{"id":399,"date":"2020-06-17T15:26:07","date_gmt":"2020-06-17T15:26:07","guid":{"rendered":"https:\/\/growjo.com\/blog\/?p=399"},"modified":"2020-06-17T16:01:30","modified_gmt":"2020-06-17T16:01:30","slug":"how-convertkit-grew-to-1-7m-mrr-with-a-tiny-investment","status":"publish","type":"post","link":"https:\/\/growjo.com\/blog\/2020\/06\/17\/how-convertkit-grew-to-1-7m-mrr-with-a-tiny-investment\/","title":{"rendered":"How ConvertKit Grew to $1.7M MRR with a Tiny Investment"},"content":{"rendered":"\n<p> I just spent a week studying how ConvertKit grew to $1.7m MRR with just $55k investment from founder <a href=\"https:\/\/www.facebook.com\/nathanbarry?fref=gs&amp;__tn__=%2CdK-R-R&amp;eid=ARBD9zg2GP3w5y5Ea-80K6eQE0IaSB-N-VraKeLnejkWLAAlbS76GMSuq0foCtJE-eaNn3gP2i_CIQjl&amp;dti=965673390154514&amp;hc_location=group\">Nathan Barry<\/a>\ud83d\udcc8 <\/p>\n\n\n\n<p>And really wanted to share my findings  &#8230;Here&#8217;s what I found:<br><\/p>\n\n\n\n<p><strong>1. Cut All Other Options<\/strong><\/p>\n\n\n\n<p>ConvertKit&#8217;s revenue actually declined through 2014 as Nathan was still focussing on other revenue streams (books and courses).Hiten Shah then told him at a conference in September 2014 that he should either shut it down or go full time. <\/p>\n\n\n\n<p>And the rest is history&#8230;<\/p>\n\n\n\n<p><strong>2. Developing The Necessary Skills<\/strong><\/p>\n\n\n\n<p>Before launching ConvertKit Nathan had:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Tried to launch multiple online businesses<\/li><li>Spent 6 years as an employee\/freelancer in front end web development<\/li><li>Written and sold two books<\/li><\/ul>\n\n\n\n<p>Without these skills, it&#8217;s unlikely Nathan would have been able to build ConvertKit.<\/p>\n\n\n\n<p><strong>3. Embrace Your Inner Sales Person<\/strong><\/p>\n\n\n\n<p>So what online marketing strategy did Nathan select to find ConvertKit\u2019s first customers?<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Building an email list?<\/li><li>Content marketing?<\/li><li>Podcasting?<\/li><li>Facebook Ads?<\/li><li>Google Ads?<\/li><li>Native Ads?<\/li><\/ul>\n\n\n\n<p>None of those.<\/p>\n\n\n\n<p>He went door to door. He found people with email lists and pitched them to switch to ConvertKit.<\/p>\n\n\n\n<p>One by one.<\/p>\n\n\n\n<p><strong>4. Narrow Your Niche<\/strong><\/p>\n\n\n\n<p>Here&#8217;s a history of ConvertKit&#8217;s positioning:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Email marketing for\u2026 everyone \u2013 MASSIVE niche<\/li><li>Email marketing for authors \u2013 Small, target niche<\/li><li>Email marketing for professional bloggers \u2013 Small, better suited niche<\/li><li>Email marketing for creators \u2013 Larger niche<\/li><\/ul>\n\n\n\n<p>If they had stayed at &#8220;email marketing for&#8230; everyone&#8221; I would not be here writing this post.<\/p>\n\n\n\n<p><strong>5. Scaling Partner Webinars<\/strong><\/p>\n\n\n\n<p>At one point,  ConvertKit had 13,000 customers and 4,000 affiliates. As part of the onboarding process, all new customers were given the opportunity to become affiliates.<\/p>\n\n\n\n<p>And each affiliate was given the chance to run a co-hosted webinar.<\/p>\n\n\n\n<p><strong>6. Smooth Onboarding<\/strong><\/p>\n\n\n\n<p>ConvertKit warm you up by collecting simple info through a clickable questionnaire during onboarding which is facilitated by significant social proof.<\/p>\n\n\n\n<p><strong>7. Conference For Connection<\/strong><\/p>\n\n\n\n<p>Why do ConvertKit host the Craft &amp; Commerce Conference each year at significant expense?<\/p>\n\n\n\n<p>BRAND<\/p>\n\n\n\n<p><strong>8. Actually Living Brand Values<\/strong><\/p>\n\n\n\n<p>When I scroll to the \u201cvalues\u201d section on the About Us pages on 99% of SaaS businesses: I cringe.They are most likely:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Incongruent<\/li><li>Uninspiring<\/li><li>Watered down<\/li><li>Ignored internally<\/li><\/ul>\n\n\n\n<p>ConvertKit&#8217;s on the other hand&#8230; are actually LIVED.<\/p>\n\n\n\n<p><strong>9. The Growth Potential Of Freemium<\/strong><\/p>\n\n\n\n<p>In an unprecedented move on their seventh birthday, ConvertKit introduce a Freemium plan.<\/p>\n\n\n\n<p>Why? <\/p>\n\n\n\n<p>To cut Mailchimp out of the market for one&#8230; but also to get more creators using their branded forms and web pages, further spreading the brand. They also have incorporated a &#8220;Dropbox-esque&#8221; usage based referral system to unlock new features based on inviting new users.<\/p>\n\n\n\n<p><strong>10. The Immaculate Conception.<\/strong><\/p>\n\n\n\n<p>Nathan did three things prior to starting ConvertKit that set him up for success:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>First, he got good a launching things<\/li><li>He then developed some of the skills needed to build a web application<\/li><li>Then he built an audience and a network<\/li><\/ul>\n\n\n\n<p>So if you are considering starting a SaaS maybe work on those first \ud83d\ude09<\/p>\n\n\n\n<p><br>I hope these points help anyone here bootstrapping their SaaS!  <\/p>\n\n\n\n<p>Here is a link to the full article via Tom Hunt &#8211; SaaS Marketer &#8211;  <a href=\"https:\/\/saasmarketer.io\/saas-business-growth\/\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\"https:\/\/saasmarketer.io\/saas-business-growth\/  (opens in a new tab)\">https:\/\/saasmarketer.io\/saas-business-growth\/ <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>I just spent a week studying how ConvertKit grew to $1.7m MRR with 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