Insight certainty 4/5 debate potential 2/5

Lamson: Pushing unwanted features fails; accepting downgrades retains customers long-term

Pete Lamson · 1163 How Jazz HR Used $6m in New Funds to Add $1m ARR in 3 Months · Sep 30, 2018 · at 5:50

Pete Lamson, CEO of Jazz HR, explains why SaaS companies should prioritize customer fit over aggressive upselling.

0:00 / 0:25exact quote · 25.6s
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“We have to start with what's best for our customers and to jam them into things that they don't need. That is a losing strategy. And so number one is we want our customers to be on the right solution for their business. So what of our products do they need to accomplish their goals? And in some cases that means a downgrade, right? That means they're going to move to a lower price product and that's okay because that's how they're going to stick with us for the long haul.”

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More from Pete Lamson

Assertion Not checkable as stated
JazzHR Customers Stay for Roughly 10 Years on Average
“To bring in a customer who's going to stay with us for 10 years-ish on average, it's more, with that, through that lens, it's more than worth the investment.”
Pete Lamson Jul 13, 2021 ▶ 13:06 PE Just Ate JazzHR, Here are their metrics 1 year ago
Assertion Not checkable as stated
Pete Lamson: JazzHR saw record customer job postings in July 2020
“In fact, we have had the most jobs posted, most new jobs posted with by Jazz HR's customers in the history of our company with just the past month in July.”
Pete Lamson Sep 4, 2020 ▶ 2:57 JazzHR Has Record 40k Applicant Month During Pandemic, $15m Revenue
Insight
Buying Out Channel Rev Shares Caps Sales and Loses Partners
“Yes, mathematically that will work, and it'll look good in a spreadsheet, and yes, you will improve your gross margin short term. It's also a great way to limit sales. I mean, you know, because after a period of time, that partner can just switch to a competit…”
Pete Lamson Jul 13, 2021 ▶ 9:39 PE Just Ate JazzHR, Here are their metrics 1 year ago
Insight
Pete Lamson: Buying out partner revenue shares limits long-term sales growth
“Yes, mathematically, that will work, and it'll look good in a spreadsheet, and yes, you will improve your gross margin short term. It's also a great way to limit sales. I mean, you know, because after a period of time, that partner can just switch to a competi…”
Pete Lamson Sep 4, 2020 ▶ 10:22 JazzHR Has Record 40k Applicant Month During Pandemic, $15m Revenue
Prediction Didn’t hold up
Lamson predicts JazzHR will hit 25,000 paid customers by 2020
“We have a lofty goal of getting to 25,000 paid customers by the end of twenty-twenty. We're at 3000 now.”
Pete Lamson Dec 13, 2017 ▶ 15:15 The "GiftCard Trick" to $6m in ARR
Assertion Not checkable as stated
JazzHR Set an All-Time Record for Job Postings in July 2020
“In fact, we have had the most jobs posted, most new jobs posted with by Jazz HR's customers in the history of our company with just the past month in July.”
Pete Lamson Jul 13, 2021 ▶ 2:12 PE Just Ate JazzHR, Here are their metrics 1 year ago
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