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Dec 5, 2023 · 20m · top-founders

$100m in revenue selling software to 27,000 AirBNB hosts?

Adam Harris · 12m spoken Nathan Latka · 5m spoken
0:00 / 0:00

gold bands on the timeline = statements, start to end. Hover to read, click to jump. CC turns on captions

CloudBeds co-founder and CEO Adam Harris joins Nathan Latka to discuss how the company scaled past $50 million ARR, managing over 2.5 million beds across 27,000 properties worldwide. Harris breaks down CloudBeds' expansion into embedded fintech, direct booking acquisition engines, and the product roadmap driving them toward $100 million in ARR.

How this conversation actually went

Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Nathan holds 30.6% of the talking time here. How this is scored →

Nathan as informed peer 5.2 Guest teaching 2.7 Guest disagreement 1.5 Nathan pushing back 3.2
05100:0010:0020:000:38–5:14 · Nathan as informed peer 5/10 Welcome Adam Harris and Travel Market Dynamics Nathan recalls historical benchmarks from their 2018 and 2021 interviews and probes into operational metrics like headcount breakdown and building-to-bed ratios. Adam clarifies how CloudBeds measures enterprise entities versus short-term rental units.5:15–8:25 · Nathan as informed peer 6/10 Monetization Strategy Through Embedded FinTech Solutions Nathan presses on payment take rates and GMV monetization, drawing comparisons to SaaS analogs like Toast and Shopify. Adam explains the jurisdictional complexities of underwriting and payment processing across international markets.8:25–13:50 · Nathan as informed peer 6/10 Disrupting Online Travel Agencies with Amplify Nathan calculates revenue per bed and probes the mechanics of CloudBeds' ad engine competing with Expedia and Booking.com. Adam details their Amplify direct-booking solution and how automated generative ads yield double-digit ROAS.13:51–17:31 · Nathan as informed peer 7/10 Product Roadmap Sequencing and On-Property Commerce Nathan shares his perspective from FounderPath on lending and product sequencing dilemmas. Adam validates the insight and outlines CloudBeds' staged rollout from processing to guest-facing microtransactions and payroll.17:32–19:54 · Nathan as informed peer 6/10 Customer Scaling, ARPU Expansion, and $100M Target Nathan aggressively corners Adam to confirm exact ARR numbers and ARPU increases over time. Adam playfully resists direct disclosure before agreeing to confirm by nodding to Nathan's $50M+ range benchmark.19:55–20:15 · Nathan as informed peer 1/10 Episode Conclusion and Performance Recap Nathan recaps the key takeaways and performance metrics of CloudBeds in an outro monologue.0:38–5:14 · Guest teaching 3/10 Welcome Adam Harris and Travel Market Dynamics Nathan recalls historical benchmarks from their 2018 and 2021 interviews and probes into operational metrics like headcount breakdown and building-to-bed ratios. Adam clarifies how CloudBeds measures enterprise entities versus short-term rental units.5:15–8:25 · Guest teaching 4/10 Monetization Strategy Through Embedded FinTech Solutions Nathan presses on payment take rates and GMV monetization, drawing comparisons to SaaS analogs like Toast and Shopify. Adam explains the jurisdictional complexities of underwriting and payment processing across international markets.8:25–13:50 · Guest teaching 4/10 Disrupting Online Travel Agencies with Amplify Nathan calculates revenue per bed and probes the mechanics of CloudBeds' ad engine competing with Expedia and Booking.com. Adam details their Amplify direct-booking solution and how automated generative ads yield double-digit ROAS.13:51–17:31 · Guest teaching 3/10 Product Roadmap Sequencing and On-Property Commerce Nathan shares his perspective from FounderPath on lending and product sequencing dilemmas. Adam validates the insight and outlines CloudBeds' staged rollout from processing to guest-facing microtransactions and payroll.17:32–19:54 · Guest teaching 2/10 Customer Scaling, ARPU Expansion, and $100M Target Nathan aggressively corners Adam to confirm exact ARR numbers and ARPU increases over time. Adam playfully resists direct disclosure before agreeing to confirm by nodding to Nathan's $50M+ range benchmark.19:55–20:15 · Guest teaching 0/10 Episode Conclusion and Performance Recap Nathan recaps the key takeaways and performance metrics of CloudBeds in an outro monologue.0:38–5:14 · Guest disagreement 1/10 Welcome Adam Harris and Travel Market Dynamics Nathan recalls historical benchmarks from their 2018 and 2021 interviews and probes into operational metrics like headcount breakdown and building-to-bed ratios. Adam clarifies how CloudBeds measures enterprise entities versus short-term rental units.5:15–8:25 · Guest disagreement 2/10 Monetization Strategy Through Embedded FinTech Solutions Nathan presses on payment take rates and GMV monetization, drawing comparisons to SaaS analogs like Toast and Shopify. Adam explains the jurisdictional complexities of underwriting and payment processing across international markets.8:25–13:50 · Guest disagreement 2/10 Disrupting Online Travel Agencies with Amplify Nathan calculates revenue per bed and probes the mechanics of CloudBeds' ad engine competing with Expedia and Booking.com. Adam details their Amplify direct-booking solution and how automated generative ads yield double-digit ROAS.13:51–17:31 · Guest disagreement 1/10 Product Roadmap Sequencing and On-Property Commerce Nathan shares his perspective from FounderPath on lending and product sequencing dilemmas. Adam validates the insight and outlines CloudBeds' staged rollout from processing to guest-facing microtransactions and payroll.17:32–19:54 · Guest disagreement 3/10 Customer Scaling, ARPU Expansion, and $100M Target Nathan aggressively corners Adam to confirm exact ARR numbers and ARPU increases over time. Adam playfully resists direct disclosure before agreeing to confirm by nodding to Nathan's $50M+ range benchmark.19:55–20:15 · Guest disagreement 0/10 Episode Conclusion and Performance Recap Nathan recaps the key takeaways and performance metrics of CloudBeds in an outro monologue.0:38–5:14 · Nathan pushing back 2/10 Welcome Adam Harris and Travel Market Dynamics Nathan recalls historical benchmarks from their 2018 and 2021 interviews and probes into operational metrics like headcount breakdown and building-to-bed ratios. Adam clarifies how CloudBeds measures enterprise entities versus short-term rental units.5:15–8:25 · Nathan pushing back 3/10 Monetization Strategy Through Embedded FinTech Solutions Nathan presses on payment take rates and GMV monetization, drawing comparisons to SaaS analogs like Toast and Shopify. Adam explains the jurisdictional complexities of underwriting and payment processing across international markets.8:25–13:50 · Nathan pushing back 4/10 Disrupting Online Travel Agencies with Amplify Nathan calculates revenue per bed and probes the mechanics of CloudBeds' ad engine competing with Expedia and Booking.com. Adam details their Amplify direct-booking solution and how automated generative ads yield double-digit ROAS.13:51–17:31 · Nathan pushing back 4/10 Product Roadmap Sequencing and On-Property Commerce Nathan shares his perspective from FounderPath on lending and product sequencing dilemmas. Adam validates the insight and outlines CloudBeds' staged rollout from processing to guest-facing microtransactions and payroll.17:32–19:54 · Nathan pushing back 6/10 Customer Scaling, ARPU Expansion, and $100M Target Nathan aggressively corners Adam to confirm exact ARR numbers and ARPU increases over time. Adam playfully resists direct disclosure before agreeing to confirm by nodding to Nathan's $50M+ range benchmark.19:55–20:15 · Nathan pushing back 0/10 Episode Conclusion and Performance Recap Nathan recaps the key takeaways and performance metrics of CloudBeds in an outro monologue.

speaking balance: gold is Nathan, purple is the guest (3 minute bins)

0:00 · Nathan 63.5% · guest 36.5%0:00 · Nathan 63.5% · guest 36.5%3:00 · Nathan 23.9% · guest 76.1%3:00 · Nathan 23.9% · guest 76.1%6:00 · Nathan 17.3% · guest 82.7%6:00 · Nathan 17.3% · guest 82.7%9:00 · Nathan 17.2% · guest 82.8%9:00 · Nathan 17.2% · guest 82.8%12:00 · Nathan 36.1% · guest 63.9%12:00 · Nathan 36.1% · guest 63.9%15:00 · Nathan 11.8% · guest 88.2%15:00 · Nathan 11.8% · guest 88.2%18:00 · Nathan 52.8% · guest 47.2%18:00 · Nathan 52.8% · guest 47.2%
Sharpest disagreement ▶ 18:34 Adam deflects revenue disclosure

Adam explicitly pushes back against revealing exact current revenue figures, forcing Nathan to guess ranges instead of giving a direct number.

 Hardest push from Nathan ▶ 18:41 Nathan corners Adam on ARR baseline

Nathan refuses to accept Adam's nondisclosure evasion and directly tests revenue thresholds until extracting on-record confirmation that ARR exceeds $50M.

 Biggest teaching moment ▶ 8:38 Adam reframes simplistic take-rate calculations

Adam corrects Nathan's simplified mathematical model of payment take rates by explaining global installment plans, cash reliance, and digital wallet variations.

 Nathan holds their own ▶ 14:39 Nathan demonstrates sequencing insight

Nathan draws upon fintech balance sheet mechanics and his FounderPath lending experience to challenge CloudBeds' product rollout sequencing.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Welcome Adam Harris and Travel Market Dynamics 5312 Nathan recalls historical benchmarks from their 2018 and 2021 interviews and probes into operational metrics like headcount breakdown and building-to-bed ratios. Adam clarifies how CloudBeds measures enterprise entities versus short-term rental units.
Monetization Strategy Through Embedded FinTech Solutions 6423 Nathan presses on payment take rates and GMV monetization, drawing comparisons to SaaS analogs like Toast and Shopify. Adam explains the jurisdictional complexities of underwriting and payment processing across international markets.
Disrupting Online Travel Agencies with Amplify 6424 Nathan calculates revenue per bed and probes the mechanics of CloudBeds' ad engine competing with Expedia and Booking.com. Adam details their Amplify direct-booking solution and how automated generative ads yield double-digit ROAS.
Product Roadmap Sequencing and On-Property Commerce 7314 Nathan shares his perspective from FounderPath on lending and product sequencing dilemmas. Adam validates the insight and outlines CloudBeds' staged rollout from processing to guest-facing microtransactions and payroll.
Customer Scaling, ARPU Expansion, and $100M Target 6236 Nathan aggressively corners Adam to confirm exact ARR numbers and ARPU increases over time. Adam playfully resists direct disclosure before agreeing to confirm by nodding to Nathan's $50M+ range benchmark.
Episode Conclusion and Performance Recap 1000 Nathan recaps the key takeaways and performance metrics of CloudBeds in an outro monologue.

Statements from this episode (16)

Assertion Not checkable as stated
Harris: Cloudbeds operates in 157 markets across 2.5M beds
“We do it in a 157 markets across two and a half million beds in this world.”
Adam Harris Dec 5, 2023 ▶ 3:22
Assertion Not checkable as stated
Harris: Cloudbeds employs 757 people across 41 countries
“We're 757 people in 41 countries around the world now.”
Adam Harris Dec 5, 2023 ▶ 3:27
Assertion Not checkable as stated
Harris: CloudBeds grew at over 75% CAGR over three years
“You know, we've grown over a 75% CAGR in the last three years, so really, really top quartile growth rates, and that's continued to sort of maintain.”
Adam Harris Dec 5, 2023 ▶ 5:16
Assertion Supported
Harris: Toast and Shopify derive 50% of revenue from fintech
“If you look at toast as a publicly traded company or Shopify as another, you know, 50% of their revenue is coming from fintech solutions.”
Adam Harris Dec 5, 2023 ▶ 6:30
Assertion Not checkable as stated
Harris: CloudBeds fintech accounts for under 20% of revenue
“It's less than 20% of our overall revenue, but it's fast growing. It's multiple hundred percent year over year growth rates in that sector.”
Adam Harris Dec 5, 2023 ▶ 6:43
Assertion Not checkable as stated
Harris: CloudBeds handles over $10 billion in GMV
“We do over ten billion dollars in GMV. Just in reservations within the key markets that we serve.”
Adam Harris Dec 5, 2023 ▶ 7:19
Assertion Not checkable as stated
Harris: Cloudbeds' target market spends $87 billion annually on intermediary fees
“The TAM that we service today, Or I guess a SAM that we service today spends about eighty-seven billion dollars a year in intermediary fees.”
Adam Harris Dec 5, 2023 ▶ 9:33
Assertion Contradicted
Harris: 62% of Travel Booking Origination Stems from Social Media
“62% of all origination of travel these days is happening through social media influence.”
Adam Harris Dec 5, 2023 ▶ 11:17
Assertion Not checkable as stated
Harris: Cloudbeds' Amplify product delivers a 13x return on ad spend
“The ROAS on all of that dollar spent with us is in the teens in terms of Multiple return on, on, on their money spent. So like giving a 13 X return on every dollar they spend with us is beautiful.”
Adam Harris Dec 5, 2023 ▶ 12:15
Prediction Not checkable as stated
Harris: Cloudbeds aims to drive $1 billion in bookings through Amplify
“Our hope is to do a billion next year through that. But we're doing millions of dollars a day now.”
Adam Harris Dec 5, 2023 ▶ 12:54
Disclosure
Harris: Cloudbeds Has Lending on Its Product Roadmap to Explore
“And it's something that we definitely have on the roadmap to explore.”
Adam Harris Dec 5, 2023 ▶ 14:13
Insight
Latka: Marketplace Success Depends on Feature Sequencing, Not Generating New Ideas
“When you sit on so much data, the hard problem is not, like, I didn't just give you some brand new idea you never thought of, you know about that idea, but the hard part and who wins marketplace is it's actually what do you decide to launch first, second, thir…”
Nathan Latka Dec 5, 2023 ▶ 14:39
Assertion Not checkable as stated
Harris: Cloudbeds serves north of 27,000 customers
“Yeah, north of north of 27,000.”
Adam Harris Dec 5, 2023 ▶ 17:41
Assertion Not checkable as stated
Harris: Cloudbeds' monthly ARPU has grown significantly past $93
“Significantly.”
Adam Harris Dec 5, 2023 ▶ 17:58
Assertion Supported
Harris: Cloudbeds has 400 partner integrations in its marketplace
“We have upsell capability these days, and then we also have a marketplace of 400 different partners that can be introduced into the equation.”
Adam Harris Dec 5, 2023 ▶ 18:10
Prediction Not checkable as stated
Harris: Cloudbeds can reach $100M revenue run rate next year
“Very much so.”
Adam Harris Dec 5, 2023 ▶ 18:27
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