How Baremetrics Revolutionized Subscription Analytics: The Journey of Founders Josh Pigford and Chris Wiggins.
Company profile
Company business details
Motivation to build the product
The founders were motivated by the need for subscription-based businesses to have clear and accessible insights into their financial metrics. They recognized that many businesses struggled with understanding their performance due to the complexity of traditional spreadsheets and the lack of real-time data.Problem that their product solves
Baremetrics addresses the challenge of tracking and understanding key financial metrics for subscription-based businesses. The end users are entrepreneurs and business owners who need to monitor metrics like MRR (Monthly Recurring Revenue) and churn rate to make informed decisions that drive growth and improve customer retention.Their unfair advantage
Baremetrics' unfair advantage lies in its direct integration with payment processors like Stripe, allowing for real-time data and insights that are not easily available through traditional methods.Strategies
Pre-Launch (Product Development & MVP)
Internal Tool Development
Josh Pigford initially built an internal tool to track metrics for his own SaaS products, as he found existing analytics tools inadequate. This tool was developed out of necessity to solve his own problem of tracking metrics like lifetime value and churn without relying on error-prone spreadsheets. After discussing with peers who faced similar challenges, he recognized the potential for this tool to serve a broader market, leading to the creation of Baremetrics.
Transparency in Revenue Reporting
Josh Pigford, the founder of Baremetrics, made a bold move by publicly sharing the company's revenue numbers, which was a significant departure from the norm in the startup world. This decision was rooted in a desire for authenticity and a response to the lack of real data about business performance. By showcasing actual revenue figures, Baremetrics aimed to demystify the often exaggerated narratives surrounding startup success. This strategy not only built trust with potential customers but also aligned with the growing trend of transparency in the tech industry, inspired by other companies like Buffer and Groove.
Launch Stage
High Pricing Strategy
When launching Baremetrics, Josh intentionally set a higher price point for the service, starting with a $249 monthly plan. This decision was based on his previous experience where he undervalued his products. By pricing higher, he aimed to attract serious customers and weed out those who might not be a good fit. This strategy paid off as it not only validated the product's value but also led to acquiring customers who were willing to pay significantly more.
Customer Onboarding Calls
Josh Pigford, the founder of Baremetrics, implemented a strategy of conducting phone calls with customers immediately after they signed up. This approach was aimed at helping customers understand how to use Baremetrics effectively to improve their business metrics. During these calls, he would discuss their specific business needs and provide tailored advice on how to leverage the analytics provided by Baremetrics. This personal touch not only helped customers feel valued but also significantly reduced churn rates, as customers who engaged in these calls were more likely to stick around.
Live Demo Instead of Screenshots
When launching Baremetrics, Josh Pigford opted for a live demo of the product rather than using static screenshots. This decision stemmed from a belief that a live demonstration would feel more authentic and engaging for potential users. By showcasing the product in real-time, he aimed to provide a genuine experience that would resonate with users, allowing them to see the value of Baremetrics firsthand. This approach not only highlighted the product's capabilities but also set a tone of transparency and openness that would become a hallmark of the brand.
Learn more about Baremetrics
Josh Pigford, Founder of Baremetrics
How Josh Pigford Built Baremetrics
