Analyzed an AI-powered job search platform doing $350K MRR with 2 founders and 5 employees. They help individuals land remote and white collar jobs using personalized AI agents - democratizing access to tools that used to be exclusive to hiring teams.
But there's a strategic constraint holding them back.
The constraint: Sustaining performance marketing efficiency while expanding into new verticals and geographies. Although initial ad success validated product-market fit, continuing to scale into blue collar and local jobs may dilute existing messaging, increase customer acquisition costs, and strain their lean team.
My solution: Instead of scaling to blue collar and local work, the expansion should be to own the attention of not just job seekers, but also recruiters in the white collar industry. Owning both sides gives the platform huge leverage because then they can actually be a platform instead of just SaaS.
The SaaS to Platform transition: To go from SaaS to platform, they'd have to maximize distribution to the B2B category as well, showcasing the B2C distribution they already have. Blue collar and local work has less to do with resumes and more to do with in-person impressions and in-field certifications.
The distribution strategy: Distribution to B2B can be in the form of documentation, a content flywheel, simply showcasing the product's current situation, and the implementations it will go through to be a platform for recruiters as well. This creates a two-sided marketplace with network effects.
The monetization pivot: This direction can make the current SaaS functions freemium to get more volume of job seekers, then make charging recruiters the primary monetization vehicle. More job seekers attract more recruiters, more recruiters attract more job seekers - classic platform economics.
The AI advantage: Why would recruiters want job seekers leveraging AI for their qualification? People are leveraging AI anyway. With clear expectation that job seekers are utilizing AI for qualifications, recruiters can decipher which applicants are high quality through pattern recognition across AI-generated applications.
The strategic insight: Recruiters want workers who leverage AI for efficiency anyway. It's important to delegate vanity tasks to optimize for what's most important. The job seekers who use AI to replace their intelligence will be exposed by intelligent recruiters, while those who use AI for what matters least will be acknowledged.
Hope you found this valuable! :)