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Sep 18, 2020 · 18m · top-founders

AdGreetz Hits $5.5m in Revenue Customizing Outbound Marketing For Enterprises

Eric Frankel · 10m spoken Nathan Latka · 5m spoken Eric Yuan · 4s spoken Vivek Bhaskaran · 2s spoken
0:00 / 0:00

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In this interview with Nathan Latka, AdGreetz founder and CEO Eric Frankel details how his hyper-personalized video marketing platform scaled to $5.5 million in software revenue with 13 enterprise clients. Frankel breaks down enterprise pricing, ad spend commissions, fundraising benchmarks, and operational strategies for converting major legacy brands into recurring contracts.

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 33.5% of the talking time here. How this is scored →

Nathan as informed peer 4.0 Guest teaching 1.7 Guest disagreement 1.7 Nathan pushing back 2.5
05100:0010:000:15–3:30 · Nathan as informed peer 3/10 Nathan Latka Subscription Pitch and Platform Archival Highlights Nathan introduces the show and platform before asking Eric Frankel to define AdGreetz. Eric explains their hyper-personalized video ad model, clarifying that personalization extends beyond just names to demographics and locations.3:31–5:46 · Nathan as informed peer 5/10 AdGreetz Pricing Structure, Services, and Enterprise Customer Dynamics Nathan probes into Eric's pricing model and customer count, clarifying ACV terminology when Eric notes he doesn't speak Latka's SaaS lingo. Nathan presses to understand whether payments represent pure software or service ad spend.5:47–9:44 · Nathan as informed peer 4/10 Enterprise Case Study: Tanishq Campaign and Client Retention Eric details campaign performance metrics for enterprise customer Tanishq and explains organizational headcount. Nathan asks pointed questions about team composition, poaching competitor executives, and sales quotas.9:46–12:07 · Nathan as informed peer 6/10 Fundraising Journey, Smartly Valuation Benchmark, and Path to Profitability Nathan asks about total capital raised and immediately follows up with a direct profitability check. Eric sidesteps the immediate question to highlight competitor Smartly's private equity valuation before giving revenue timeline projections.12:07–15:53 · Nathan as informed peer 6/10 Analyzing Revenue Distribution: SaaS Fees Versus Media Buying Cut Nathan forces Eric to parse the difference between top-line media spend pass-through versus actual software revenue to isolate real gross revenue. During the Famous Five, Nathan repeatedly reins in rambling answers to keep pacing fast.15:53–16:26 · Nathan as informed peer 0/10 Interview Recap: AdGreetz Financial Metrics and Market Position Nathan wraps up the episode with a standard solo recap summarizing AdGreetz revenue metrics, customer count, and business model before delivering channel promos.0:15–3:30 · Guest teaching 1/10 Nathan Latka Subscription Pitch and Platform Archival Highlights Nathan introduces the show and platform before asking Eric Frankel to define AdGreetz. Eric explains their hyper-personalized video ad model, clarifying that personalization extends beyond just names to demographics and locations.3:31–5:46 · Guest teaching 2/10 AdGreetz Pricing Structure, Services, and Enterprise Customer Dynamics Nathan probes into Eric's pricing model and customer count, clarifying ACV terminology when Eric notes he doesn't speak Latka's SaaS lingo. Nathan presses to understand whether payments represent pure software or service ad spend.5:47–9:44 · Guest teaching 2/10 Enterprise Case Study: Tanishq Campaign and Client Retention Eric details campaign performance metrics for enterprise customer Tanishq and explains organizational headcount. Nathan asks pointed questions about team composition, poaching competitor executives, and sales quotas.9:46–12:07 · Guest teaching 3/10 Fundraising Journey, Smartly Valuation Benchmark, and Path to Profitability Nathan asks about total capital raised and immediately follows up with a direct profitability check. Eric sidesteps the immediate question to highlight competitor Smartly's private equity valuation before giving revenue timeline projections.12:07–15:53 · Guest teaching 2/10 Analyzing Revenue Distribution: SaaS Fees Versus Media Buying Cut Nathan forces Eric to parse the difference between top-line media spend pass-through versus actual software revenue to isolate real gross revenue. During the Famous Five, Nathan repeatedly reins in rambling answers to keep pacing fast.15:53–16:26 · Guest teaching 0/10 Interview Recap: AdGreetz Financial Metrics and Market Position Nathan wraps up the episode with a standard solo recap summarizing AdGreetz revenue metrics, customer count, and business model before delivering channel promos.0:15–3:30 · Guest disagreement 1/10 Nathan Latka Subscription Pitch and Platform Archival Highlights Nathan introduces the show and platform before asking Eric Frankel to define AdGreetz. Eric explains their hyper-personalized video ad model, clarifying that personalization extends beyond just names to demographics and locations.3:31–5:46 · Guest disagreement 2/10 AdGreetz Pricing Structure, Services, and Enterprise Customer Dynamics Nathan probes into Eric's pricing model and customer count, clarifying ACV terminology when Eric notes he doesn't speak Latka's SaaS lingo. Nathan presses to understand whether payments represent pure software or service ad spend.5:47–9:44 · Guest disagreement 2/10 Enterprise Case Study: Tanishq Campaign and Client Retention Eric details campaign performance metrics for enterprise customer Tanishq and explains organizational headcount. Nathan asks pointed questions about team composition, poaching competitor executives, and sales quotas.9:46–12:07 · Guest disagreement 2/10 Fundraising Journey, Smartly Valuation Benchmark, and Path to Profitability Nathan asks about total capital raised and immediately follows up with a direct profitability check. Eric sidesteps the immediate question to highlight competitor Smartly's private equity valuation before giving revenue timeline projections.12:07–15:53 · Guest disagreement 3/10 Analyzing Revenue Distribution: SaaS Fees Versus Media Buying Cut Nathan forces Eric to parse the difference between top-line media spend pass-through versus actual software revenue to isolate real gross revenue. During the Famous Five, Nathan repeatedly reins in rambling answers to keep pacing fast.15:53–16:26 · Guest disagreement 0/10 Interview Recap: AdGreetz Financial Metrics and Market Position Nathan wraps up the episode with a standard solo recap summarizing AdGreetz revenue metrics, customer count, and business model before delivering channel promos.0:15–3:30 · Nathan pushing back 1/10 Nathan Latka Subscription Pitch and Platform Archival Highlights Nathan introduces the show and platform before asking Eric Frankel to define AdGreetz. Eric explains their hyper-personalized video ad model, clarifying that personalization extends beyond just names to demographics and locations.3:31–5:46 · Nathan pushing back 3/10 AdGreetz Pricing Structure, Services, and Enterprise Customer Dynamics Nathan probes into Eric's pricing model and customer count, clarifying ACV terminology when Eric notes he doesn't speak Latka's SaaS lingo. Nathan presses to understand whether payments represent pure software or service ad spend.5:47–9:44 · Nathan pushing back 2/10 Enterprise Case Study: Tanishq Campaign and Client Retention Eric details campaign performance metrics for enterprise customer Tanishq and explains organizational headcount. Nathan asks pointed questions about team composition, poaching competitor executives, and sales quotas.9:46–12:07 · Nathan pushing back 4/10 Fundraising Journey, Smartly Valuation Benchmark, and Path to Profitability Nathan asks about total capital raised and immediately follows up with a direct profitability check. Eric sidesteps the immediate question to highlight competitor Smartly's private equity valuation before giving revenue timeline projections.12:07–15:53 · Nathan pushing back 5/10 Analyzing Revenue Distribution: SaaS Fees Versus Media Buying Cut Nathan forces Eric to parse the difference between top-line media spend pass-through versus actual software revenue to isolate real gross revenue. During the Famous Five, Nathan repeatedly reins in rambling answers to keep pacing fast.15:53–16:26 · Nathan pushing back 0/10 Interview Recap: AdGreetz Financial Metrics and Market Position Nathan wraps up the episode with a standard solo recap summarizing AdGreetz revenue metrics, customer count, and business model before delivering channel promos.

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

0:00 · Nathan 54.2% · guest 45.8%0:00 · Nathan 54.2% · guest 45.8%3:00 · Nathan 21.4% · guest 78.6%3:00 · Nathan 21.4% · guest 78.6%6:00 · Nathan 8.3% · guest 91.7%6:00 · Nathan 8.3% · guest 91.7%9:00 · Nathan 14.6% · guest 85.4%9:00 · Nathan 14.6% · guest 85.4%12:00 · Nathan 27.6% · guest 72.4%12:00 · Nathan 27.6% · guest 72.4%15:00 · Nathan 75.9% · guest 24.1%15:00 · Nathan 75.9% · guest 24.1%18:00 · Nathan 0% · guest 0%18:00 · Nathan 0% · guest 0%
Sharpest disagreement ▶ 14:15 Refusal to name a single admired CEO

Eric resists Nathan's repeated attempt to name an admired CEO, insisting he does not study any particular executive or worship figures like Elon Musk.

 Hardest push from Nathan ▶ 12:25 Deconstructing headline revenue figures

Nathan refuses to accept the headline ten million dollar run-rate at face value, forcing Eric to separate media buy pass-through from actual recognized SaaS cash.

 Biggest teaching moment ▶ 2:41 Educating host on multi-variable ad customization

Eric corrects Nathan's narrow mail-merge comparison by outlining complex multi-variant parameters like localized retailers, age demographics, and days of the week.

 Nathan holds their own ▶ 12:42 Calculating true gross revenue on the fly

Nathan breaks down Eric's revenue components into five million base software plus commission percentages to pinpoint realistic gross revenue around 5.4 million dollars.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Nathan Latka Subscription Pitch and Platform Archival Highlights 3111 Nathan introduces the show and platform before asking Eric Frankel to define AdGreetz. Eric explains their hyper-personalized video ad model, clarifying that personalization extends beyond just names to demographics and locations.
AdGreetz Pricing Structure, Services, and Enterprise Customer Dynamics 5223 Nathan probes into Eric's pricing model and customer count, clarifying ACV terminology when Eric notes he doesn't speak Latka's SaaS lingo. Nathan presses to understand whether payments represent pure software or service ad spend.
Enterprise Case Study: Tanishq Campaign and Client Retention 4222 Eric details campaign performance metrics for enterprise customer Tanishq and explains organizational headcount. Nathan asks pointed questions about team composition, poaching competitor executives, and sales quotas.
Fundraising Journey, Smartly Valuation Benchmark, and Path to Profitability 6324 Nathan asks about total capital raised and immediately follows up with a direct profitability check. Eric sidesteps the immediate question to highlight competitor Smartly's private equity valuation before giving revenue timeline projections.
Analyzing Revenue Distribution: SaaS Fees Versus Media Buying Cut 6235 Nathan forces Eric to parse the difference between top-line media spend pass-through versus actual software revenue to isolate real gross revenue. During the Famous Five, Nathan repeatedly reins in rambling answers to keep pacing fast.
Interview Recap: AdGreetz Financial Metrics and Market Position 0000 Nathan wraps up the episode with a standard solo recap summarizing AdGreetz revenue metrics, customer count, and business model before delivering channel promos.

Statements from this episode (12)

Assertion Partly supported
AdGreetz generated 300,000 video variations for P&G's first hyper-personalized campaign
“We're in the middle of doing, ah, P&G's first hyper-personalized campaign ever. They typically make one commercial. We've got 300,000 versions. So we call out 224 cities, towns, and villages.”
Eric Frankel Sep 18, 2020 ▶ 2:45
Assertion Not checkable as stated
A typical AdGreetz enterprise client pays $396,000 annually
“Well, a typical is approximately 33,000 dollars a month, which gets up to 396,000 a year.”
Eric Frankel Sep 18, 2020 ▶ 3:55
Assertion Not checkable as stated
Frankel: 2% of brands use personalized video, while 84% call it the future
“This is still a business that about two percent of brands are playing in. Although 84% say it's the future.”
Eric Frankel Sep 18, 2020 ▶ 4:08
Assertion Not checkable as stated
Frankel: AdGreetz is actively working with 12 customers
“We're working with 12.”
Eric Frankel Sep 18, 2020 ▶ 5:35
Assertion Not checkable as stated
Frankel: AdGreetz boosted Tanishq CTR 4.6x and watch duration 12.6x
“We increased their click-through rate 4.6 times, which is big. We increase people watching 12.6 times longer. And that was a year ago. They caught their breath. They've come back and given us a 12 month order.”
Eric Frankel Sep 18, 2020 ▶ 6:55
Assertion Not publicly verifiable
AdGreetz recruited the CTO who built competitor Spirable's entire tech stack
“A company called Spirable, and I needed another, you know, very muscular executive in addition to our CTO. He had built their entire stack. He had built them from the ground up.”
Eric Frankel Sep 18, 2020 ▶ 8:06
Disclosure
Frankel: AdGreetz has raised about $12M in total funding
“We're up to about 12”
Eric Frankel Sep 18, 2020 ▶ 9:57
Prediction Not checkable as stated
Frankel predicts AdGreetz will reach profitability by November 2020
“No, we will be profitable in about 60 days”
Eric Frankel Sep 18, 2020 ▶ 11:05
Assertion Not checkable as stated
Frankel claims AdGreetz's enterprise cold call conversion rate reached 62%
“We've gone from kid get away from me. You bother me into a probably 62% of the cold calls that we make turning into people saying, yes, I'd like to know more versus five percent.”
Eric Frankel Sep 18, 2020 ▶ 11:48
Disclosure
AdGreetz generated $5 million in software revenue over the preceding 12 months
“How much of the ten million is media spend is about half. So it's about five, five million in cash and a percentage of the other five.”
Eric Frankel Sep 18, 2020 ▶ 12:34
Disclosure
Frankel: AdGreetz takes a 2% to 5% cut on media buying spend
“Media buying is in the two, three, four, five percent of the other number depending on what the brand is.”
Eric Frankel Sep 18, 2020 ▶ 12:53
Insight
Former Warner Bros president says flattering bosses helps maintain corporate roles
“Probably maybe to kiss a little bit more butt. Because then you don't especially when I did 30 years of corporate life as president of Warner Brothers because it's easy to bend people out of shape, and it might be better to kiss some butt and continue to be an…”
Eric Frankel Sep 18, 2020 ▶ 15:25
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