Why to Avoid B2C SaaS at All Costs
Read full transcript 9 segments
-
Building SAS for consumers sounds sexy. Building SAS for consumers sounds sexy. Instant signups, viral growth, changing Instant signups, viral growth, changing Instant signups, viral growth, changing the world. But here's the harsh reality. the world. But here's the harsh reality. the world. But here's the harsh reality. Most of these businesses fail for the Most of these businesses fail for the Most of these businesses fail for the same reason. In this video, I'm going to same reason. In this video, I'm going to same reason. In this video, I'm going to show you why and reveal the only BTOC show you why and reveal the only BTOC show you why and reveal the only BTOC SAS strategy I'd ever bet on after SAS strategy I'd ever bet on after SAS strategy I'd ever bet on after starting six companies, investing in 224 starting six companies, investing in 224 starting six companies, investing in 224 SAS startups, and writing five books SAS startups, and writing five books SAS startups, and writing five books about building life-changing businesses. about building life-changing businesses. about building life-changing businesses. Before we dig in, it's important to Before we dig in, it's important to Before we dig in, it's important to define what we're actually talking define what we're actually talking define what we're actually talking about. I see people talking about B TOC about. I see people talking about B TOC about. I see people talking about B TOC SAS all the time, but when we look SAS all the time, but when we look SAS all the time, but when we look closer, most of the big names don't closer, most of the big names don't closer, most of the big names don't actually fit the bill. True B TOC SAS is actually fit the bill. True B TOC SAS is actually fit the bill. True B TOC SAS is extremely rare and most examples of B extremely rare and most examples of B extremely rare and most examples of B TOC SAS either pivot to B2B or they only TOC SAS either pivot to B2B or they only TOC SAS either pivot to B2B or they only survive at a massive scale. So here's a survive at a massive scale. So here's a survive at a massive scale. So here's a few examples of not really B toC SAS. few examples of not really B toC SAS. few examples of not really B toC SAS. Netflix, YouTube Premium, HBO Max, Netflix, YouTube Premium, HBO Max, Netflix, YouTube Premium, HBO Max, Spotify, these are actually content Spotify, these are actually content Spotify, these are actually content businesses. You don't pay them for businesses. You don't pay them for businesses. You don't pay them for software. You don't care that it's software. You don't care that it's software. You don't care that it's software delivering the music or the software delivering the music or the software delivering the music or the streaming show. What you care about is streaming show. What you care about is streaming show. What you care about is the content. These are subscription the content. These are subscription the content. These are subscription content businesses. Content as a content businesses. Content as a content businesses. Content as a service, not software as a service.
-
service, not software as a service. service, not software as a service. iCloud is another example folks have iCloud is another example folks have iCloud is another example folks have brought up. The reason iCloud works is brought up. The reason iCloud works is brought up. The reason iCloud works is only because it's bundled with Apple's only because it's bundled with Apple's only because it's bundled with Apple's hardware ecosystem. They are almost a hardware ecosystem. They are almost a hardware ecosystem. They are almost a trillion dollar company. And if you are trillion dollar company. And if you are trillion dollar company. And if you are almost a trillion dollar hardware almost a trillion dollar hardware almost a trillion dollar hardware company, you too can start a BTOCish company, you too can start a BTOCish company, you too can start a BTOCish SAS. But iCloud doesn't stand on its own SAS. But iCloud doesn't stand on its own SAS. But iCloud doesn't stand on its own as a SAS business. Dropbox is another as a SAS business. Dropbox is another as a SAS business. Dropbox is another one I hear brought out. They actually one I hear brought out. They actually one I hear brought out. They actually started B TOC, but now over 80% of their started B TOC, but now over 80% of their started B TOC, but now over 80% of their revenue is B2B. And then there's revenue is B2B. And then there's revenue is B2B. And then there's LastPass. It's the same as Dropbox. LastPass. It's the same as Dropbox. LastPass. It's the same as Dropbox. Co-CEO David Fogno said in a 2025 Co-CEO David Fogno said in a 2025 Co-CEO David Fogno said in a 2025 interview that Enterprise makes up 75% interview that Enterprise makes up 75% interview that Enterprise makes up 75% of their revenue. So even though you of their revenue. So even though you of their revenue. So even though you might think on the surface they are might think on the surface they are might think on the surface they are BTOC, they are actually a B2B company. BTOC, they are actually a B2B company. BTOC, they are actually a B2B company. There are a handful of BTOC SAS examples There are a handful of BTOC SAS examples There are a handful of BTOC SAS examples that I know of. One is wab or you need a that I know of. One is wab or you need a that I know of. One is wab or you need a budget which is budgeting software and budget which is budgeting software and budget which is budgeting software and personal finance software for consumers. personal finance software for consumers. personal finance software for consumers. To-d doist is another one. Fitness and To-d doist is another one. Fitness and To-d doist is another one. Fitness and sleep trackers are another example and sleep trackers are another example and sleep trackers are another example and you can see them selling to consumers you can see them selling to consumers you can see them selling to consumers and succeeding. Beyond those there are and succeeding. Beyond those there are and succeeding. Beyond those there are handful or two that I know of that are handful or two that I know of that are handful or two that I know of that are true B TOC versus the 50,000 plus B2B true B TOC versus the 50,000 plus B2B true B TOC versus the 50,000 plus B2B SAS apps in the world. So, if it's true SAS apps in the world. So, if it's true SAS apps in the world. So, if it's true that B TOC SAS is actually quite rare, that B TOC SAS is actually quite rare, that B TOC SAS is actually quite rare, why are so many founders still obsessed why are so many founders still obsessed why are so many founders still obsessed with building these businesses? And with building these businesses? And with building these businesses? And there's a few reasons. One, they see the there's a few reasons. One, they see the there's a few reasons. One, they see the appeal of a massive user base, right?
-
appeal of a massive user base, right? appeal of a massive user base, right? The idea of millions of potential The idea of millions of potential The idea of millions of potential customers is intoxicating. Another customers is intoxicating. Another customers is intoxicating. Another reason is that often times founders have reason is that often times founders have reason is that often times founders have a personal connection, right? Founders a personal connection, right? Founders a personal connection, right? Founders want to solve a problem they face want to solve a problem they face want to solve a problem they face themselves or build something for quote themselves or build something for quote themselves or build something for quote unquote everyone because they want to unquote everyone because they want to unquote everyone because they want to appeal to a mass market. The third appeal to a mass market. The third appeal to a mass market. The third reason is the emotional appeal. There's reason is the emotional appeal. There's reason is the emotional appeal. There's a sense of perhaps impacting the world a sense of perhaps impacting the world a sense of perhaps impacting the world or fame from building a beloved consumer or fame from building a beloved consumer or fame from building a beloved consumer brand. Folks watch movies like The brand. Folks watch movies like The brand. Folks watch movies like The Social Network or they hear the story of Social Network or they hear the story of Social Network or they hear the story of Google or Twitter and they think I want Google or Twitter and they think I want Google or Twitter and they think I want to do that too. I want to appeal to a to do that too. I want to appeal to a to do that too. I want to appeal to a big broad audience and be quote unquote big broad audience and be quote unquote big broad audience and be quote unquote famous. But the fact is that very very famous. But the fact is that very very famous. But the fact is that very very very few of these succeed. And the last very few of these succeed. And the last very few of these succeed. And the last reason is perceived simplicity. You reason is perceived simplicity. You reason is perceived simplicity. You don't have enterprise sales cycles. You don't have enterprise sales cycles. You don't have enterprise sales cycles. You don't need to talk to pesky businesses. don't need to talk to pesky businesses. don't need to talk to pesky businesses. You don't have to go through procurement You don't have to go through procurement You don't have to go through procurement processes or red tape. You just launch processes or red tape. You just launch processes or red tape. You just launch and you grow like magic. So, it's easy and you grow like magic. So, it's easy and you grow like magic. So, it's easy to get excited about skipping the B2B or to get excited about skipping the B2B or to get excited about skipping the B2B or the enterprise headache. But here's the the enterprise headache. But here's the the enterprise headache. But here's the catch. Even though selling to consumers catch. Even though selling to consumers catch. Even though selling to consumers feels simple, the buying process on feels simple, the buying process on feels simple, the buying process on their end is anything but. And when it their end is anything but. And when it their end is anything but. And when it comes time for someone to actually pull comes time for someone to actually pull comes time for someone to actually pull out their credit card, the psychology is out their credit card, the psychology is out their credit card, the psychology is totally different from selling to totally different from selling to totally different from selling to businesses. Everything I'm saying in businesses. Everything I'm saying in businesses. Everything I'm saying in this video is from my personal this video is from my personal this video is from my personal experience and the experience of the experience and the experience of the experience and the experience of the tens of thousands of founders who watch tens of thousands of founders who watch tens of thousands of founders who watch this YouTube channel, who listen to my this YouTube channel, who listen to my this YouTube channel, who listen to my podcast, who I've invested in through podcast, who I've invested in through podcast, who I've invested in through Tiny Seed, who are in the micro Tiny Seed, who are in the micro Tiny Seed, who are in the micro community. Over and over, I see the same community. Over and over, I see the same community. Over and over, I see the same sentiment of I wished I had listened to sentiment of I wished I had listened to sentiment of I wished I had listened to you sooner or I'm in B TOC and my gosh, you sooner or I'm in B TOC and my gosh, you sooner or I'm in B TOC and my gosh, this is awful. And those are the this is awful. And those are the this is awful. And those are the sentiments I'm trying to communicate to
-
sentiments I'm trying to communicate to sentiments I'm trying to communicate to you here in this video before you make you here in this video before you make you here in this video before you make the same mistakes. So, let's get back to the same mistakes. So, let's get back to the same mistakes. So, let's get back to how consumers make purchase decisions. how consumers make purchase decisions. how consumers make purchase decisions. So, in your personal life, a $30 a month So, in your personal life, a $30 a month So, in your personal life, a $30 a month subscription is probably something subscription is probably something subscription is probably something you're going to pause and think about. you're going to pause and think about. you're going to pause and think about. But for a business, if that subscription But for a business, if that subscription But for a business, if that subscription will save an hour of time a week, or will save an hour of time a week, or will save an hour of time a week, or it'll make a business, I don't know, it'll make a business, I don't know, it'll make a business, I don't know, $100, $200, $300, it's a no-brainer. A $100, $200, $300, it's a no-brainer. A $100, $200, $300, it's a no-brainer. A $30 expense for a business is a rounding $30 expense for a business is a rounding $30 expense for a business is a rounding error. They spend more than that on error. They spend more than that on error. They spend more than that on toilet paper in a given week. As toilet paper in a given week. As toilet paper in a given week. As consumers, we judge return on investment consumers, we judge return on investment consumers, we judge return on investment differently in our personal lives, differently in our personal lives, differently in our personal lives, whereas businesses are much more willing whereas businesses are much more willing whereas businesses are much more willing to spend money. So, they're much less to spend money. So, they're much less to spend money. So, they're much less price sensitive. So, let's look at some price sensitive. So, let's look at some price sensitive. So, let's look at some key metrics to see why BTOC SAS just key metrics to see why BTOC SAS just key metrics to see why BTOC SAS just kind of sucks. The financials suck. Low kind of sucks. The financials suck. Low kind of sucks. The financials suck. Low price points and high price sensitivity price points and high price sensitivity price points and high price sensitivity mean you need thousands or tens of mean you need thousands or tens of mean you need thousands or tens of thousands of users to make any kind of thousands of users to make any kind of thousands of users to make any kind of money. And you can't spend any money to money. And you can't spend any money to money. And you can't spend any money to market to them. Because the moment you market to them. Because the moment you market to them. Because the moment you spend a couple hundred to acquire a spend a couple hundred to acquire a spend a couple hundred to acquire a customer, which is not very much in the customer, which is not very much in the customer, which is not very much in the parliament of acquiring SAS customers, parliament of acquiring SAS customers, parliament of acquiring SAS customers, but once you've spent that, you're but once you've spent that, you're but once you've spent that, you're already in the hole and you're negative.
-
already in the hole and you're negative. already in the hole and you're negative. So, let's take a quick example. If So, let's take a quick example. If So, let's take a quick example. If you're making $10,000 of MR at $8 per you're making $10,000 of MR at $8 per you're making $10,000 of MR at $8 per user, that requires more than 1,200 user, that requires more than 1,200 user, that requires more than 1,200 paying customers and tens of thousands paying customers and tens of thousands paying customers and tens of thousands of signups to get those 1,200 paying of signups to get those 1,200 paying of signups to get those 1,200 paying customers at typical free to paid customers at typical free to paid customers at typical free to paid conversion rates. The other thing is the conversion rates. The other thing is the conversion rates. The other thing is the unit economics are hard. It's really unit economics are hard. It's really unit economics are hard. It's really hard to maintain any kind of healthy LTV hard to maintain any kind of healthy LTV hard to maintain any kind of healthy LTV to CAC ratio or lifetime value to cost to CAC ratio or lifetime value to cost to CAC ratio or lifetime value to cost of acquiring a customer. And I commented of acquiring a customer. And I commented of acquiring a customer. And I commented on this before, but what advertising on this before, but what advertising on this before, but what advertising platforms can you realistically acquire platforms can you realistically acquire platforms can you realistically acquire your customers at a cost that is your customers at a cost that is your customers at a cost that is actually profitable? For consumers, it's actually profitable? For consumers, it's actually profitable? For consumers, it's almost zero. You need virality in almost zero. You need virality in almost zero. You need virality in quotes. And you think you're going to quotes. And you think you're going to quotes. And you think you're going to stumble upon virality by having a free stumble upon virality by having a free stumble upon virality by having a free plan and it just is very, very, very plan and it just is very, very, very plan and it just is very, very, very unlikely to happen. Another reason why unlikely to happen. Another reason why unlikely to happen. Another reason why B2C is so tough is churn. Consumers B2C is so tough is churn. Consumers B2C is so tough is churn. Consumers churn in much higher numbers than churn in much higher numbers than churn in much higher numbers than businesses do. So I have some rules of businesses do. So I have some rules of businesses do. So I have some rules of thumb for churn. If you're selling into thumb for churn. If you're selling into thumb for churn. If you're selling into enterprises and doing large contracts, enterprises and doing large contracts, enterprises and doing large contracts, you'll see net negative churn or 1% you'll see net negative churn or 1% you'll see net negative churn or 1% monthly churn. If you are selling to monthly churn. If you are selling to monthly churn. If you are selling to maybe small businesses, you might see 2 maybe small businesses, you might see 2 maybe small businesses, you might see 2 to 3% churn if you have a healthy to 3% churn if you have a healthy to 3% churn if you have a healthy business. If you're selling more to business. If you're selling more to business. If you're selling more to proumers, maybe you have 5% churn, 6% proumers, maybe you have 5% churn, 6% proumers, maybe you have 5% churn, 6% churn. And if you're selling to churn. And if you're selling to churn. And if you're selling to consumers, you can see 10, 15, 20% consumers, you can see 10, 15, 20% consumers, you can see 10, 15, 20% churn. More even more than that. I've churn. More even more than that. I've churn. More even more than that. I've seen BTOC businesses with 25% churn.
-
seen BTOC businesses with 25% churn. seen BTOC businesses with 25% churn. That's not even really a subscription That's not even really a subscription That's not even really a subscription business anymore. It's it's not a business anymore. It's it's not a business anymore. It's it's not a onetime payment. It's a four-time onetime payment. It's a four-time onetime payment. It's a four-time payment. People are paying you four payment. People are paying you four payment. People are paying you four times and then bailing. You're turning times and then bailing. You're turning times and then bailing. You're turning over your entire customer base in less over your entire customer base in less over your entire customer base in less than 4 months. It's catastrophic. And than 4 months. It's catastrophic. And than 4 months. It's catastrophic. And your business is on fire. And when your your business is on fire. And when your your business is on fire. And when your churn is that high, you're effectively a churn is that high, you're effectively a churn is that high, you're effectively a leaky bucket. It's so hard to build leaky bucket. It's so hard to build leaky bucket. It's so hard to build compounding growth. And you're more compounding growth. And you're more compounding growth. And you're more likely, you really likely to plateau likely, you really likely to plateau likely, you really likely to plateau pretty early on. So, you might be pretty early on. So, you might be pretty early on. So, you might be thinking, "But there must be some way thinking, "But there must be some way thinking, "But there must be some way around this, right? Maybe if I get my around this, right? Maybe if I get my around this, right? Maybe if I get my marketing just right or if I go viral, I marketing just right or if I go viral, I marketing just right or if I go viral, I can beat the odds. So, let's look at can beat the odds. So, let's look at can beat the odds. So, let's look at some of the most common myths that trip some of the most common myths that trip some of the most common myths that trip up SAS founders when they're thinking up SAS founders when they're thinking up SAS founders when they're thinking about B TOC. I hear and see founders about B TOC. I hear and see founders about B TOC. I hear and see founders fall for these traps all the time. The fall for these traps all the time. The fall for these traps all the time. The first is if I build it, they will come. first is if I build it, they will come. first is if I build it, they will come. And you've heard this before, that's not And you've heard this before, that's not And you've heard this before, that's not going to happen. Distribution and going to happen. Distribution and going to happen. Distribution and marketing and getting people to care marketing and getting people to care marketing and getting people to care about what you're doing, getting people about what you're doing, getting people about what you're doing, getting people to your website, getting people to click to your website, getting people to click to your website, getting people to click by is really, really hard. That's the by is really, really hard. That's the by is really, really hard. That's the hardest part. Building the product, hardest part. Building the product, hardest part. Building the product, especially with AI and no code and all especially with AI and no code and all especially with AI and no code and all the other advantages you have these the other advantages you have these the other advantages you have these days, building the product can be hard, days, building the product can be hard, days, building the product can be hard, but it isn't the hardest part. The but it isn't the hardest part. The but it isn't the hardest part. The hardest part is getting folks to care. hardest part is getting folks to care. hardest part is getting folks to care. If you build it, they will in fact not If you build it, they will in fact not If you build it, they will in fact not come. Another myth is viral growth will come. Another myth is viral growth will come. Another myth is viral growth will save me. True virality is very rare and save me. True virality is very rare and save me. True virality is very rare and it's orchestrated. Very, very few apps it's orchestrated. Very, very few apps it's orchestrated. Very, very few apps ever get to the point of having any type ever get to the point of having any type ever get to the point of having any type of meaningful viral coefficient. And if of meaningful viral coefficient. And if of meaningful viral coefficient. And if you think you're going to stumble upon you think you're going to stumble upon you think you're going to stumble upon it as your first effort because you it as your first effort because you it as your first effort because you built something interesting that you built something interesting that you built something interesting that you think some consumers will want, you are think some consumers will want, you are think some consumers will want, you are incorrect because there are people with incorrect because there are people with incorrect because there are people with more experience than you building B TOC more experience than you building B TOC more experience than you building B TOC apps with a lot of funding who can't apps with a lot of funding who can't apps with a lot of funding who can't find that viral loop. It's very very
-
find that viral loop. It's very very find that viral loop. It's very very difficult. Another myth is low price difficult. Another myth is low price difficult. Another myth is low price means faster growth and it's actually means faster growth and it's actually means faster growth and it's actually the opposite. Low price means lower the opposite. Low price means lower the opposite. Low price means lower revenue per user, higher support load, revenue per user, higher support load, revenue per user, higher support load, often higher churn, it's usually going often higher churn, it's usually going often higher churn, it's usually going to mean slower growth and early to mean slower growth and early to mean slower growth and early plateaus. The fourth myth is that churn plateaus. The fourth myth is that churn plateaus. The fourth myth is that churn isn't a big deal, but churn is the death isn't a big deal, but churn is the death isn't a big deal, but churn is the death of any type of subscription business, of any type of subscription business, of any type of subscription business, especially SAS. High churn makes scaling especially SAS. High churn makes scaling especially SAS. High churn makes scaling nearly impossible. And the last myth nearly impossible. And the last myth nearly impossible. And the last myth I'll mention is I'll monetize it later. I'll mention is I'll monetize it later. I'll mention is I'll monetize it later. So, you want to delay monetization So, you want to delay monetization So, you want to delay monetization because you want a bunch of consumers to because you want a bunch of consumers to because you want a bunch of consumers to use your product. But realizing that, use your product. But realizing that, use your product. But realizing that, especially if you're bootstrapped or especially if you're bootstrapped or especially if you're bootstrapped or don't have buckets of money in the bank, don't have buckets of money in the bank, don't have buckets of money in the bank, you have to monetize early because you you have to monetize early because you you have to monetize early because you likely don't have the time and the money likely don't have the time and the money likely don't have the time and the money to keep an app going for what, months, to keep an app going for what, months, to keep an app going for what, months, years without monetizing it. And just years without monetizing it. And just years without monetizing it. And just because you're not monetizing it doesn't because you're not monetizing it doesn't because you're not monetizing it doesn't mean you don't have high churn. People mean you don't have high churn. People mean you don't have high churn. People can churn out of free apps, and they do can churn out of free apps, and they do can churn out of free apps, and they do all the time. Consumers are notoriously all the time. Consumers are notoriously all the time. Consumers are notoriously fickle about these kinds of things. In a fickle about these kinds of things. In a fickle about these kinds of things. In a minute, I'm going to talk about the one minute, I'm going to talk about the one minute, I'm going to talk about the one way that I've seen BTOC work. But first, way that I've seen BTOC work. But first, way that I've seen BTOC work. But first, I want to tell you about Microcom I want to tell you about Microcom I want to tell you about Microcom Connect. MicroCom Connect is a Connect. MicroCom Connect is a Connect. MicroCom Connect is a world-class online community for world-class online community for world-class online community for bootstrapped SAS founders. We keep the bootstrapped SAS founders. We keep the bootstrapped SAS founders. We keep the quality of the conversation and the quality of the conversation and the quality of the conversation and the members incredibly high by having a members incredibly high by having a members incredibly high by having a moderator who's in there engaging with moderator who's in there engaging with moderator who's in there engaging with folks. And it's a paid community and folks. And it's a paid community and folks. And it's a paid community and that means people in micro connect are that means people in micro connect are that means people in micro connect are serious about getting things done and serious about getting things done and serious about getting things done and there are great conversations about how there are great conversations about how there are great conversations about how to do things about I need support, I to do things about I need support, I to do things about I need support, I need help and it's an extension of our need help and it's an extension of our need help and it's an extension of our famous hallway track. If you head to famous hallway track. If you head to famous hallway track. If you head to microconnect.com microconnect.com microconnect.com you can check out everything we have to
-
you can check out everything we have to you can check out everything we have to offer with that subscription. There's a offer with that subscription. There's a offer with that subscription. There's a lot that's included. I encourage you to lot that's included. I encourage you to lot that's included. I encourage you to go check it out. microconnect.com. go check it out. microconnect.com. go check it out. microconnect.com. All right, so back to the question. If B All right, so back to the question. If B All right, so back to the question. If B TOC is really really hard to make work TOC is really really hard to make work TOC is really really hard to make work and you probably shouldn't try it as and you probably shouldn't try it as and you probably shouldn't try it as your first effort, when does B TOC work? your first effort, when does B TOC work? your first effort, when does B TOC work? When have I seen it work out in the wild When have I seen it work out in the wild When have I seen it work out in the wild for bootstrapped and mostly bootstrapped for bootstrapped and mostly bootstrapped for bootstrapped and mostly bootstrapped founders? A case where serving consumers founders? A case where serving consumers founders? A case where serving consumers and proumers works is where you have a and proumers works is where you have a and proumers works is where you have a dual funnel or a B to both. And this is dual funnel or a B to both. And this is dual funnel or a B to both. And this is where you're serving both businesses and where you're serving both businesses and where you're serving both businesses and consumers and proumers. An example of consumers and proumers. An example of consumers and proumers. An example of this is Castos, which is podcast this is Castos, which is podcast this is Castos, which is podcast hosting. It's where I host Startups for hosting. It's where I host Startups for hosting. It's where I host Startups for the rest of us and the Micro Comp the rest of us and the Micro Comp the rest of us and the Micro Comp podcast. Castos has lowpriced tiers for podcast. Castos has lowpriced tiers for podcast. Castos has lowpriced tiers for hobbyists and then higher tiers for hobbyists and then higher tiers for hobbyists and then higher tiers for businesses or podcast networks. The businesses or podcast networks. The businesses or podcast networks. The reason this works is that their brand reason this works is that their brand reason this works is that their brand scales from having a lot of users and a scales from having a lot of users and a scales from having a lot of users and a lot of folks talk about them online. You lot of folks talk about them online. You lot of folks talk about them online. You get real revenue and stability from your get real revenue and stability from your get real revenue and stability from your business customers. Even if your business customers. Even if your business customers. Even if your lower-end folks, your consumers and lower-end folks, your consumers and lower-end folks, your consumers and proumers may churn at higher rates. But proumers may churn at higher rates. But proumers may churn at higher rates. But it's nice cuz it gives you a nice it's nice cuz it gives you a nice it's nice cuz it gives you a nice sustainable smooth growth curve. One of sustainable smooth growth curve. One of sustainable smooth growth curve. One of the drawbacks to going enterprise only, the drawbacks to going enterprise only, the drawbacks to going enterprise only, for example, is you might close a big for example, is you might close a big for example, is you might close a big deal this month and then not a big deal deal this month and then not a big deal deal this month and then not a big deal next month. And so your growth can be next month. And so your growth can be next month. And so your growth can be spiky. But having B2B with a dual funnel spiky. But having B2B with a dual funnel spiky. But having B2B with a dual funnel can smooth out that growth curve. If can smooth out that growth curve. If can smooth out that growth curve. If you're thinking, "All right, Rob, I hear you're thinking, "All right, Rob, I hear you're thinking, "All right, Rob, I hear you. Maybe B TOC isn't for me, but how you. Maybe B TOC isn't for me, but how you. Maybe B TOC isn't for me, but how do I actually find a B2B SAS idea that's do I actually find a B2B SAS idea that's do I actually find a B2B SAS idea that's worth building?" If you're thinking worth building?" If you're thinking worth building?" If you're thinking that, you should check out this next that, you should check out this next that, you should check out this next video. I'll walk you through the seven video. I'll walk you through the seven video. I'll walk you through the seven ways I've seen founders find an idea ways I've seen founders find an idea ways I've seen founders find an idea worth building. Make sure you subscribe worth building. Make sure you subscribe worth building. Make sure you subscribe for more content like this, and thanks
-
for more content like this, and thanks for more content like this, and thanks for watching.
Summary
The main theme is the rarity of successful B2C SaaS businesses, contrasting with its perceived allure. Key subjects discussed are why many well-known services like Netflix and iCloud are miscategorized as B2C SaaS, and that true B2C SaaS examples are few, like budgeting software or fitness trackers. The practical takeaway is to recognize that most seemingly B2C SaaS companies actually derive revenue from B2B, making the B2C strategy extremely challenging and uncommon.