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Comment by jcampbell1 | Hacker News Reader

The first guy was doing K-6th iPad stuff, and Paul didn't have much advice. Anyone interested in this space should checkout ixl.com. Most people haven't heard of it, but they are crushing it when it comes to K-6 math skills. By my estimation, they do something like $100M rev/year. As far as I can tell, they actively avoid the press as they don't want competitors.

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How do you come up with that number? According to http://www.edreform.com/Fast_Facts/K12_Facts/#ENROLLMENT, there are about 130,000 elementary schools in the US. Even if every single school in the nation used IXL, they'd only reach $25 MM in revenue. Given that IXL probably reaches some single-digit percentage of schools, $100 MM seems really high. Are parents buying this in droves?

You are sharply underestimating per-deal sizes for enterprise sales. $200 a class isn't so much to actually make $200 a class. $200 just establishes an anchor such that the school district demands a discount and you say "Alright, with 500 teachers teaching 4 classes each, we can let you have this for only $350,000 a year. That's a huge discount off our list price."

Welcome solidly to Enterprise Sales if you adopt this path, which has it's own set of challenges vs. e.g. selling to teachers directly. There are quite a few enterprise software companies which make good money. Some of them even produce good software, too.

40/60 school/parent revenue, and you are confusing "classes" with "schools". You should Google "dreft" to understand the shit parents do for kids in the US. Now google "1st grade math".

Interesting site but the navigation is a bit overwhelming and messing. It's not really clear what they are doing without digging around much. Thanks for sharing though.

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