Joel Holland, CEO of VideoBlocks, discusses subscriber download patterns and bandwidth unit economics with Nathan Latka.
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“So it is 20% of our customers who drive 80% of the downloads, and we're okay with that, because those tend to be the most engaged, and because of how inexpensive, ah, hosting and distribution is today, thanks to Amazon primarily, ah, it's very difficult. Like, you have to download, like, thousands and thousands of clips before you're In the red for us.”
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More from Joel Holland
Disclosure
VideoBlocks pays marketplace contributors 100% of clip sales
“And in fact, we pay you the best in the industry, we pay you a hundred percent of what sells because we make all of our money off of memberships.”
Joel HollandOct 10, 2016▶ 6:48EP 443: SaaS $20M 2015 ARR, 150K Customers Giving People Quality Video, Photos, Audio with Joel Holland, CEO of VideoBlocks
Insight
Holland: Diminishing marketing returns should kick in almost immediately
“And the answer is, if you're really good, then diminishing returns should kick in almost immediately.
You should be able to almost arbitrage channel you know, instantly.”
Joel HollandOct 10, 2016▶ 17:03EP 443: SaaS $20M 2015 ARR, 150K Customers Giving People Quality Video, Photos, Audio with Joel Holland, CEO of VideoBlocks
Insight
Joel Holland advises founders to demand covenant-free venture debt terms
“So I would definitely tell anybody listening, if you're going to do debt, make sure it's covenant free, not covenant light, like covenant free.”
Joel HollandOct 10, 2016▶ 19:17EP 443: SaaS $20M 2015 ARR, 150K Customers Giving People Quality Video, Photos, Audio with Joel Holland, CEO of VideoBlocks
Disclosure
VideoBlocks encourages its content creators to sell footage to competitors
“A hundred percent. And we actually encourage that because we want the shooters to make as much money as possible.”
Joel HollandOct 10, 2016▶ 10:59EP 443: SaaS $20M 2015 ARR, 150K Customers Giving People Quality Video, Photos, Audio with Joel Holland, CEO of VideoBlocks
Disclosure
VideoBlocks customer retention reaches 80% year one and 90% year two
“And now our retention rates are much better. They started like 80% for year one by year two, our customers are at 90%. And by year three, they're almost at a hundred percent.”
Joel HollandOct 10, 2016▶ 13:45EP 443: SaaS $20M 2015 ARR, 150K Customers Giving People Quality Video, Photos, Audio with Joel Holland, CEO of VideoBlocks
AssertionNot checkable as stated
Holland: VideoBlocks Has 150,000 Paying Members
“We've got 150,000 paying members.”
Joel HollandOct 10, 2016▶ 5:17EP 443: SaaS $20M 2015 ARR, 150K Customers Giving People Quality Video, Photos, Audio with Joel Holland, CEO of VideoBlocks
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