How Foundr Built A $2 Million Community

Foundr is a media and education business aimed at ecommerce founders. A part of their business is the community that has more than 3000 paying members. In this deep dive, we're going to explore:

• Growth: How Foundr grows their user base;

• Revenue: How they make $2 million a year;

• Retention: How the company manages their community offering.

THE BACKSTORY

Foundr is a media company at heart. Founded by Nathan Chan in 2013, and initially launched as a digital magazine. Chan created it as a way to break into marketing after transitioning from a career in IT. The idea was to interview successful entrepreneurs to demystify their keys to success.

Chen and Foundr ended up with a lot of success on their own - in the first 4 months, he was able to book an interview with Richard Branson which accelerated further growth. Since then, Foundr has amassed millions of followers across their social media accounts.

More importantly, they've managed to create a multimillion dollar education business on the back of their distribution channels. 

THE PRODUCT

Foundr's community-led product is called Foundr+. The target audience are beginning ecommerce entrepreneurs who are looking to start and scale their business. 

When you join the community, you get access to Foundr's library of 30 courses, weekly live events and 3000+ member community. 

As an additional upsell, Foundr also offers a premium 1-on-1 coaching program where you get paired up with an experienced ecommerce entrepreneur. Around 400 members are a part of the 1-on-1 coaching program.

PRICING

Foundr+ offers a 14-day trial for $1. It has a couple of benefits:

• Low barrier to entry for users that want to try out their service;

• Foundr gets their payment information which reduces friction when the subscription renews.

Once the trial is up, you will get charged either $99/month or $499/year. 

During the checkout process, Foundr offers a $27 upsell for an info product bundle. To note: their checkout page is custom-built and the process is separate from a community-management platform. 

Once you've completed the payment for the $1 trial, you get redirected to an intermediary page where Foundr upsells the yearly membership plan.

If you decline that, another upsell is prompted, this time for a bi-annual membership:

They offer a 90-day money-back guarantee - offering “tangible results” during the first 3 months or you can request a full refund. 

With more than 3000 members, Foundr+ community generates at least $2 million per year. 

ONBOARDING

Once you've completed the payment, you are directed to a Thank You page which prompts you to RSVP to an Orientation call. That helps reduce friction and immediately involves the community member in a live event. 

Once you set up your login details, Foundr has an introductory landing page and an immediate demographic survey.

After completing the survey, you are once again prompted to book a time for an onboarding session explaining what you can expect and why you should do it.

Next, you're directed to Foundr's custom-built learning pathway that shows you where you are in the learning process, what are the next steps and what the is key milestone we're aiming to achieve.

It's a setup that allows your members to feel like they're a part of the learning process, and it reduces confusion which in turn leads to lower churn. 

Next, I wanted to check out the Foundr+ community which is hosted on Circle. 

Upon logging in, you're greeted with a pop up welcoming you to the community. However, seeing as I'm already on Circle at that point, it feels pointless to ask me to join Foundr on Circle again. 

However, the introduction to the community manager and CTA to download the app is useful.

Upon entering the community, you're immediately welcomed by a clear, unified color scheme design and an energetic video from the community manager with 4 clear action steps:

1. Updating your profile;

2. Download the app;

3. Introduce yourself; 

4. RSVP to an event.

You also receive an automated DM suggesting a few starting points on how to introduce yourself to the community:

THE COMMUNITY 

Foundr+ community is based on Circle and uses a minimal, yet efficient community setup.

Most members, who are not a part of the 1-on-1 coaching offer, will get 2 spaces to interact with other community members: Community Discussion (for a wide variety of topics) and Wins & Member Spotlights. 

Two live events are scheduled for next week, with an average of two events being held each week. These events typically include Office Hours-type of an event and discussions on specific topics. The standard format for these sessions is a 30-minute lecture followed by a 30-minute Q&A.

One of the weekly events is led by the community manager and the other is led by a subject matter expert. 

Foundr+ also organizes infrequent in-person meet-ups. 

Unusual: An interesting way they use the live events section is to promote their 5-day Challenge which acts as a lead magnet for new and existing users. 

During the challenge, they have created an ongoing live event which directs you to the landing page for the Challenge.

As a member, you also get access to the library of past recordings.

Foundr+ appears to be overseen by a single community manager, with founder Nathan Chan actively participating as a frequent commenter. Additionally, the community hosts a weekly guest speaker. 

If you're looking for a similar setup in your community, the expense of a guest speaker should be factored into the budget when estimating the community’s expenses.

GAMIFICATION

Foundr+ has activated Circle's Leaderboard feature, adding a gamification element to boost member engagement. Members earn 1 point for every like received on their posts or comments within the community.  

They offer four reward tiers, unlocked at levels 3, 5, 7, and 9, with increasingly valuable rewards at each stage. 

When creating a rewards system, it’s crucial to align the incentives with the customer’s goals and ensure the rewards contribute to their success. Foundr+ seems to have a solid structure, especially with the appealing rewards available at the higher levels.

ACTIONABLE TAKEAWAYS

• Onboarding. Foundr+ has mastered user onboarding, a common challenge for new communities, but crucial to shaping a member's experience. Their clear overview of what to expect in the coming month is exceptionally done. On a smaller scale, you could implement it as sending a DM with a 4-week plan.

• Video. Across the onboarding process, you will consistently see video messages from the founder or the community manager. Introduce a video welcome message when greeting your new members as a way of starting to build meaningful relationships with them.

• Upsells. Having carved their way through the ecommerce world, Foundr+ does not shy away from offering upsells during the checkout process. Even beyond the checkout process, lots of communities are leaving potential revenue on the table.