Dubsmash Journey:

  • Dubsmash scaled to 43 million users in just 10 days
  • They received funding from some of the best in the business
  • Battled TikTok, an opponent like never seen before

Suchit Dash's Background:

  • VP of Core Product Experience at Reddit
  • Responsible for surfaces that millions of users interact with daily
  • Cofounder of Dubsmash, a short video platform acquired by Reddit in 2020

Founding of Dubsmash & V1:

  • Dubsmash was a lip-syncing app that allowed users to record videos and send them to friends
  • The secret to scaling V1 was its simplicity and ability to create viral content
  • The team faced challenges with retention numbers early on but learned valuable lessons

Data: Retention, Cohorts, and The Smiley Face:

  • Specific data used to understand product-market fit included retention rates and user cohorts
  • Good retention was around 30% after 30 days, while great retention exceeded that percentage
  • Observing net new user cohorts helped identify trends and analyze user behavior
  • The "smiley face" referred to the return of users who had previously stopped using the app

Battling TikTok:

  • TikTok's success was attributed to their aggressive spending on ad targeting through platforms like Facebook and Snapchat
  • TikTok leveraged existing networks and influencers to quickly acquire users
  • Lessons learned included understanding competitor strategies and finding ways to differentiate from better-funded incumbents

The Decision to Sell: Being Acquired by Reddit:

  • Suchit decided to sell Dubsmash because they realized they didn't have enough resources or team culture to compete with TikTok effectively
  • Failed acquisition attempts led them to consider partnering with another company instead of raising more money or competing directly with TikTok

Mindset as an Entrepreneur:

  • Focus on key problems and finding product-market fit
  • Maintain intellectual honesty and realistic expectations
  • Have stamina to persevere through challenges and setbacks

Mindset as an Acquired Founder:

  • Embrace collaboration and work with other teams in a larger company setting
  • Effective communication is crucial for alignment and success within the organization

Future of Video and Monetization:

  • Video formats can be challenging for monetization due to limited ad space compared to text-based platforms
  • Each platform needs to find its own unique approach to video monetization based on user behavior and preferences

Challenges with Video Monetization:

  • Video formats can be challenging for monetization due to limited ad space and potential user resistance to ads interrupting their viewing experience.
  • Platforms need to strike a balance between delivering engaging content and incorporating ads in a non-intrusive way.
  • Finding innovative ways to integrate branded content or sponsored videos can provide opportunities for monetization without disrupting the user experience.

The Value of User Communities:

  • Dubsmash found success by tapping into specific user communities, such as dancers and creators, who were motivated by building their own followings and earning cash.
  • Building strong communities around shared interests can create loyal users who actively engage with the platform and contribute valuable content.

Importance of Intellectual Honesty:

  • Being intellectually honest about product-market fit is crucial for making informed decisions and pivoting when necessary.
  • Recognizing when a product isn't resonating with users allows founders to focus on finding solutions or consider alternative paths, such as partnerships or acquisitions.

Lessons from Competitor Battles:

  • Facing competition from well-funded incumbents like TikTok requires strategic thinking, differentiation, and understanding competitor strategies.
  • It's important for founders to stay focused on their unique value proposition and find ways to stand out in the market.

The Role of Transparency in M&A Processes:

  • Transparency during an acquisition process can help build trust with potential acquirers but should be balanced with maintaining confidentiality until deals are finalized.
  • Communicating openly with investors about the decision to sell can help manage expectations and gain support throughout the process.

Different Mindsets as an Entrepreneur vs. Executive:

  • As an entrepreneur, focus, intellectual honesty, stamina, and adaptability are key mindsets for navigating challenges and driving growth.
  • As an executive at a larger company, collaboration, effective communication, alignment-building, and adapting to different organizational dynamics become critical skills.

The Future of Social Video Platforms:

  • The success of platforms like TikTok highlights the value of connecting users around shared interests rather than solely relying on social graphs.
  • Building communities based on specific content types or interests can create engaging and valuable experiences for users.

Reddit's Purpose and Feed Paradigms:

  • Reddit is known for its ability to connect people through conversation, entertainment, and information.
  • The goal is to elevate conversations and make them more central in feed products.
  • Current feed products bury conversations with a single icon, which needs to be rethought.
  • Rethinking feed paradigms is necessary to align with what motivates customers.

Best Product Decision:

  • Pivoting the entire company of Dubsmash towards the Stance challenge platform was the best product decision.
  • It was daring, bold, and scary but proved to be the right move.
  • Delaying the pivot would have resulted in running out of cash.

Listening to Users:

  • Framework: Listen to what users love, monitor their actions, acknowledge what they hate, and take ownership if needed.

Facebook as a Copy Machine:

  • Facebook is not just a copy machine for consumer social.
  • They are an execution machine that occasionally comes up with original ideas.

TikTok's Strength:

  • TikTok's biggest strength today is its disregard for privacy and conventional rules.

Choosing an Investor:

  • Nihal Mehta from ENIAC would be chosen as an investor for the next company.
  • He stuck with Dubsmash through thick and thin and was always a champion.

Books:

  • "Execution: The Disciplines of Getting Things Done" by Larry Bossidy and Ram Charan
  • "Start with No" by Jim Camp (negotiations)
  • "Wanting" by Luke Burgis (mimetic theory)

Audio Piece:

  • Hans Zimmer soundtrack