Outlined here are October's feature updates to Outfield app for Field Sales Reps, Field Marketers, Territory Managers, and Field Sales Directors
Letter To Shareholder’s Update #1
May 22, 2022
Hello there Outfield investors and prospective investors. This is the first of many reports you’ll receive from us. In our efforts to be completely transparent, you can expect to hear from us at least once a month; sometimes more often. Also, over the course of our relationship together, feel free to reach out direct with any questions you may have.
As a Founder and CEO of Outfield, I’m truly excited about where we’re going within the marketplace, but before I dive into that, let’s review the last few months.
Since January we’ve returned Outfield to profitability for the first time in 2 solid years. January – April of this year, a 40% profit margin (cash accounting) has been generated. In the black is where we feel most comfortable in terms of sustainability and, quite frankly, has been our mode of operation as a bootstrapped start-up for most of our company’s existence.
If you’re wondering how we achieved this after 2 years of burning through about 40k a month in cash, I’ll point to the two main drivers:
Labor makes up a large percentage of our company’s total operating costs. About 65%-70% to be exact. Since December, we have shaved headcount in our cost centers along with positions where we haven’t seen a clear ROI.
Hiring of Key Positions
We removed customer retention and growth responsibilities from our Account Executive department and created an Account Management department to handle these functions. Separation, specialization, and focus has contributed to the growth of our current customer base in terms of overall spend.
As we speak about revenue, please be aware that sometimes we speak in terms of Cash Accounting. In other instances, we may speak on an Accrual Accounting basis.
January through April, Outfield has generated 675k (cash accounting) in revenue. That puts us on pace to generate at least 2m in revenue for this calendar year. Over 100% growth year over year. This is assuming that our cash position stays the same. Growth capital can significantly change our revenue projections.
We are currently seeking out talent that will expand the headcount of our sales organization. Adding sales people diversifies and expands our sales capabilities while insulating us from the instability of any potential sales rep churn. We believe we can achieve a 4x-5x ROI across all sales orgs.
Marketing spend as a percentage of total costs is expected to increase month over month in order to generate more prospective customers. More specifically, our focus will be on Google Ads and potentially other digital ad platforms
As many of you may be aware, Outfield is positioning its platform in the marketplace as “the gamified CRM”. We are taking a more modern approach to driving CRM adoption and proper utilization to boost our customer’s sales rep performance.
Over the next few months we will be releasing a ground breaking expansion to our League Play™ tech. This next phase of League Play™ won’t be just about leaderboards and goal setting, it will include fantasy sports type matchups among sales reps – local and global matchups.
Local: Users of the same company will compete with each other in weekly head to head matchups.
Global: Users of Outfield will find themselves competing with individuals across other companies in weekly head to head matchups. And eventually, this will morph into companies competing against other companies.
As I mentioned, we are excited about our approach to leveraging game theory to drive sales rep performance. With the millennial generation getting ready to dominate the workforce, we believe this is the perfect time for introducing a new approach to CRM.
KEY TAKE AWAYS
- Outfield is now profitable again.
- We are focused on expanding our sales and marketing capabilities
- We are set to introduce more ground breaking tech to the CRM space.
CEO @ Outfield