How SurveyMonkey Makes Money

TL;DR

SurveyMonkey, a long-standing SaaS company, offers survey design and distribution services with a majority of individual accounts.

Transcript

Dylan Lewis: The company that we are talking about today, SurveyMonkey, was founded in 1999 and has enjoyed quite a lengthy lifetime as a private company, kind of an under-the-radar unicorn. Evan Niu: Right. The brand's been around forever. I recognize it from high school. This was right when everyone was going on the internet and you'd take these ... Read More

Key Insights

• 😖 SurveyMonkey, founded in 1999, offers survey design and distribution services.
• 🤪 The company recently went public under the ticker SVMK.
• 🥶 Pricing ranges from free to over $1,000 annually for different functionality.
• ❓ The majority of SurveyMonkey accounts are individual, with 12% revenue from enterprise customers.
• 👤 SurveyMonkey has similarities with Dropbox in user base and monetization strategies.
• 👤 The service has 60 million registered users, 16 million active users, and 600,000 paying users.
• 👤 Conversion rate from active users to paying users is roughly 4%.

Questions & Answers

Q: How does SurveyMonkey's pricing model work for individual and enterprise customers?

SurveyMonkey offers free and paid tiers for individuals ranging from $37 a month to over $1,000 annually. They also negotiate pricing for enterprise customers, with a majority of accounts being individual.

Q: What percentage of SurveyMonkey's revenue comes from enterprise customers?

Roughly 12% of SurveyMonkey's revenue comes from enterprise customers, with about 3,000 organizational customers out of 615,000 total paying users.

Q: How does SurveyMonkey compare to companies like Dropbox in terms of user base and monetization?

SurveyMonkey has 60 million registered users, 16 million active users, and 600,000 paying users, reflecting a conversion rate similar to Dropbox's model of converting free users to paid subscribers.

Summary & Key Takeaways

• SurveyMonkey, founded in 1999, recently went public after years as a private company.

• The company offers free and paid tiers for easy survey creation and data collection.

• Despite mainly individual accounts, SurveyMonkey also serves enterprise customers.