- Krepling Investor Updates
- Posts
- September 2023 Update
Introduction
During the month of September, we concentrated our efforts on ramping up the development of Krepling’s platform, ensuring that we are well-prepared to support our merchants during the critical holiday period. Our engineering and product teams worked diligently to optimize our platform’s performance, enhance existing features, and roll out new tools that will empower our merchants to maximize their sales and efficiency heading into BFCM.
Traditionally, the final quarter poses unique challenges and opportunities in terms of merchant acquisition and growth. Historically, we observe a slower ramp and deployment rate of new merchants, particularly at higher tier ACVs. This trend is predominantly due to merchants’ hesitance to switch platforms or adopt new commerce tools as they brace themselves for the make-or-break months ahead (particularly the mid-market operators).
While this results in a quieter period for new onboardings, it also creates a favorable environment for existing merchants looking to upgrade their plans to accommodate the increased demand. Our data indicates a clear uptick in merchants upgrading their Krepling plans, seeking additional resources and capabilities to optimize their operations during the holiday frenzy.
In response to these market dynamics, we are strategically shifting our sales efforts. Our immediate focus is on bolstering net expansion within smaller ACVs and expanding our agency partnerships. This approach ensures that we continue to drive growth and support our merchant base, even as the pace of new onboardings temporarily subsides.
Simultaneously, we are doubling down on our efforts to capitalize on the expected surge in plan upgrades. Our customer success and sales teams are proactively engaging with merchants, helping them understand the value of upgrading their plans and ensuring they have all the resources they need to succeed.
Looking beyond the holiday season, a critical aspect of our strategy is to minimize the downgrade rate post-holiday and BFCM season. We understand that merchants might opt for higher-tier plans to handle the seasonal surge, and it is imperative that we demonstrate the continued value of these plans, encouraging merchants to maintain their upgraded status even as the holiday rush subsides.
As we navigate through these pivotal months, our commitment to our merchants and our mission remains unwavering. We are confident that the strategic shifts in our sales approach, coupled with our relentless focus on platform development, will ensure that Krepling not only thrives during the holiday season but also lays a robust foundation for sustained growth in the new year.
Revenue 🚀
Krepling is now at $161.8k in MRR, pacing 10-20% MoM revenue growth.
Other KPIs 📊
Average monthly gross churn (%) is at 1.7%, Average MRR net retention is at 114%, Average gross margins are at 96%, ARPU is at $3,291
Burn 🔥
Krepling burnt $58,290 during the month of September.
Runway 🛫
We estimate we have 24-36 months of runway given the current cash on hand.
Team Size 👥
Krepling currently has 10 team members (including both co-founders).
Click here to explore openings at Krepling
We are hiring in almost every sector! Feel free to reach out with resumes you feel we should be taking a look at.
Product Update ⚙️
The current development status of V0.1.0 of the product (titled 'Core Release') is at 88%
Asks and Discussions 🗣
There are no asks or discussions this month.
Reach out 👋
My email: [email protected]
If you would like to quickly catch up let's schedule 15 mins here:
Best, Liam