How Designjoy got from 0 to 120k / month with no paid advertising
For the uninitiated, Designjoy is a design company that offers services through a subscription model and without the need for constant communication. Founded by Brett Williams, it has managed to scale from $0 to $120,000 per month without spending on advertising and marketing. And all this is managed by one person. To achieve this, there are a number of important aspects to take into account, which I have analysed in this short case study.
Development History Brief
Initially started as a side project, it offered subscriptions at a very low price, earning about $800 per month. Visibility and initial customers came from social media, forums, communities, etc.
The turning point was a viral tweet about the company, which increased its monthly revenue from $80,000 to $160,000. This was likely from an influential client or an industry blog. Following this event, it raised its prices and decided to be more selective with its client intake (via calls).
Strategy
The subscription model allows clients to pause their services, offering flexibility to both the clients and the company.
Using Trello as a method of client-company communication has enabled efficient work without the need for constant contact.
It later introduced an affiliate system as an additional marketing tool (through Rewardful).
Marketing
The product was initially launched on Product Hunt, where it acquired its first customer. It managed to attract attention and spark discussions, especially among key and influential clients.
Much of the marketing effort was made by participating in online communities such as Indie Hackers, on Slack channels, Twitter, Facebook groups, and subreddits. This created a network of trust and consequently attracted customers through interactions and sharing. Indie Hackers, in particular, was used as a platform for sharing updates, interacting with other entrepreneurs, and receiving feedback. Besides building a network, it increased Designjoy's visibility over time.
Active participation, relationship building, learning from others, and meaningful collaborations were key.
Pricing
$449 → $849 → $1299 → $1599 → $1999 → $2499 → $2999 → $3499 → $5000
Starting with a low price allowed it to gain many subscribers in the initial launch phase. As the number of subscribers increased, so did the package cost.
The cost for an already subscribed client never changes from the first price they paid. However, if they cancel their subscription, they lose it forever. This way, many clients never unsubscribe even if they use the service sparingly.
Designjoy's is certainly a unique and interesting case that needs to be studied. The strategies adopted can also be considered for businesses and fields other than its own.
What do you think of this case study?
I have always wondered if this would work for software development.
Does anybody know of any agencies trying this?
We are attempting it, but on the data side (DE + DS).
Can't post links yet:
convergentsoftware (dot) pro
good question! I see a lot of design agencies doing it, but not software.
We've recently started a mobile app development as a subscription service at tappr.dev. We think one of the keys for a software development as a service is specialization.
I just saw your site and it seems to be really interesting. However, let me say that in my opinion there are some things that are unclear, or that if I were a potential customer I would want to see, such as what languages you use, modus operandi, etc.
This is what I'm trying to do with my company, I can't post links though haha.
Steve Schramm has a YouTube channel dedicated to web dev subscriptions.
There are quite a few agencies that use the subscription model.
Tbh I’ve never heard about a service of that type, but I’ll do some research. I think that it’s very interesting, but I’m not very expert in that field. But if someone know the software development well and wants to discuss about the possibility of creating that type of service subscription, I’m open to it!
I think it would work with specific scopes, not big projects
Yes I would see it for optimisation, for those who already have software and need to make changes, not for companies that have large teams and can manage it in-house
Congratulations, such an inspiring article. I like this part specifically:
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However, if they cancel their subscription, they lose it forever. This way, many clients never unsubscribe even if they use the service sparingly.
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Thank you! That’s a very interesting point of a strategy to keep your clients. It’s another way to create a loyal program for clients, and the “fear” to lose it it’s a strong incentive to keep your subscription active
Cool!
Thanks!
With little money spent on traditional marketing or advertising, this DesignJoy case study provides valuable insights into how a design firm increased operations and revenue.
It gives important information, and especially in a new field for design. The revolutionary idea of offering a graphic design service as a subscription product is something that did not exist and was able to realise it, create interest and sell it. This makes you realise that when you have a good idea in your head and develop it in the right way, you don't need to sell it, people will come to you
I was actually intrigued by design joy, I forgot where I found it. I think my friend told me to look into it and was excited by their concept for design that I wanted to do it for data.
Still working on that idea but for sure an inspiration!
The idea of a service turned into a subscription product is really interesting, and is certainly an important factor to be considered and analysed. There are certainly many other areas where this method is applicable that have not yet been exploited.
Oh certainly , and I will exploit it for sure.