#51 - Build A Successful Shopify App - $60K PLAN 🚀

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Heeeeey Shopify App Founders! 😁

Happy to have you here for another email. This is the 51st one already!

What a journey! I feel like I launched this newsletter yesterday. 🤩

And let’s talk about my week!

I think we reached that point on WideBundle where churn is equal to new paying users. We’re not really growing and the total users doesn’t change.

I knew it. There is a formula you can find on Google: https://www.nickelled.com/saas-resources/growth-ceiling-calculator/

Where basically you can predict your maximum MRR based on your metrics.

So I could determine when I would reach it so we could prepare a plan in advance.

Because I made a mistake when I reached $25K MRR and didn’t grow. I didn’t calculate it, I didn’t know I wouldn’t be able to grow more than that.

That’s why we got stuck for so long at $25K.

But this time I knew! So I could prepare the next plan 😏

There are 2 ways to keep growing and they’re pretty simple:

1) Get more paying users

2) Get less churn

And obviously, you have different ways to accomplish both.

If you want to get more paying users you don’t necessarily need to look at user acquisition.

Here is what you can look at:

• Improve activation rate (get more people who do the onboarding so more people that convert at the end)

• Improve conversion rate (get more people going from free or trial to paying users)

• Improve conversion rate on the Shopify App Store (get more visitors that install your app)

And you don’t need to get more people in your funnel for these steps. You should check those metrics before acquiring more people (as it’s easier to improve the funnel with existing installations rather than trying to get more eyes on your product 👀).

Another point:

I am thinking about doing 4 hours of consulting per month (1 hour a week).

I didn’t want to do it initially as I was focused on my own business.

But every day I have 1-3 people asking me for it. So I will soon open a few consulting calls.

If you don’t want to miss the slots, follow me on Twitter: https://twitter.com/DsMatie

I shared on Twitter how I plan to reach $60,000 by the end of the year. It’s quite a challenge but I’m optimistic!

Here it is so it can inspire your own plan:

1. Improve foundations

2. Fixing churn

3. Increase ARPU

4. Add more paying users

These are the 4 steps needed to grow the way I want.

And for each of these “goals” we have sub-goals:

1) Improve foundations

a. Refactor code

b. Improve our settings page (so it’s easier to change settings)

c. Improve our internal doc (support processes)

d. Hire 1 person on customer support (to handle new users)

2) Fixing churn

a. Keep engaging with users (so you understand why they leave)

b. Improve support (reduce the number of tickets by fixing issues and tweaking things)

c. Adding more monthly plans (so we can reduce revenue churn)

d. Target better people (we look at our power users and try to understand their needs and how they found us)

3) Increase ARPU

a. Increase prices (that one is obvious, give more value and increase prices)

b. Add monthly plans (we add more features people need and redirect them to these plans)

4) Add more paying users

a. We’ll do video content, you already know that (TikTok, Shorts, Reels)

b. Affiliates/Partnerships (It’s still part of our strategy you know it)

c. Blog (Write SEO articles to bring more users)

That’s how I plan to reach $60,000 MRR!

That’s it for today’s email!

I hope you enjoyed it! Feel free to share my newsletter with someone else: https://news.matdesousa.com/

See you next week,

Mat