- Krepling Investor Updates
- Posts
- September 2024 Update
Introduction
In September, we redirected much of our efforts towards closing a significant portion of the later-stage deals in our pipeline. This decision comes in preparation for the holiday season, a time when merchants typically pivot their priorities towards maximizing sales and less towards exploring or implementing new technology solutions like Krepling.
Historically, this time of year brings with it a natural deceleration in the onboarding of new merchants to Krepling’s platform. Merchants, as expected, are singularly focused on optimizing their sales motions and are often less receptive to discussions around tech stack customization or adoption of new workflows. While this trend is consistent year over year, it presents both a challenge and an opportunity for us.
Recognizing this shift in merchant priorities, we have strategically repositioned our sales team to function as an extended customer success arm during the months of October through December. The primary objective during this period is to proactively engage with our existing merchant base, encouraging them to upgrade their current subscriptions to better handle the increased GMV and traffic surges anticipated during BFCM. This shift is not merely a tactical change but a deliberate move to provide our merchants with the tools and support they need to thrive during this critical period.
Upon reviewing data from previous years, a clear pattern emerged: a substantial portion of our merchant base has historically upgraded to higher-tier subscriptions just days or weeks before holiday traffic peaks. These upgrades, often initiated independently by merchants, are typically driven by the need to deploy more workflows or handle increased traffic loads. While this demonstrates the inherent value of our platform during peak periods, it also highlights a missed opportunity for many merchants who could have been better prepared had they upgraded earlier in the year.
In response to these insights, we are taking a more proactive approach this year. Our sales team (which turns into a customer success team this time of year) is actively reaching out to merchants through dedicated calls, offering personalized guidance to ensure their tech stacks are optimized well in advance of the holiday season. These calls are designed to understand each merchant’s specific requirements for the upcoming holiday period, highlight the benefits of upgrading subscriptions sooner, such as improved workflow capabilities and enhanced traffic management, and assist merchants in configuring their platforms to maximize efficiency and scalability during peak periods.
By taking these steps, we aim to not only drive earlier subscription upgrades but also solidify our position as a trusted partner in our merchants’ growth journeys.
Revenue 🚀
Krepling is now at $381k in MRR, pacing 5-10% MoM revenue growth.
Other KPIs 📊
Average monthly gross churn (%) is at 3.5%, Average MRR net retention is at 107%, Average gross margins are at 90%, ARPU is at $4.5k
Burn 🔥
Krepling burnt $48,550 during the month of August.
Runway 🛫
We estimate we have 12-18 months of runway given the current cash on hand.
Team Size 👥
Krepling currently has 11 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 V2.0.0 of the product (titled 'V2 Release') is at 10%.
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