Photoroom · product photo editing app
Sell your app's core tech to businesses as an API
Cohost credits business users for its stickiness; no numbers
Unknownupsell-expansionpositioning-niche
What they did
Photoroom sells an App Store subscription to prosumers such as Shopify sellers using it for business, then opened up its tooling as an API sold in a fully B2B motion.
What happened
Jacob attributes much of Photoroom's success to the stickiness of business use cases; no results given for the API.
In their words
Sub Club by RevenueCat · Building the Berkshire Hathaway of Consumer Subscriptions — Eric Crowley, GP Bullhound“I always like to shout out Photoroom, one of our customers and a friend of mine's app, because I would call them B2B in a lot of ways because they sell to like Shopify sellers.”
“but then you've also seen them pivot to opening up their tooling and selling an API now, right, which they are selling in a fully B2B motion”
Related topics
Get tactics like this every Monday
New tactics from the week's founder interviews, each linked to where it was said.
More from PhotoRoom
All 16 PhotoRoom tactics- Host a press-only store event with a famous comedian and a hobby brandNo branded search uplift, vs 18% in London; an expensive lesson
- Rent giant street screens where passersby try the app and see their photos15,000 people reached, 4M+ online views, 18% more branded search, trade press coverage
- Bring your ad makers to live events and reuse the footage in ads and posts4M+ views; TikTok-style clips did better than expected on LinkedIn
- Grow mainly through paid ads once the product clearly worksReached ~300M downloads and $50M+ ARR; later hit ad fatigue and rising CPAs
- Show the AI background remover in the first 6 seconds of every adLower CAC, higher conversion; opened Mexico, Brazil and Indonesia
- Judge brand campaigns by brand-name searches and surveys, not cost per installFreed the team to try new channels; claim only
More from this episode
- Bending Spoons: Borrow $600M from banks to buy famous apps that have been neglectedBought Evernote for a rumored $100M+; results not discussed
- Borrow no more than 2-3 times yearly profit to buy a subscription appLenders need $3-5M profit first; banker's rule from deals, no outcomes given
- Palta: Own several apps in one category and sell them as a bundle
- Lynda.com: Sell the same consumer courses to companies using the buyer's sales team