727: Why People Pay Him $10m+/year or $4 on Every $10 in Ads Managed

Andrew Fischer. He’s a seasoned entrepreneur with extensive business development and sales experience in digital media and enterprise software or SaaS. He’s recently launched Choozle, a simple and digital marketing platform in the fall of 2012. Based in Denver, Colorado, Choozle is the world’s fastest growing digital advertising platform.

Famous Five:

Favorite Book? – The Hard Thing About Hard Things What CEO do you follow? – Jeff Green Favorite online tool? — Evernote 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? – “I will probably reinforce the message of focus”

 

Time Stamped Show Notes:

01:04 – Nathan introduces Andrew to the show 01:35 – Choozle is the fastest growing digital advertising platform because of Inc Magazine’s annual ranking 01:45 – It will be Choozle’s first year in Inc 02:02 – Choozle became profitable last year 02:16 – Choozle was launched in 2012 02:25 – Revenue is between $5-10M 02:29 – Team size is around 32 02:36 – Choozle raised a small round 02:54 – Choozle is a SaaS that installs on an agency level 03:07 – The lowest level of subscription is $99 for an agency with one client and up to $2K a month for unlimited accounts 03:21 – Average pay per customer is $300 a month 03:25 – Choozle has 250 clients 03:30 – Choozle offers hybrid-managed services 03:51 – Choozle is also an ad-tech company, so they take a percentage of media 04:03 – Media shares start at 40% 04:17 – Choozle is a premium player in the space 04:53 – 2016 revenue 05:00 – 2017 target revenue 05:34 – Majority of Choozle’s revenue are coming from Q3 and Q4 05:51 – Choozle has raised $8.5M to date 06:02 – Choozle’s grace capital is from non-traditional services like a family office 06:29 – The goal when they had a raise was to build a sustainable company 06:51 – The raise was an equity-based investment 07:02 – Average churn is 5-7% per month 08:03 – Andrew is currently happy with their churn rate 08:32 – LTV to be 08:52 – CAC 09:22 – Average payback period 09:34 – Choozle has 10 full-time salespeople, total team size is around 30 11:25 – The Famous Five

 

3 Key Points:

The digital advertising space is quite saturated and the churn rate of a SaaS businesses is quite high. Aim for your company to not just be profitable, but sustainable as well. Don’t limit who you allow as investors in your company.

 

Resources Mentioned:

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 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