Expanded Model with Astounding User Results
Dear Investor,
As usual, I want to start by expressing gratitude and excitement to you for your continued support, and I hope each of you are doing well during these continued crazy times.
In our last update, I started giving more color to our Applaudable platform. The results we previously saw through early user testing had been promising. They’re even better today. While the platform is very much still in beta, we have been continuing our user acquisition testing and the results have honestly been astounding, with a ~50% enrollment rate among invited users. We believe we can achieve user growth in line or beyond that of the most prominent social platforms of our times, projecting 3x faster growth during our pre-launch than Clubhouse experienced in the 6 months after their launch. With no revenue, their user growth reportedly led to a $4 billion valuation in less than 2 years.
Given the significance our expected user growth would have on our valuation, we have slow-rolled our Series A, planning on launching it simultaneous with Applaudable being released from beta. We expect we will open the round in September. As I’ve stated before, we are obligated to make $2 million of the raise available at a $36 million valuation, however beyond this early allocation, we believe there may be basis for increasing this substantially and we will look closely at whether to shut down the offering once the initial $2 million is raised, and subsequently relaunch it at a higher valuation.
Moro and Applaudable have a symbiotic relationship, sharing user attention, content, and data. For the foreseeable future, this will be the nature of the relationship between the two. When the Advertiser and Affiliate programs are enabled for Applaudable in the future, we expect a tighter integration whereby the home furnishings category on Applaudable will be captured by the robust Moro marketplace we continue to develop. We believe dozens of other verticals – fashion, food, electronics, fitness, jewelry, etc. - can be monetized on Applaudable through advertisers and affiliates.
We are starting to give many of you access to register and reserve your usernames. Please jump on that! And we look forward to getting you on the platform as soon as possible.
We are still not accepting early investments but will keep you updated on when that may start and are doing our best to ensure that existing investors will have access to the round. Lastly, check out my Founder Story Video on Instagram which shows some of the journey to where we are today.
With gratitude,
Andrew
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Andrew Christodoulides
Founder & CEO: Applaudable, Moro
w. moro.com // applaudable.com
Check out my Founder Story Video on Instagram