Agarwal: A bot attack drained Pepper's monthly AWS budget in one day
“We had an attack one day where we ended up spending our month's AWS bill in just one day on OpenAI because we had a bot attack happen on us.”
Singla: Pepper Content has reached $10 million in ARR
“So we just rushed ten million in ARR, and we're now in the 10 to 25 to 50 journey.”
Singla: Nearly 150,000 freelancers have applied to Pepper Content
“So we have about close to one, 50,000 freelancers who've applied to write for Pepper.”
Singla: 50% of Pepper Content's talent pool is US-based
“So, 50% of our user base on the talent marketplace side sits out of the US.”
Singla: Changing headings to questions causes massive traffic upticks
“We've worked with customers where they've seen massive traffic uptick just on converting the H ones and H twos into interrogative questions.”
Singla: Pepper has produced 750,000 articles, peaking at 30,000 monthly
“So just for reference, we've done about seven, 50,000 articles till date. There have been months where we've done 30,000 articles a month.”
Singla: Low-quality AI slop video is not sustainable long term
“It's still doing well, but I'll tell you, it's not sustainable long term. So one has to eventually create that workflow with script writers, and, you know, basically, smarter people have to use these tools.”
Pepper generated 30,000 ad creatives via custom AI engines in six months
“We've created these custom engines, which can produce banner images, add creatives, add skills like 30,000 creatives over the last six months.”
Singla: PepperType hit #1 Product of the Month and 500k users in year one
“It took us 20 days to build out a platform called PepperType, which we launched on Product Hunt. We were number one product of the month, and we got to a million, got to a half a million users in one year just for that tool.”
Pepper hits a $3 million revenue run rate after 8x growth
“Since our official launch last year, we've already grown eight X and this year we're making three million in revenue run rate.”
Fu: Pepper is raising $1.5 million to expand product lines
“I'm here today to raise 1.5 million to grow our community and expand even faster with more products.”
Pepper sets a $9 million valuation cap for its round
“Yes, so we're doing a nine million cap.”
Fu: Pepper operates at 71% margins including fulfillment
“71%, and this includes the end fulfillment to the customer.”
Fu: Pepper's CAC is $25 with a $130 lifetime value
“Yeah, so overall CAC is 25 dollars, and our lifetime value is 130 dollars, and we expect this lifetime value to go even higher, because right now we only have three products.”
Pepper will spend $1M of its $1.5M raise on paid acquisition
“Well, out of the 1.5 million, we're thinking about doing one million that goes towards paid acquisition.
[407] Elizabeth Yin: Oh, wow.
[407] Jacqueline Fu: Yeah, and the rest would go towards hiring and inventory.”
Fu: US small-cup bra market is worth $5.1 billion
“We believe it to be a 5.1 billion dollar market, and the way we got to this is the total lingerie market in the U.S. Is sixteen billion dollars, and around 32% of women fall in the BMI that would be applicable to us.”
Yin: Competitors will easily copy Pepper's small-cup bras if they succeed
“If you start to do well, I'm pretty certain other people will crack the nut. Like, I don't believe this is rocket science, so this is like a first mover hustle advantage”
Fu: Pepper launched with Urban Outfitters and received a second purchase order
“So we actually just launched a partnership with Urban Outfitters a few weeks ago. That's been met with really awesome response. They're placing a second purchase order now.”
Hudson: I'd like to invest $25,000 in Pepper
“So I'd like to make a small investment of 25 K. I obviously have some diligence to do, but I'd love to work with you.”
Yin: Hustle Fund passes on Pepper due to $9M valuation
“The valuation for me is really pricey, to be honest. Like, this is not where we come in with Hustle Fund. For that reason, I'm a pass.”
Fu: Pepper prioritizes profitability over growth, even if not venture scale
“Our philosophy is it's not growth at all cost, and that might not be a venture Scale type of business because we might be growing a little bit slower, but for us, it's more important to be profitable.”
Pepper oversubscribed its seed round, raising almost $2 million
“She set out to raise 1.5 million dollars, and after the show, ended up oversubscribing and raised almost two million from investors.”
Pepper declined Yin's revenue-based financing offer because they didn't need it
“Jacqueline told us that she and her co-founder Leah Decided not to take the money, because they didn't need it.”
Yin: Missing Pepper prompted personal angel investments in DTC startups
“We also don't invest in DTC with our firm, but over the last couple of years, having had a bunch of misses like Pepper, I've now started writing those personal checks because actually there's a lot of really good companies in DTC, especially because there are …”
Hudson: Three of Precursor's best portfolio companies are direct-to-consumer
“Three of our best companies, Bobby, Pepper, and Pierre Ivo are all DTC, and they're all like real companies.”
Pepper Content reached 1.75 crore INR in bootstrapped revenue by May 2019
“By the time we had completed our third year of college, which was May, 2019, we had done 1.75 crores of revenue till date all bootstrapped. Didn't take money from anyone else. Everything was profitable and revenue driven.”
Pepper Content's 2.2 crore INR seed round was oversubscribed to 5 crore
“It took us about three months to get everyone in place. We were raising 2.2 crores. Just 300 K that time. And I think by the time we were almost nearing closure of the round, we were oversubscribed up to five crores.”
YourStory founder Shraddha Sharma wrote the first check into Pepper Content
“In fact so Shadda Sharma from your story. I, we convinced your story to put in money. So Shadda was the first check.”
An angel investor introduction led to Lightspeed investing in Pepper Content
“In fact, Kunal introduced me to Dave from Lightspeed. And that's how Lightspeed finally came in, and I think your initial supporters are extremely important towards your next leg of journey.”
Pepper Content had 35-40 Lakhs MRR when Lightspeed invested
“We went from doing five, six lakhs of monthly revenue to, I think, 35, 40 lakhs of revenue when Lightspeed came in, right?”
Pepper Content grew from $500k to $8M ARR in just 14 months
“We went from, you know, doing about 500,000 dollars of annual run rate. To now we're close to touching about eight million dollars of run rate just in the last 14 months.”
Toptal generates $450 million in annual recurring revenue
“Top tile, which does four, fifty million ARR where they're basically peppers model, but for product engineering folks.”
20% of Pepper Content's revenue is global, spanning 145 countries
“In fact, today itself, 20% of our business is already global. There were three 50,000 plus users using pepper marketplace and a software business across one 45 countries already.”
Pepper Content works with 70 of India's 85 unicorn startups
“See till date, we work with some 2500 plus brands so far on an active basis. We engage with five 50 to 600 customers at this point of time. Just to give you a sense in the last, we work with over 70 out of 85 unicorns in the country. We work with over a hundre…”
Pepper Content recently closed a multi-million dollar contract with a major enterprise
“We recently just Closed a late seven figure multimillion dollar deal with one of India's largest enterprises.”
SaaS products account for 15% to 20% of Pepper Content's overall revenue
“I think SAS is still early on about 15, 20% and growing on really fast in the overall side of scheme of things.”
Singla predicts Pepper Content will hit $100 million ARR by December 2024
“December, 2024.”
Pepper Content interviewed 8,000 candidates to hire 90 employees in six months
“Our team in pepper over the last six months has interviewed 8000 people. Right. And that's when we went from about 60 people to one 50 people in the last six months.”
Pepper Content's AI tool Peppertype has reached 200,000 users
“Now that alone has some 200,000 users today.”