Saha: Perkville's CAC payback period is around 8 to 9 months
Sunil Saha · 1173 Loyalty Perk SaaS Hits 2300 Locations, $2.3m in ARR · Oct 10, 2018 · at 13:32
Sunil Saha, CEO of Perkville, discusses the company's CAC payback dynamics taking into account revenue share with integration partners.
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“I would say it's probably because there is some revenue share in there, so that impacts the LTV a bit, so you're probably getting closer to eight, nine months in that range.”
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More from Sunil Saha
Saha: SMB loyalty programs only succeed via direct POS integration
“We quickly learned that the only way for this to really work is to integrate it to the point of sale system that the business used. And that way it was completely automated, both for the business and for the consumer.”
Saha: Perkville avoids hardware to stay cross-vertical via integrations
“Rather than get into the hardware game, which we think would tie us down into a specific vertical, we think it's smarter to partner and integrate with existing players in those spaces.”
Saha: Offering discounts and free months leads to higher customer churn
“What we try and do in the beginning, in the early days, we used to do a lot of sort of discounts and you know, first month free, et cetera. And we're really, we realized that leads to higher churn at the end of the day.”
Saha: Perkville currently operates at about 10% in the red
“We are, you know, maybe 10% in the red right now.”