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Balsamiq Makes 1.6 Million with 70% Profit in 2009

balsamiq.com

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Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#21
post #9
post #6

Earlier quoted context omitted.

The Cynic: ask for picodollars and you shall receive picodollars. Joking aside though, I think that I see something of myself in your marketing. Your web page, for instance, is very plain, which to someone like me is great. But people seem to not like that, for whatever reason. Maybe you should do some A/B testing with a "flashier" (but no flash, please!) version? I would be curious to hear about the results. This is…

I think you're right on both counts. I have a friend who is trying to find a way to make the Tarsnap website look nicer without losing its essential geeky/minimalist character; if/when he comes up with something I'll definitely be doing some testing to see how it compares. That said, I don't think Tarsnap's conversion rate is particularly bad -- I'd say that most important issue is simply getting people to the Tarsna…

I've been following tarsnap from afar and think it looks like a great service. That said, an "unprofessional" look & feel is a deterrent for most people because it implies the service may be unprofessional (people tempted to click away before diving in to see whether you're qualified).

Think of it like the crackpots who submit their own math/physics theories. Sure, a professor can critically examine every submission, but it's not a good use of their time. It's easier to just read results in refereed journals.

If someone eccentric is doing something truly groundbreaking (Perelman solving the poincare conjecture), then most people expect somebody to tell them about it. Craigslist is like this -- if you saw the same layout on bobslist.com, you'd know it was some rinky-dink site. But craigslist built a reputation and that reputation is what made it spread.

Unsolicited advice, but long story short: people make snap judgements to save time, and often times they are correct (I suspect most unprofessional-looking sites are not run by professionals in that domain). This can be overcome with word of mouth, but it's ideal to not have to "overcome" their initial snap judgement and make a good first impression.

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#22
post #20
post #9

Earlier quoted context omitted.

I think you're right on both counts. I have a friend who is trying to find a way to make the Tarsnap website look nicer without losing its essential geeky/minimalist character; if/when he comes up with something I'll definitely be doing some testing to see how it compares. That said, I don't think Tarsnap's conversion rate is particularly bad -- I'd say that most important issue is simply getting people to the Tarsna…

I think there's a rather strong correlation between people that are used to the command line and people who don't pay for stuff online because they use opensource products. It doesn't make things better that tarsnap works only on linux of course. (If I remember correctly?) That might be part of the problem as Davidw is hinting at.

It doesn't make things better that tarsnap works only on linux of course. (If I remember correctly?)

Linux, BSD, Solaris, OS X, and Cygwin. Probably other UNIXy OSes too, but I don't know anyone using AIX or Tru64.

Tarsnap doesn't support Windows (except via a POSIX layer like Cygwin) or GNU Hurd.

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#23

Always been totally refreshing to read Peldi's blog , amazing amazing what he has achieved and how humble he is about it! EDIT: I do have one question though, how is your typical work day? With a release every week, thousands of customers to support and a full fledged family - how do you manage to even stay sane ? :-)

Hi there. Typical workday is wake up at 7, get my kid ready and take him to school, than back to the office (home) at around 9:30. Work until 6:00pm, then family time again, then put the kid to bed at around 9:30, then work again until 12:00-12:30. It's a lot, but I can take a morning or a night off pretty often. Mariah only works on Balsamiq maybe an hour or two a day, Marco's workday is about 9:30 to 5:30, and Valerie's workday is...actually, I don't really know! It seems like she's always working! :)

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#24
post #9

Earlier quoted context omitted.

I think you're right on both counts. I have a friend who is trying to find a way to make the Tarsnap website look nicer without losing its essential geeky/minimalist character; if/when he comes up with something I'll definitely be doing some testing to see how it compares. That said, I don't think Tarsnap's conversion rate is particularly bad -- I'd say that most important issue is simply getting people to the Tarsna…

Have you tried Reddit advertising?

Not yet. I'm thinking about it.

EDIT: Ok, finished thinking. Let's see how much traffic $20 gets me.

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#25

Balsamiq has twice as many twitter followers as Facebook 'Fans'. I'm strongly of the opinion that the word 'Fan' and the way it shows up in your Facebook profile makes Facebook pages a lot less useful for businesses. I want to get info about balasamiq, but I am not ready to describe myself as a fan to everyone on my facebook friendslist, considering that I've not used it. Facebook should allow you to 'friend' a busin…

Great observation.

> Facebook should allow you to 'friend' a business

That has the same connotations to me, how about "follow"

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#26
post #7

Hi there. Just FYI, I'm reading this if you have any questions. Peldi

Peldi, I blogged about you sometime at the beginning of last year. At that time you was already at about 10K in sales if I recall.

I'd be interested (and I am sure others would too) if you could do a post about the successful marketing techniques which have worked for you. I.e. what proportion of new clientele comes from your sponsorships of events Vs any advertising you do etc. etc...

The main problem most people I assume find is they run into a plateau of sales where it levels off, whereas you have gone like a rocket - so more on where your traffic is coming from would be great.

How about opening up your stats? (I know your all for openness's) would this be a step too far?

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#27
post #9
post #6

Earlier quoted context omitted.

The Cynic: ask for picodollars and you shall receive picodollars. Joking aside though, I think that I see something of myself in your marketing. Your web page, for instance, is very plain, which to someone like me is great. But people seem to not like that, for whatever reason. Maybe you should do some A/B testing with a "flashier" (but no flash, please!) version? I would be curious to hear about the results. This is…

I think you're right on both counts. I have a friend who is trying to find a way to make the Tarsnap website look nicer without losing its essential geeky/minimalist character; if/when he comes up with something I'll definitely be doing some testing to see how it compares. That said, I don't think Tarsnap's conversion rate is particularly bad -- I'd say that most important issue is simply getting people to the Tarsna…

I think having a gui for OS X could really help it to spread.. I'd love to recommend tarsnap to friends but most of them don't want to use the commandline

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#28
post #25

Balsamiq has twice as many twitter followers as Facebook 'Fans'. I'm strongly of the opinion that the word 'Fan' and the way it shows up in your Facebook profile makes Facebook pages a lot less useful for businesses. I want to get info about balasamiq, but I am not ready to describe myself as a fan to everyone on my facebook friendslist, considering that I've not used it. Facebook should allow you to 'friend' a busin…

Great observation. > Facebook should allow you to 'friend' a business That has the same connotations to me, how about "follow"

Follow works even better. Now all we need is someone from Facebook to take part in this conversation...

Re: Balsamiq Makes 1.6 Million with 70% Profit in 2009

#29
Don't know how about you, but I find http://gomockingbird.com way better and attractive. It doesn't use flash, it has pretty controls and generally a better UI with tiny little details like, say, aligning the elements relatively to each other. But still, since they are profitable (good for them) and make that much money, there's probably a need for such services on the market.
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