Nerd Out on Business

Nerd Out on Business
Archive
Page 6

A Powerful Lesson in Operating Leverage

Gyms are a high-fixed-cost business. Rent, staff, and maintenance don’t change much day-to-day. Life Time shows what happens when revenue grows faster than those costs, and why you should care about utilization and operating leverage.

Nick Horob

Jan 22, 2026

Planet Fitness Has a Surprisingly High Competitive Moat

Planet Fitness might look easy to copy on the surface. But it has a surprisingly durable moat that comes from density, repeatability, and very specific positioning.

Nick Horob

Jan 21, 2026

How a 1% Margin Business Actually Works

BBB Foods runs thousands of small grocery stores in Mexico and somehow makes it work on razor-thin margins.

Nick Horob

Jan 20, 2026

Per-Seat Pricing Is About to Get Stress-Tested

Per-seat pricing made Arco easy to buy and easy to renew. Now AI is changing customer expectations around software pricing altogether.

Nick Horob

Jan 19, 2026

Does Losing Money Make Sense?

Today I'm trying to take a common sense look at Hashicorp's sales and marketing expenses as it relates to its NRR. Their operating margins are ugly, but can they be justified?

Nick Horob

Jan 18, 2026

Why IBM Bought a Money-Losing Software Company

HashiCorp was still losing money when it sold for over $6B. The key was its net revenue retention north of 120%. This report takes a closer look at that metric.

Nick Horob

Jan 17, 2026

Premium Brands Have Hidden Complexity

On makes premium shoes. But their premium pricing removes your ability to discount away mistakes. A brand-led premium priced business needs to nail operations and forecasting.

Nick Horob

Jan 16, 2026

Another Case of Where Being Spec’d-In is Key

Ingevity’s products live inside emissions systems and road specs. The business shows how being designed into workflows is their version of sales and marketing.

Nick Horob

Jan 15, 2026

When Your Factory is Your Product

Enovix makes next-generation batteries. Their current revenue is tiny compared to their valuation and their operating losses. At this point in their life cycle, building performant manufacturing, and getting designed into growing products is their lifeline.

Nick Horob

Jan 14, 2026

The Beauty Brand That Behaves Like Software

Oddity runs 70%+ gross margins and almost no CapEx. This report explains how outsourcing, data, and personalization create an unusually capital-light model.

Nick Horob

Jan 13, 2026

How To Design a Customer Loyalty Program

More than 95% of Ulta Beauty's revenue comes from loyalty members. They present an interesting case study in how to intentionally design a customer loyalty program.

Nick Horob