I was just curious how much agencies where making and how much it added to bubble’s revenue.
By my estimation, Bubble, is adding around $20M to $30M ARR (total) to its revenue thanks to agencies/freelancers. I checked a couple of numbers with agency owners, and they said the guesses are too low.
And I estimate that the freelancers/agencies are doing 40m to 80m (per year) in revenue from building apps with customers.
Here is the agency list and the calculations:
Hi Gaimed,
I am curious how you estimated the ‘projects created by agency’ and the ‘projects created by cust’.
Created by agency is data from bubble. Its how they rank the agencies. Those are the number of active client projects with a paid plan. And the other one is my estimate based on that and interviews.
Plus Plug-in revenue.
You are way off here. The assumption you’ve made is that every project build becomes a paying customer forever, which makes no sense.
Let’s try to remember that the vast majority of people who use Bubble are either hobbyists playing around with it (hence no revenue for Bubble) or Startups, and Startups have a 95% failure rate.
I would be surprised if it was 1/10th what you’ve suggested here.
I just assumed that like most cloud startups, growth of a few startups to higher plans make up for the churned startups. So 1 customer grows by 40x
Yeah, that is one massive assumption. Also, Bubble revenue doesn’t necessarily scale in proportion to the startup’s revenue. A tiny number of startups make all the revenue (far less than 1%), but hardly any of those will be on Bubble.
As an owner of one of the Agencies towards the top of your table, I assure you that the ARR column is off by at least an order of magnitude.
