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Sep 5, 2020 · 23m · top-founders

RockContent 2x To $25m in Last 12 Months, Helping 2000 Customers Scale Content

Diego Gomez · 13m spoken Nathan Latka · 6m spoken
0:00 / 0:00

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

Diego Gomez, founder and CEO of Rock Content, explains how the company doubled its revenue to a $25 million run rate through capital-efficient SaaS expansion, enterprise sales execution, and strategic M&A. Gomez details unit economics, product architecture, and Rock Content's hybrid monetization model combining software subscriptions, marketplace talent, and consultative services.

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 33.9% of the talking time here. How this is scored →

Nathan as informed peer 5.3 Guest teaching 2.7 Guest disagreement 1.7 Nathan pushing back 3.5
05100:0010:0020:000:24–2:56 · Nathan as informed peer 2/10 Promotional Interlude: Subscribing to Get Latka and Founder Insights Latka opens with a promotional pitch and introduces Gomez before quickly asking for top-line revenue numbers and growth deceleration due to COVID.2:56–5:50 · Nathan as informed peer 6/10 Multi-Product Platform Architecture and Upmarket Sales Strategy Latka recalls Gomez's 2018 interview data, noting that ACV shifted from $2k to $20k, prompting Diego to explain the upmarket strategy and team restructuring.5:51–8:52 · Nathan as informed peer 7/10 Customer Base Transition and Professional Services Dynamics Latka performs live math comparing customer count to ACV and spots a revenue discrepancy, forcing Gomez to educate him on the heavy mix of transactional marketplace revenue versus pure SaaS.8:52–12:33 · Nathan as informed peer 7/10 Funding Efficiency, Competitive Moats, and HubSpot Alignment Latka demonstrates deep industry awareness by naming competitors, exact funding figures, and quoting an offline check-in with advisor Mark Roberge.12:33–21:02 · Nathan as informed peer 7/10 Retention Improvements, Customer Acquisition Economics, and M&A Strategy Latka rigorously interrogates Gomez's retention claim during COVID, forcing a distinction between gross and net retention, before calculating payback metrics and M&A valuation multiples.21:02–23:12 · Nathan as informed peer 3/10 Famous Five Rapid-Fire Questions and Final Overview Standard rapid-fire questions where Gomez shares his background and routines, followed by Latka reciting a detailed summary of Rock Content's metrics.0:24–2:56 · Guest teaching 1/10 Promotional Interlude: Subscribing to Get Latka and Founder Insights Latka opens with a promotional pitch and introduces Gomez before quickly asking for top-line revenue numbers and growth deceleration due to COVID.2:56–5:50 · Guest teaching 2/10 Multi-Product Platform Architecture and Upmarket Sales Strategy Latka recalls Gomez's 2018 interview data, noting that ACV shifted from $2k to $20k, prompting Diego to explain the upmarket strategy and team restructuring.5:51–8:52 · Guest teaching 5/10 Customer Base Transition and Professional Services Dynamics Latka performs live math comparing customer count to ACV and spots a revenue discrepancy, forcing Gomez to educate him on the heavy mix of transactional marketplace revenue versus pure SaaS.8:52–12:33 · Guest teaching 3/10 Funding Efficiency, Competitive Moats, and HubSpot Alignment Latka demonstrates deep industry awareness by naming competitors, exact funding figures, and quoting an offline check-in with advisor Mark Roberge.12:33–21:02 · Guest teaching 4/10 Retention Improvements, Customer Acquisition Economics, and M&A Strategy Latka rigorously interrogates Gomez's retention claim during COVID, forcing a distinction between gross and net retention, before calculating payback metrics and M&A valuation multiples.21:02–23:12 · Guest teaching 1/10 Famous Five Rapid-Fire Questions and Final Overview Standard rapid-fire questions where Gomez shares his background and routines, followed by Latka reciting a detailed summary of Rock Content's metrics.0:24–2:56 · Guest disagreement 1/10 Promotional Interlude: Subscribing to Get Latka and Founder Insights Latka opens with a promotional pitch and introduces Gomez before quickly asking for top-line revenue numbers and growth deceleration due to COVID.2:56–5:50 · Guest disagreement 1/10 Multi-Product Platform Architecture and Upmarket Sales Strategy Latka recalls Gomez's 2018 interview data, noting that ACV shifted from $2k to $20k, prompting Diego to explain the upmarket strategy and team restructuring.5:51–8:52 · Guest disagreement 2/10 Customer Base Transition and Professional Services Dynamics Latka performs live math comparing customer count to ACV and spots a revenue discrepancy, forcing Gomez to educate him on the heavy mix of transactional marketplace revenue versus pure SaaS.8:52–12:33 · Guest disagreement 2/10 Funding Efficiency, Competitive Moats, and HubSpot Alignment Latka demonstrates deep industry awareness by naming competitors, exact funding figures, and quoting an offline check-in with advisor Mark Roberge.12:33–21:02 · Guest disagreement 3/10 Retention Improvements, Customer Acquisition Economics, and M&A Strategy Latka rigorously interrogates Gomez's retention claim during COVID, forcing a distinction between gross and net retention, before calculating payback metrics and M&A valuation multiples.21:02–23:12 · Guest disagreement 1/10 Famous Five Rapid-Fire Questions and Final Overview Standard rapid-fire questions where Gomez shares his background and routines, followed by Latka reciting a detailed summary of Rock Content's metrics.0:24–2:56 · Nathan pushing back 1/10 Promotional Interlude: Subscribing to Get Latka and Founder Insights Latka opens with a promotional pitch and introduces Gomez before quickly asking for top-line revenue numbers and growth deceleration due to COVID.2:56–5:50 · Nathan pushing back 3/10 Multi-Product Platform Architecture and Upmarket Sales Strategy Latka recalls Gomez's 2018 interview data, noting that ACV shifted from $2k to $20k, prompting Diego to explain the upmarket strategy and team restructuring.5:51–8:52 · Nathan pushing back 6/10 Customer Base Transition and Professional Services Dynamics Latka performs live math comparing customer count to ACV and spots a revenue discrepancy, forcing Gomez to educate him on the heavy mix of transactional marketplace revenue versus pure SaaS.8:52–12:33 · Nathan pushing back 3/10 Funding Efficiency, Competitive Moats, and HubSpot Alignment Latka demonstrates deep industry awareness by naming competitors, exact funding figures, and quoting an offline check-in with advisor Mark Roberge.12:33–21:02 · Nathan pushing back 6/10 Retention Improvements, Customer Acquisition Economics, and M&A Strategy Latka rigorously interrogates Gomez's retention claim during COVID, forcing a distinction between gross and net retention, before calculating payback metrics and M&A valuation multiples.21:02–23:12 · Nathan pushing back 2/10 Famous Five Rapid-Fire Questions and Final Overview Standard rapid-fire questions where Gomez shares his background and routines, followed by Latka reciting a detailed summary of Rock Content's metrics.

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

0:00 · Nathan 68.2% · guest 31.8%0:00 · Nathan 68.2% · guest 31.8%3:00 · Nathan 23.5% · guest 76.5%3:00 · Nathan 23.5% · guest 76.5%6:00 · Nathan 29.1% · guest 70.9%6:00 · Nathan 29.1% · guest 70.9%9:00 · Nathan 32.3% · guest 67.7%9:00 · Nathan 32.3% · guest 67.7%12:00 · Nathan 27.4% · guest 72.6%12:00 · Nathan 27.4% · guest 72.6%15:00 · Nathan 23.7% · guest 76.3%15:00 · Nathan 23.7% · guest 76.3%18:00 · Nathan 21.8% · guest 78.2%18:00 · Nathan 21.8% · guest 78.2%21:00 · Nathan 51.2% · guest 48.8%21:00 · Nathan 51.2% · guest 48.8%
Sharpest disagreement ▶ 13:39 Clarifying gross versus net revenue retention

Gomez firmly rejects Latka's incredulous premise that no customers churned, clarifying that 100% retention refers strictly to net revenue retention supported by product cross-selling.

 Hardest push from Nathan ▶ 13:28 Incredulous challenge on 100% retention during crisis

Latka aggressively pushes back on Gomez's claim of reaching 100% retention during a macroeconomic crisis, demanding to know how zero downgrades were possible.

 Biggest teaching moment ▶ 7:09 Explaining the marketplace vs SaaS customer mix

Gomez corrects Latka's calculation that 2,000 customers multiplied by a $20k ACV should equal $40 million ARR by explaining that many users only purchase transactional marketplace services.

 Nathan holds their own ▶ 18:39 Deducing equity consideration in ScribbleLive acquisition

Latka quickly works out that an $8M revenue business would not sell for just the $10M cash raised, forcing Gomez to confirm significant stock options and dilution were used.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Promotional Interlude: Subscribing to Get Latka and Founder Insights 2111 Latka opens with a promotional pitch and introduces Gomez before quickly asking for top-line revenue numbers and growth deceleration due to COVID.
Multi-Product Platform Architecture and Upmarket Sales Strategy 6213 Latka recalls Gomez's 2018 interview data, noting that ACV shifted from $2k to $20k, prompting Diego to explain the upmarket strategy and team restructuring.
Customer Base Transition and Professional Services Dynamics 7526 Latka performs live math comparing customer count to ACV and spots a revenue discrepancy, forcing Gomez to educate him on the heavy mix of transactional marketplace revenue versus pure SaaS.
Funding Efficiency, Competitive Moats, and HubSpot Alignment 7323 Latka demonstrates deep industry awareness by naming competitors, exact funding figures, and quoting an offline check-in with advisor Mark Roberge.
Retention Improvements, Customer Acquisition Economics, and M&A Strategy 7436 Latka rigorously interrogates Gomez's retention claim during COVID, forcing a distinction between gross and net retention, before calculating payback metrics and M&A valuation multiples.
Famous Five Rapid-Fire Questions and Final Overview 3112 Standard rapid-fire questions where Gomez shares his background and routines, followed by Latka reciting a detailed summary of Rock Content's metrics.

Statements from this episode (15)

Assertion Not checkable as stated
Gomez: Rock Content closed 2019 at around $13M in revenue
“Last year we closed at around thirteen million.”
Diego Gomez Sep 5, 2020 ▶ 2:27
Prediction Not checkable as stated
Gomez: Rock Content expects to reach $25M to $26M in 2020 revenue
“This year we're expecting to close between 25, 26.”
Diego Gomez Sep 5, 2020 ▶ 2:30
Assertion Not checkable as stated
Gomez: Rock Content marketplace Visually has 80,000 freelance creators
“We have a talent marketplace where we have 80,000 freelance creators. It's called visual, visually, visual.ly.”
Diego Gomez Sep 5, 2020 ▶ 3:17
Assertion Not checkable as stated
Gomez: Rock Content average ACV is around $20,000
“Our average says ACV is around 20,000 dollars a year. There are a few hundreds of thousands, but the average is around 20,000.”
Diego Gomez Sep 5, 2020 ▶ 4:23
Assertion Not checkable as stated
Gomez: Rock Content employs 400 people across 10 countries
“We're around 400 people spreading four countries. Actually 10 countries.”
Diego Gomez Sep 5, 2020 ▶ 5:21
Assertion Not checkable as stated
Gomez: Rock Content's SMB revenue share fell from 60% to 10%
“If we look at January, 2018, we were around 60% of our revenues were coming from small business. If you look at January this year around 20%. And COVID actually increased our churn in the smaller business segment. Which we were able to replace it for enterpris…”
Diego Gomez Sep 5, 2020 ▶ 6:21
Assertion Not checkable as stated
Gomez: Rock Content has over 2,000 paying customers
“A little north of 2000.”
Diego Gomez Sep 5, 2020 ▶ 6:53
Assertion Not checkable as stated
Gomez: Rock Content's $25M revenue is 50% SaaS, 40% marketplace, 10% services
“So we have around 50% SaaS out of twenty five million, we have around 12 to thirteen million in SaaS. We have around 40% of that, which would be around 10 in marketplace and a little 10% approximately in professional services.”
Diego Gomez Sep 5, 2020 ▶ 7:55
Disclosure
Gomez: Rock Content has raised around $11M to $12M to date
“Around 11, twelve million dollars.”
Diego Gomez Sep 5, 2020 ▶ 9:49
Opinion
Gomez: Competitors like Contently and Skyword hyperscaled too early without efficiency
“I see these companies, the hyperscale too early, my personal take, and that comes with a cost. They didn't have the efficiency.”
Diego Gomez Sep 5, 2020 ▶ 10:28
Disclosure
Gomez: Rock Content will avoid competitor acquisitions for two years
“We're not pursuing a direct competitor move in the next, let's say, 18 to 24 months.”
Diego Gomez Sep 5, 2020 ▶ 10:50
Assertion Not checkable as stated
Rock Content reports 94% annualized gross revenue retention
“So last quarter we closed at annualized 94%. So that's around half a percentage point monthly.”
Diego Gomez Sep 5, 2020 ▶ 12:45
Assertion Not checkable as stated
Gomez: Rock Content CAC averages $12k-$14k with 70% upfront deals
“Around 70% of our contracts are up front. The CAC is typically between 12 to 14 K US. This is blended global average.”
Diego Gomez Sep 5, 2020 ▶ 16:12
Insight
Gomez: Most SaaS founders underutilize M&A as a growth strategy
“I think acquisitions are a tool that most entrepreneurs in SaaS companies do not leverage often. I believe there's if you find the right strategic partner, you should pursue that.”
Diego Gomez Sep 5, 2020 ▶ 17:08
Disclosure
Rock Content raised $10M in cash and stock to acquire ScribbleLive
“That's why we raised, ah, we raised, ah, ten million dollars to pursue this acquisition. The consideration was a mix of cash and stock.”
Diego Gomez Sep 5, 2020 ▶ 18:23
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