In this podcast:
01:18 - LeadPages’s recent acquisition
04:28 - Why keep two businesses separate?
08:44 - Taking over a company
11:47 - Making adjustments
13:19 - What is Drip?
16:57 - Getting to the next level
18:48 - How the partnership started
22:16 - What's happening now with Clay?
25:04 - A myth about CEOs
38:42 - 3 things to investigate if you're considering taking on a business
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Transcription:
James: James Schramko here, welcome back to SuperFastBusiness.com, and I've brought back a regular guest to our show, Clay Collins.
Clay: James, thank you for having me back.
James: Thanks for coming back. We've been chatting for years now. I can actually say years, as we chart your stratospheric progress from living in a closet to funded company. I don't mean that literally, I just mean that you used to make little videos underneath the staircase, and hustle a little bit for your marketing podcast, and you did a bit of software, and welcome gates, and video players, and ended up into this lead thing that's blown up pretty big. And now, it looks like LeadPages is moving into some new space, and that's something I'd love to ask you about, if you're willing to share today.
Clay: I'm all yours.
LeadPages’s recent acquisition
James: So what happened between the last time we chatted and now? It seems that you've acquired a business?
Clay: Yeah. I like to use the term acqui-partner, but I think the last thing this space needs is another jargony new term. But yeah, I guess we technically acquired a company called Drip, but what I care about primarily is the partnership that we now have with a new group of people that's building out a new line of business for us.
James: And tell me about some of the decisions that come into this. I'm really curious about it from a business perspective. What would cause you to partner or take over a business unit rather than develop it in-house?
Clay: You know, I think for us, it's about speed and also expertise. I think that some people have more money than time, and some people have more time than money, and we're in the camp that has more money than time. I also think that, we, as a company, have a particular bent, I have a particular bent as a product person. And there was an opportunity to partner with Drip, and that includes the two co-founders Rob Walling and Derek. Rob and Derek have a different set of backgrounds, proclivities; they have a different approach to product. And that is a huge asset to bring to the table. I think for most companies, the only way to add additional, real, founding DNA is to bring some more founders into the team, and we were able to do that with Rob and Derek. And it's been a rocket ship ever since. When we acquired Drip, they had about 1,500 customers. Right now, we're adding about 1,500 customers per month to the platform, and we expect that to continue.
Not just a cross-sell
And interestingly, getting in the numbers here, only 10 percent of those new customers that we're adding are LeadPages cu...