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SaaS Interviews with CEOs, Startups, Founders

1493 How Podast Hosting Company Buzzsprout Passed $15k in MRR, 1000 Customers, Bootstrapped

SaaS Interviews with CEOs, Startups, Founders

Nathan Latka

Ceo, Entrepreneurs, Founders, Software, Business, Entrepreneurship, Saas, Startups

4.6683 Ratings

🗓️ 26 August 2019

⏱️ 18 minutes

🧾️ Download transcript

Summary

Tom Rossi is one of the cofounders of the product development company Higher Pixels. He has been leading the company since 1996 and has seen it shift from a client-services company to a product company. Higher Pixels currently has four products: Buzzsprout, StreamCare, Tick, and Donor Tools. Each product has been built with Ruby on Rails and continue to be actively developed.

Transcript

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0:00.0

currently building buzz sprout dot com they launched it in 2008 out of their agency there's now 13

0:05.9

people that focus on it in kind of six week periods uh everyone based in florida economics wise

0:11.3

they've got between a thousand and five thousand customers paying 15 bucks a month so call up

0:14.8

between you know 15 grand a month up to 75 grand a month somewhere in that range growing 100

0:19.1

per year over year bootstrapped which we lovestrapped, 2% logo churn per month.

0:23.7

So obviously that assumes a 50-month LTV.

0:26.6

He's conservative, though, and assumes on a dollar basis it's $300.

0:29.5

They spend up to $40 to acquire a customer.

0:32.1

So anywhere between a $4 and a 12-month payback period, depending on what channel it comes through.

0:36.1

But healthy growth.

0:37.4

Hello, everyone, my guest today is Tom Rossi.

0:39.6

He's one of the co-founders of the product development company,

0:41.5

Higher Pixels.

0:42.6

He's been leading the company since 1996

0:45.0

and has seen it shift from a client services company

0:47.3

to a product company.

0:48.7

Higher Pixels currently has four products,

0:50.6

BuzzSprout, Stream, Care, Tick, and Donor Tools. Each product has been built with Ruby

0:55.8

on Rails and continue to be actively developed today. All right, Tom, are you ready to take us to the

1:00.0

top? Sure. Which one of these babies is the one you care about most? It's the biggest in terms of

1:05.5

revenue. Oh, you're asking me to pick my favorite child. Yeah. I think Buzz Sprout is the one that we gravitate towards a lot just because it's fun.

1:13.2

You get to deal with interesting people and it's a, you know, it's kind of a fun product to work on.

...

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