Assertion certainty 4/5 debate potential 1/5

Wave's paying customers average $70 to $100 per month

Kirk Simpson · 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR · Mar 9, 2019 · at 4:06

Kirk Simpson, co-founder and CEO of Wave, describes the company's average revenue per paying micro-business customer to host Nathan Latka.

0:00 / 0:08exact quote · 8.0s
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“So up in the 70 to a hundred dollar range on our paying customers for all of their transaction processing, et cetera.”

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Insight
Marketing teams neglect organic acquisition once paid channels are introduced
“Once you allow your marketing team to start using paid marketing as a channel, you will watch them spend all of their time optimizing that paid channel. And almost no time optimizing on organic.”
Kirk Simpson Mar 9, 2019 ▶ 15:12 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR
Disclosure
Kirk Simpson: Wave shifted from Stripe to in-house infrastructure as it scaled
“Our payments business, for instance, was built on top of Stripe. We get to a point of scale and quite frankly, our users want us to deeply integrate it. And so most of this stuff over time, we've been building ourselves.”
Kirk Simpson Mar 9, 2019 ▶ 3:10 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR
Insight
Fintech LTV must use gross margin, not gross payment volume
“Essentially in our business, because we're paying out to Visa and MasterCard and Amex on our payments revenue, It's important to not look at the gross revenue, but instead to the net, right? And to like take lifetime times by your net revenue to get a true vie…”
Kirk Simpson Mar 9, 2019 ▶ 12:36 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR
Insight
10% to 15% of SMB churn is uncontrollable business failure
“In small business, you're going to have, to your point before, you're going to have 10 to 15% that are going to naturally go out of business.”
Kirk Simpson Mar 9, 2019 ▶ 7:35 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR
Disclosure
Wave maintains monthly gross logo churn below 2%
“Yeah, we're seeing that we're below two percent.”
Kirk Simpson Mar 9, 2019 ▶ 8:10 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR
Assertion Not checkable as stated
Wave has nearly 200 employees and zero sales reps
“We're closing in on 200 people in the company. We don't have a single sales rep that works here. Not an inside sales rep, not an outside sales rep.”
Kirk Simpson Mar 9, 2019 ▶ 8:47 1323 How FinTech Company Wave Is Deploying $100m in Capital, $25m+ in ARR
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