The AppSumo Way (our secret handbook)

Feb 22, 2024 1:32 pm

AppSumo over 15 years has become the #1 online site for software deals. Reaching over 1 million people a month and doing nearly $100 million a year in sales. 


How did we get there? One of the KEY things in starting or growing a business is your culture. 


But it didn’t start this way. In fact, when I used to work at Intel, I completely ignored culture. I thought culture was the neon signs with “Integrity” they plastered all over the walls. 🤮


As AppSumo has grown, however, I’ve realized that writing down your core principles and frameworks is essential to scaling your business so that people know how to operate.


Today, I reveal AppSumo’s Culture Handbook. (AKA the stuff that helped shape AppSumo into the company it is today)


Before we start… what is culture?


Culture is how people behave when no one is looking.


What people don’t often talk about or understand is that there’s a difference between the culture you write and the culture that actually happens.


Your culture handbook is a living document, not a cemetery. It’s a document that keeps updating and evolving. Here’s the AppSumo Culture Handbook 👇


1. This is your company.

2. Lead by example.

3. Double down.

4. Test, then invest.

5. Ask for forgiveness, not permission.

6. Default to sharing.

7. Owner’s only

8. Feedback is a gift.

9. Never forget the taco.


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AppSumo’s Top 3 Core Values


1- This is YOUR company.

If I had to summarize our entire culture into one point, it would be this one. AppSumo belongs to all of us. We hire adults that we trust to embrace this mindset.


After working at Intel, Facebook, and Mint, I realized what I wanted above all was to work with adults who took ownership of their work, could get stuff done, and were a joy to work with.


2- Lead by example.

What you do becomes the behavior others imitate.


A few weeks ago I blew up at Mitchell in a meeting. Doing that says we are okay with yelling at others. Or when I was busy and 5 minutes late to a team sync. That sets a poor example for everyone else. These were areas I’m improving as a leader setting the example.


If you want people to give more praise to others, then SET the example and praise often.


3- Double down.

When something is working, we double down on it. (Meaning go f*cking hardcore on it).


• When using affiliates as a marketing channel was working, we hired 5 additional people to grow this. 

• When lifetime deals became super popular, we decided to only do those types of deals. 


Instead of chasing new things, MAXIMIZE the things you know work.


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4- Test, then invest.

A core saying we have at AppSumo is “Test, then invest”.


We want our teammates to try new things. In fact, we love failures because they’re a great learning moment!


But here’s the thing:


Instead of spending a lot on something unknown, how can we find out if it’s working quickly and for a low cost?


• Hiring a new teammate? Start with 1 month paid trial.

• Buying new software? Start with 1 month, not a full year.

• New marketing idea? Start with a small group of customers.


Once we can validate our idea on a small scale, then invest big time.


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5- Ask for forgiveness, not permission.

As most companies get larger, rules and policies get put into place.


That slows things down. No one wants to sit around waiting for their boss’s boss’s boss to approve their idea. 


Good Judgment > Good process


6- Default to Sharing.

Many people come to work at AppSumo because we’re an entrepreneurial bootcamp for entrepreneurs.


At my previous jobs I was always wondering what was happening in the business.


That’s why our KPI sheet, board notes, monthly business reviews and budgets are available for all Sumos to view (Inspired by Ricardo Semler of Maverick).


People not only learn more but also make better decisions.


And when people make better decisions, we build a better company.


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7- Owners Only

Committees are where great ideas go to die. Ownership helps people be accountable for the wins and failures.


We should know WHO is responsible for WHAT by WHEN.


It does not mean we can’t get feedback. It means we need clarity about responsibility. 


8- Feedback is a gift.

Feedback is encouraged.


If there is a problem, we bring it up respectfully and directly. We don’t go behind someone’s back and sh*t talk them.


Feedback allows us to improve. That’s how we get better as a team.


We aren’t always going to agree. In fact, we often ask others to play devil’s advocate for our ideas so that we know we’re covering all the bases.


The best ideas come out of hard conversations and feedback.


How can you implement feedback into your company and processes?


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9- Never forget the taco.

As we’ve gotten larger, it’s easy to take the bland, safe route.


It’s death by a thousand cuts.


AppSumo is the only company I know to ask for customer reviews in tacos, not stars.


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We love 5 taco reviews :)


‘Never forget the taco’ is a reminder to not become lame.


Because THAT is what culture is at its core… not forgetting who you are.


Never forget the taco. Never forget who you are.



Check out our full AppSumo Culture Handbook. Hope it gives you some ideas for your own company culture. 💚 



Be Epic,

Noah


PS – Want to join the AppSumo team? We’re hiring! If you have any questions or comments, feel free to slide in my DMs :)


PPS – If you want to create your OWN million dollar business, Grab a copy of Million Dollar Weekend.

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