Grammarly

“In the case of Grammarly, it was performance marketing, kind of over-reliance on performance marketing during, you know, part of the company's life cycle. And so it was like, okay, this thing is working. It's efficient. So you don't want to stop pouring fire o…”

“But even right now, during contraction, there are going to be some winners. The companies that had strong cash positions, had strong unit economics, strong payback periods already, right? Grammarly, Canva, to name two that I know personally, a couple of others…”

“And I think there's some really great examples Of companies that have scaled, you know, in relatively recent times, almost exclusively through paid, like Grammarly is a really good example of this.”

“In moments that were like in, in that we're in like today, that can also be detrimental. Right. Cause like the business gets to a certain size. You start getting to kind of like log large numbers. You need to start thinking about, you know, are there other pro…”

“I think there's a few things that the Arc browser is doing that make it hard to get Grammarly to work either on the client or in the browser.”

“The company has been around for 15 years and was profitable from day one and continues to be quite profitable.”

“The Grammarly is a freemium business model, which means that over 90% of our users are on the free service and the rest of it pay for subscriptions essentially.”

“So I think these things are usually why I lean toward make sure that the core value proposition that you're providing users is free and is sort of permanently free. And then you layer on kind of a sampling or a taste of some of the premium features that are on…”

“One exception is that Grammarly was a different type of product and that you install it and you don't proactively open it every day. So that was kind of interesting to me because I assumed that you should always just focus on existing user retention, but for a…”

“All of a sudden people were seeing Gramly as a much more powerful tool than they were before, and our upgrade rates like nearly doubled just through this change.”