850: SaaS: How Promorepublic Went From $6k to $20k MRR

Max Percherskyi. He’s a passionate SaaS entrepreneur whose mission is to connect professional SaaS companies and startup hubs to help them form long-term relationships and good, win-win partnerships. Currently, he’s connecting angel institutional investors, cofounders, exceptional talent and partner companies across three different countries to make the PromoRepublic ventures succeed at a global scale. Prior to cofounding PromoRepublic, he worked in marketing agencies for ten years and was responsible for business development, digital marketing and sales.

Famous Five:

• Favorite Book? – Top 101 Growth Hacks
• What CEO do you follow? – Jason Lemkin
• Favorite online tool? — WorkFlowly
• How many hours of sleep do you get?— 7
• If you could let your 20-year old self, know one thing, what would it be? – Max would tell himself that not all people will love him

Time Stamped Show Notes:

• 01:37 – Nathan introduces Max to the show
• 02:22 – PromoRepublic is a social media content automation tool that helps SMBs create their social media presence
• 02:38 – PromoRepublic is a SaaS business
• 02:45 – Pricing starts at $15 a month for an annual package
• 02:55 – ACV is $20 a month
• 03:00 – Max was in Episode 403
• 03:27 – PromoRepublic will soon have a $100 plan
• 03:53 – CAC is now $150-170
• 04:18 – Paid channels spend varies every month
• 04:33 – Affiliate network is the one that is working now
• 05:28 – PromoRepublic has raised $1.85M in total
• 06:12 – Team size is 22
• 06:26 – PromoRepublic has 3 offices
• 07:30 – PromoRepublic hired a sales guy to sell their high value plans
  • 08:29 – There’s commission for every plan sold
• 10:00 – PromoRepublic has around 5,500 customers, 3000 are from AppSumo
• 10:32 – Most of the customers from AppSumo just bought the product; some are active, some aren’t
• 12:33 – Last month’s MRR was $20K
• 12;54 – Logo churn is around 5.8%
• 14:07 – 2016 revenue was €110K
• 14:33 – 2017 total revenue will be around $300K
• 15:08 – PromoRepublic is going to receive a grant and will take an additional loan
• 17:25 – The Famous Five

3 Key Points:

1. Your team size must align with your profitability.
2. Paid advertising takes time—test to see which ads will work the best.
3. Use your capital wisely.

Resources Mentioned:

• Simplero – The easiest way to launch your own membership course like the big influencers do but at 1/10th the cost.
• The Top Inbox – The site Nathan uses to schedule emails to be sent later, set reminders in inbox, track opens, and follow-up with email sequences
• GetLatka - Database of all B2B SaaS companies who have been on my show including their revenue, CAC, churn, ARPU and more
• Klipfolio – Track your business performance across all departments for FREE
• Hotjar – Nathan uses Hotjar to track what you’re doing on this site. He gets a video of each user visit like where they clicked and scrolled to make the site a better experience
• Acuity Scheduling – Nathan uses Acuity to schedule his podcast interviews and appointments
• Host Gator– The site Nathan uses to buy his domain names and hosting for the cheapest price possible
• Audible– Nathan uses Audible when he’s driving from Austin to San Antonio (1.5-hour drive) to listen to audio books
• Show Notes provided by Mallard Creatives