime deal closes down once they hit a hundred and then you upsell once they break a hundred. But if you've g…”