11–20 of 58 posts
A good example of solving a real problem people have, definitely a good approach. I'm an evernote user, I like it, but I see many possibilities for improving UI and features, it's worth trying IMHO.
Let's not forget they've taken nearly $100M of investment at a nearly billion dollar valuation. Perhaps this is my east coast conservatism, but in the average case I just can't see how this works out well for the investors.
To get a respectable exit of perhaps $4B in a few years they would have to get their revenue up to something closer to $200M/year assuming you gave them a generous valuation on 20x revenue and completely neglect profitability. Given that Evernote primarily makes money from paid users they will need to dramatically improve conversion, or somehow figure how to get 10x more users. 200 million users strikes me as unlikely, and doubling conversion while also getting 100 million users does too. It's not to say it can't happen, but I just don't see it for a paid consumer service.
So Evernote is doing $18M a year on 750K paid users with 20 million free users. It has just turned profitable - company of the year? Let's not forget they've taken nearly $100M of investment at a nearly billion dollar valuation. Perhaps this is my east coast conservatism, but in the average case I just can't see how this works out well for the investors. To get a respectable exit of perhaps $4B in a few years they wo…
How exactly is this business model profitable for them?
So Evernote is doing $18M a year on 750K paid users with 20 million free users. It has just turned profitable - company of the year? Let's not forget they've taken nearly $100M of investment at a nearly billion dollar valuation. Perhaps this is my east coast conservatism, but in the average case I just can't see how this works out well for the investors. To get a respectable exit of perhaps $4B in a few years they wo…
"Evernote primarily makes money by paying customers" How exactly is this business model profitable for them?
A good example of solving a real problem people have, definitely a good approach. I'm an evernote user, I like it, but I see many possibilities for improving UI and features, it's worth trying IMHO.
I'd be very curious to hear more about how exactly people are using Evernote in their day-to-day lives. I installed it on my laptop and phone a year or two ago but I could never really figure out a use for it.
So Evernote is doing $18M a year on 750K paid users with 20 million free users. It has just turned profitable - company of the year? Let's not forget they've taken nearly $100M of investment at a nearly billion dollar valuation. Perhaps this is my east coast conservatism, but in the average case I just can't see how this works out well for the investors. To get a respectable exit of perhaps $4B in a few years they wo…
I don't know much about their business, but I'm guessing they are sacrificing a lot of revenue/profit for growth.
They could probably double their conversion by slowly dialing down the awesomeness of the free version in favor of the paid version. Could they do advertising/leadgen to their massive free audience? I'm skeptical, but it's a big/untapped asset. Is the data asset interesting? You never know.
They are clearly onto something-- I saw a comment here was someone said, "it's as important to me as email."
So Evernote is doing $18M a year on 750K paid users with 20 million free users. It has just turned profitable - company of the year? Let's not forget they've taken nearly $100M of investment at a nearly billion dollar valuation. Perhaps this is my east coast conservatism, but in the average case I just can't see how this works out well for the investors. To get a respectable exit of perhaps $4B in a few years they wo…
The fact that this is a fashionable valuation tells me everything I need to know about the market.
So Evernote is doing $18M a year on 750K paid users with 20 million free users. It has just turned profitable - company of the year? Let's not forget they've taken nearly $100M of investment at a nearly billion dollar valuation. Perhaps this is my east coast conservatism, but in the average case I just can't see how this works out well for the investors. To get a respectable exit of perhaps $4B in a few years they wo…
> assuming you gave them a generous valuation on 20x revenue and completely neglect profitability. The fact that this is a fashionable valuation tells me everything I need to know about the market.