tl;dr
Two of our biggest customers churned in one month. Both grew to very large teams with us - from 50 to 200 employees in one year. The pattern of churn is the same for both too - they hired a VP, HR who wasn't impressed by us. We clearly are not a good fit for 100+ employees.
Churn stories - 2 logos
- HR head at Series B tech startup --> Wanted advanced features around pulse surveys
- VP HR at Series B startup in Indonesia --> Kaapi stopped working well. Employees stopped replying and they wanted Donut like features which is not in our roadmap right now.
KPIs
- MRR --> $1010 (- $223)
- Active teams --> 61 (-2)
- Active users --> 1688 (-20)
- Free 30 day trial to paid conversion % --> 8.1% (has come down with increased pricing)
- Annual churn rate --> 24.1%
- NPS --> n/a
- Runway before we need to hit ramen profitability --> all done! We can now pay salaries for one of the founders (other is not full time yet)
What's not working well
- Getting loads of SEO traffic now, but that's not resulting in signups.
- Not able to build any other dependable distribution channel. Have started sales, let's see how that goes!
What went well
- Launched meeting routines! Powerful way to get status updates from your team, and stay in sync. We only had daily standup until now.
Plans for August
- Market meeting routines
- Start the outbound sales engine. Do an experiment with 1000+ cold reachouts. But have to be careful here. Can't get sucked in too much and ignore content marketing. Sales isn't really sustainable for a $34 per month average product
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