The Yottled Journal – December
The Yottled Journal – December
If you’ve landed on this page and you’re a coach, we can’t thank you enough for helping us achieve this. It’s because of you that we will be successful. If we can help you in anyway, if this is confusing, you have questions, or want us to learn something from you, Trevor’s email is firstname.lastname@example.org and Will’s email is (you guessed it) email@example.com.
What is this?
Will and I thought we would take the time to share what we’re doing from the business perspective. What we’re learning each week, trying to do with our customers, and how we’re trying to make Yottled successful.
Who is likely to read this?
We would expect anyone in the tech industry to benefit from this blog. It’s an update of what we’re trying.
Some context before reading further
Will and I are two people that want others to succeed. Our goal is to enable others to make money…and we want to make money too. We’re investing our own money and time to make this as delightful as possible. We have a small about of pre-seed money and we’re laser focused on retention, delighting our users, and making sure we’re simple and easy to use.
What has been done so far?
Check out our previous posts:
We’ve redone the layout to give a better state and understanding of our business.
What we did in December
Launch a New Add-On
We met with 20 customers and learned that billing on a recurring, monthly basis was hard for the average consumer. Stripe makes it easy for tech…not so easy for the person with no tech experience. Even more so, they wanted to provide custom options and packages. Such as x classes per week or y private sessions per month. All other membership options use “unlimited”.
We launched the add-on:
- For free forever in November for a select few customers
- 50% off forever a broader set in early December
- Publicly with no marketing on December 16th
- Publicly with marketing on December 23rd
The tiered roll out allowed us to test pricing, validate use cases, and find bugs. Right now, we’ve settled in at:
- 5 members for $25 per month
- 25 members for $75 per month
- 50 members for $100 per month
We estimated 3% of our customer base upgrade each month to the Memberships add-on. We’re seeing in the first weeks a much higher adoption rate. We’re not getting too excited yet as this could largely be from seasonality in December.
Metrics and Baselines
We’re now in our 4th month since we started charging customers and we have reasonable baselines for our first edition we launched. What we’re seeing:
- Cost per lead has been dropping. Our new Memberships add on is a massive draw and has much better Go to Market. We have been testing a new ad set along with a new landing page. Not only is the lead cost dropping, but the messaging is preforming better (measured by landing page view cost).
- Customer Acquisition Cost is dropping. We were challenged by a VC to get to a $0 CAC. We love unreasonable goals. It forces you to make huge changes. We are not quite at a $0 CAC…but we’re going to try and get there. We’re going to pretend like we can’t spend on Google, Facebook, Twitter, and more. Everything just shut down…can we still survive.
- Usage and retention is going up. This could be a function of seasonality but we’re seeing Yottled “link in bio” all over and our site hyperlinked for booking in websites now. We’re not getting too excited yet…but it’s starting to look promising. We’re also starting to see more organic growth, more clients…everything is up and to the right.
Let’s talk about our pricing model for a sec. We have made a decision to price our product with a per month cost. No percentage of income. Our customers love it…but it does make it harder for us to recover payments due to unintentional churn. Right now…that’s okay. If we have not done our job, we don’t deserve the payment. Our customers should be overwhelmed with delight that they want to pay us.
What are we going to do in January?
- Improving scale and usability. We’re seeing such a massive increase in our user base, we have to spend some time improving our scale. It’s is an incredible problem to have. Anyone can create a backlog. It’s hard when all the options are good and all of your users want everything. We also are going to be hiring an engineer to help us move faster and improve our experience. It’s not just about being easy to use…it’s about making sure everything works.
- Focus on delight and ease of use. We have internal metrics that we want to seriously drive and increase retention. Our most engaged users have unbelievable things to say about us. We keep indexing on them. There are a list of features we’re iterating through that will continue to make us simple and easy to use.
- Reduce CAC. We’ve hired a Customer Success Manager that is an existing coach and user of Yottled. They know this space, they are not technical, and they know people. We can’t wait for them to help us connect with our coaches to improve our messaging and overall product. It will also allow us to focus on broader types of TAM’s/use cases.
As always, if you have advice for us, send us a note to firstname.lastname@example.org and we’d love to hear from you.
Trevor and Will