Philip Soffer, CEO of crowd-testing platform Test.io, responds to Nathan Latka's calculation of the company's ARR run rate based on customer count and average contract value.
Insight
Soffer: Customer success and onboarding costs do not belong in CAC
“Where we've gotten better, we've gotten a lot better at sort of the onboarding process, the customer success process. I don't, Put those folks as part of CAC. I put them as, because they do they're not just about acquisition of the revenue. They're really abou…”
Assertion Not checkable as stated
Soffer: Test.io grew 60% to 65% annually while achieving profitability
“I generally, you know, we grow 60, 65, somewhere in there year over year, which is, you know, which is, I think been fairly consistent over the last two or three years that that's been the level of growth. But what's interesting is that we did that while achie…”
Disclosure
Test.io Base Subscription Price Is $3,000 Per Month for Unlimited Testing
“The base price is 3000 dollars a month for a subscription for a product that we test, and when you pay for that subscription, you can test as many times as you want”
Assertion Not checkable as stated
Test.io Averages $4,500 in Monthly Revenue Per New Customer
“I'd say the average is probably for new customers that we sign now. It's probably in the four and a half range.”
Assertion Not checkable as stated
Test.io Approaches 100% Net Revenue Retention in Latest Cohorts
“But anyway, we're in our latest cohorts, we're close to a hundred percent net revenue retention.”
Assertion Not checkable as stated
Soffer: Test.io operates with 20 sales staff and one marketer
“Well, sales is sales, I would say, is about half of those people. Marketing is, is one full-time person. And then we have a customer success team as well, which is you know, not sales and not marketing you know, more on the onboarding side, I guess you'd say, …”