In practice if calendly gets a large share of the market and really can charge 100k/customer, competitors will pop up quickly and force pricing far lower.
For a long while many tech companies had no serious competition as startups stayed in their own lane, but thats no longer true.
E.g. people were saying the same things about Zoom and Slack, but now they’re a dime a dozen.
Amazon just launched a tiktok clone. Nothing is safe from competition, so dont expect outsized margins to last forever in your forecasts. First movers get a few years of runway before profitability will be pressured
Sure, every company has competitors. That doesn’t mean $3b is an unreasonable valuation.
Just commenting on the apparent assumptions made using the analysis above. Zoom is still worth $20B, but there were many who said it was worth far higher because they didn't consider or discount competition at all.
However, I also think Zoom is likely to fall quite a bit more from here. Their revenue is flat YoY and still valued at 30 PE.
If calendly links improve the top-of-the-funnel size by X% it would be very easy to justify paying them large amounts of money to do so. If I’m employing 50 recruiters why wouldn’t I pay calendly $100k/year or more to make them X% more effective?
You could argue for building your own, but it doesn’t make sense for every business to build their own, and I think it’s obviously the type of tool where a prototype would be easy to make but getting enterprise-ready would be challenging.