Metriculous 2023

Alignment and Context Building

Retrospective for the Year

Here are some of our achievements for the year:

Key Achievements

• Growth in Customer Base: We successfully grew our customer base to 1,500 SMBs (from 902 last year), a testament to the reliability and user-friendliness of Metriculous Core.
• Customer Satisfaction: Despite some limitations, our core product continued to receive positive feedback for its basic bookkeeping capabilities, especially from microbusinesses and small enterprises.
• Market Recognition: We gained recognition in the SMB sector for our dedicated customer support and affordable pricing model, which helped in retaining a significant portion of our customer base.

Challenges Faced:

• Plateau in Product Development: Adoption of the newer features introduced in the backend and the newly launched mobile app was tepid. As of now, only 27% of the customer base downloaded the app.
• Market Evolution: The rapidly evolving needs of SMBs, especially around advanced financial insights and analytics, outpaced our product's capabilities, leading to a growing gap between customer expectations and our offerings.
• Competitive Pressures: The year also saw intensified competition from both established players like Quickbooks and Oracle Netsuite and emerging startups. Their movements, especially in acquisitions, indicated a shift towards integrating more advanced financial tools.

Product Metrics & Lessons from Customers:

Our product, Metriculous Core, is currently serving approximately 1,500 small business customers. Priced at $30/month, it brings in about $90,000 in monthly recurring revenue.

Despite its steady performance, we've noticed that growth has slightly plateaued throughout 2023. This stagnation is reflected in our retention rate, which stands at 61%. Many SMBs find that as they grow, they outgrow the basic capabilities of Metriculous Core and move on to more advanced solutions.

Customer feedback and discussions with our support team have revealed a significant gap in the market. Many small business owners are still heavily reliant on spreadsheets and intuition for key financial decisions, like projecting revenue growth or identifying cost-saving opportunities. This reliance often leads to missed opportunities and less-than-optimal business decisions.

There's a noticeable demand among SMBs for an intelligent, data-driven tool that can provide deeper insights and accurate forecasts, enabling smarter, evidence-based decision-making. This need is particularly acute for businesses that can't afford dedicated finance staff or lack the expertise to conduct in-depth data analysis.