I’m here to share our last Recart monthly update.
What happened in August?
- We decreased the trial from 90 days to 7 + 21
- We rolled out an integration with Wheelio
- We launched the Messenger Order Receipt Campaign
- We reached the break-even on 21 August.
- 1732 new merchants signed up
- We grew with 235 paying subscribers (45% growth)
- Our paid subscriber churn improved to 7.3%
- Our MRR increased by $7,163
- Our MRP reached $1,276
- We received 208 positive Shopify reviews
- 910 merchants enabled the Abandoned Cart Messenger Campaign
- 364 merchant enabled the Messenger Order Receipt – we gotta work on this!
- 5,000 more unique users visited our Shopify App Store page than a month before
- ARPU decreased to $37 – the new billing will solve this
How did we reach the break-even?
Since we were running out of money, our closest milestone was reaching the break-even. This was the most-important thing for Recart. Break the even and survive. Surprisingly, we missed the planned break-even date by only 2 weeks! It could have been a lot worse since the plan was almost over-optimistic.
So how did we reach it?
I think it’s important to stop here for a second and see how we reached our goals. We should learn how we did it so we can do it again and again. I’ll try to summarize the factors that led to our success.
We created one goal, and one goal only. We tried to reach multiple goals or a single, but a weak destination in the past.
We put a huge, urgent and single goal in front of our face, it helped us maintain our focus.
Dropping the support
Aka. dropping the distractions. Remember when we had our team call and decided to drop one-on-one tech support? It looks like it was one of the best ideas we had. And I believe we did a great job. We noticed that this is a distraction. We analyzed if it can be dropped or changed in favor of moving forward. Then we made radical steps in favor of our goal.
This teaches me that we are able to identify our issues and make even big changes in order to reach our goals faster. We did this as a team, congrats!
Put the merchant first
We only built visible code for our merchants. Our feature framework helped us creating a user-first environment where we focused on value giving to our clients. I feel this as a well-done again, it definitely helped us collecting 600+ paying subscribers.
Remember the mantra? Before we did anything, we asked, “Are you sure that this is the fastest way to the break-even?“.
This is an effective technique for reaching our ultimate goal. It created a laser-focused team and improved productivity.
Do you have anything to add? Don’t hesitate to tell me, because we must recall all the things we did right and all the thing we did wrong as well.
What did we screw up in August?
Frankly: Nothing. I believe we all did very well.
Our focus decreased, that’s true. But man, it’s August. I can’t complain about our productivity when we enjoy the summer. It’s important to rest because we must get our shit together for the end of the year.
We must restore our focus, name our next target and reach it.
Not sure about our next milestone?
It’s helping 10,000 merchants grow their store in 2017.
Initially, I aimed 10,000 active users, but we delete our free users, only paid users will stay, so I pivoted it to 10,000 users. No matter if the user is here or already left. Let’s just help 10,000 businesses this year.
Is there a better goal we can define? Please shoot me a message if you have an idea. We need to keep the focus on something defined, what keeps us on track. I considered MRR goals, but that’s just purely money.
Where are we now?
We still support our solid vision: to make more money for ecommerce stores. Last month, I talked about choosing the best of the 3 existing marketing channels we support and push it as hard as we can. Now it looks like, the winner is the Messenger.
It’s already reaching the impact of the email campaigns and beat the push impact on day #2.
We have the opportunity to make Recart the first and best complete Messenger marketing tool for ecommerce. Sounds promising.
Metrics in August
- Paying customers: 681
- MRR: $25,643
- MRP: $1,254
- Subscribed to the paid plan: 235
- Canceled the paid plan in August: 50
- Paid customer churn: 7.3% – looks awesome!
- 7601 unique user visited our Shopify App Store page – 300% more than a month before!
- 1732 users signed up – a whopping 23% visitor to free trial conversion rate
- Shopify reviews: 596
- ARPU: $37
What comes in September?
- We release the Instant Messenger Campaigns
- We update our Billing on Stripe to increase the ARPU and decrease the time we receive the money
- We release the two Shipping Notification Campaigns
- We kickstart our partnership with two or more popup apps
- We introduce our Messenger Widget integration with Wheelio
- We continue to grow and hopefully will reach $40,000 in MRR
- As we grow, we introduce the salary updates for most of the team
What comes in the rest of the year?
We continue to become the #1 marketing app for Shopify stores and reach our annual goal of 10,000 active users.
PS: As you can see, we’re finally at the start of the growth stage. 300% more users signed up than a month before. That’s extreme and serious. I have so many thoughts, and so many things to consider I couldn’t pack into this update. I’ll express them on the next product meeting. See you guys there!