Chat Thing

Client

Pixelhop! We were the client! We have always wanted to diversify Pixelhop’s revenue, and balance client work with our own in house product. After many many projects that we began and never saw through, it felt good to finally change that with Chat Thing.

The problem

True story, this all started because we had a bit of an existential crisis one weekend and were worried about our jobs as designers and developers. Instead of quivering and shying away from it we used it as an excuse to learn more about AI. So we racked our brains and came up with Chat Thing. An easy to use platform that allows users to use their data from different sources and create their own bots. We wanted a no code solution opening up AI possibilities for almost anyone. After a hackathon weekend we had our MVP and Chat Thing was born.

Pixelhop’s approach

SPEED! Just get it out there…

Our approach was essentially speed, we didn’t wait for things to be perfect and polished before getting it out. We designed > built > launched > adapted > repeat.

Chat Thing was a weekend project that quickly rocketed. We didn’t have the time to spend on getting it absolutely perfect from the start, we had to build, get it out and adapt.

We started small and basic then build form there. We decided to start by connecting it up to Notion, where so much of our Pixelhop work is (employee handbook, project management, proposals, documentation etc etc). From here we could create bots and showcase Chat thing.

In under a week we had a working prototype, we recorded some videos and shared to see how they were received. Eventually people seemed to be getting excited. We weren’t ready yet to launch, so we created a really basic page where people could sign up to show their interest, and to see how many people would sign up.

We couldn’t believe we got a couple of thousand people sign up in less than a month.

At this point we hadn’t really thought of all of the possibilities, or where Chat Thing could really go. To be honest, we still don’t know all the different possibilities as the opportunities are endless.

Strategies Employed

• Bootstrap Approach: Chat Thing was developed and launched without external funding.
• Fast Prototyping: The initial idea was prototyped on February 27, with a working model by March 5.
• Waitlist Generation: A basic landing page and strategic posting on Twitter generated a growing waitlist of users eager to try the product.
• Phased User Invites: Began inviting users from the waitlist in small batches to control growth and user experience.
• Name and Brand: The name “Chat Thing” reflects the versatility of the AI bots that can be created using the platform.
• High-Profile Support: Recognition and support from Seth Godin and Dave Winer boosted credibility and exposure.

Results

• Revenue Generation: First paying customer signed up on March 22, and by June, monthly recurring revenue reached £5,000.
• User Engagement: More than 5,300 users have created nearly 4,000 bots within three months.
• Product Evolution: From a single data source and chat channel at launch to supporting multiple data sources and chat channels like Discord, Slack, WhatsApp, and an API.
• Recognition: High-profile users like Seth Godin and Dave Winer have adopted the platform for their content.
• Improved Features: Ongoing updates to product features based on customer feedback.

Next Steps

• MRR Goal: Aim to reach £10,000 MRR, which would make the project self-sustaining and allow for re-investment into the product.
• Feature Development: Implementation of new features and improvements to differentiate Chat Thing from competitors.
• Marketing Efforts: Address current lack of marketing to aid further growth.

Conclusion

Chat Thing has successfully launched as a bootstrapped side project, quickly gaining traction and revenue. Despite the initial challenges and competition, the product has attracted a significant user base and high-profile endorsements. With continuous improvements and strategic marketing, Pixelhop aims to solidify Chat Thing's presence in the market.