Interview with David Kim a.k.a. Scuttleblurb (2025) ๐๐๐๐ฐ๐ธ
Jan 17, 2025
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David Kim, an investment researcher and founder of Scuttleblurb, shares insights from his impressive journey in investment research. He reflects on Scuttleblurb's recent growth and the evolving dynamics of subscription services. The conversation also dives into the pitfalls of retail investing, emphasizing the need for analytical skills over mimicry. Kim discusses the shift to AI tools in research methodologies and highlights ongoing subscriber trends while maintaining content authenticity. Lastly, they explore market predictions and acquisition strategies amidst uncertainties.
The substantial pivot towards Substack significantly increased revenue streams and showcased a shift in audience preferences for in-depth investment insights.
David Kim's integration of artificial intelligence tools into his research process enhances efficiency while maintaining the importance of thorough foundational research.
Deep dives
Business Growth and Revenue Insights
The podcast outlines the financial performance of Scuttle Blurb for 2024, reporting gross revenue of approximately $310,000, which reflects a 9% year-over-year increase. This growth comes notably from a shift towards a Substack platform, which has grown to contribute 32% of total revenue, up from 21% in the previous year. While the WordPress side of the business experienced a revenue decline of 6%, Substack bookings surged by 65%, indicating a significant pivot in audience preference. This overall growth trend is set against a backdrop of recovery following a challenging financial environment in 2022.
Pricing Strategy and Market Positioning
A substantial price increase was implemented at the end of 2023, with subscription fees raised from approximately $220 to $320 per year, marking a 45% hike. This decision stemmed from a deeper understanding of the audience and the need to cater to a dedicated group willing to pay for high-quality investment insights. The effect of this price adjustment has led to a decrease in subscriber numbers, but overall revenue has continued to rise. Thus, the strategy aims to attract a more engaged and specific audience rather than a broad, casual subscriber base.
Audience Engagement and Content Strategy
The discussion highlights the characteristics of the audience that Scuttle Blurb aims to retainโthose who prioritize reasoning and analysis over quick stock tips or chasing popular investment trends. This audience is often comprised of passionate generalists who are interested in learning about businesses through a thoughtful exploration of industry processes. The writer acknowledges the challenge of retaining this specific audience while providing content that diverges from mainstream, actionable investment ideas, often pushing against typical market narratives. As a result, the emphasis remains on the rationale behind investments rather than superficial market excitement.
Research Methodologies and Technology Integration
The podcast also delves into the evolution of research methodologies, including the integration of artificial intelligence tools like Perplexity for enhancing information gathering and efficiency. While traditional research approaches remain crucial, AI complements the process by providing quick access to information on unfamiliar topics. The speaker emphasizes the importance of conducting thorough foundational research before leveraging AI to fill knowledge gaps. This hybrid approach allows for a more robust understanding of complex industries while maintaining accuracy in analysis.
One of my very favorite annual traditions is conducting this interview with my friend David Kim, aka Scuttleblurb (๐ต๐).
His investment research journal/company deep dives/business explorations were a key inspiration for this ๐ข steamboat. While the format is different, I hope there are similarities in the spirit. And I know that he has influenced and inspired many others โ especially the good ones!
In our conversation this year โ the fifth one! โ we explore the State of Scuttleblurb ๐, his analyses of key industries and companies from the past year ๐ญ, and our perspective on the market looking back at 2024 and heading into 2025 ๐ฎ. We also discuss the evolution of his research process and the new tools he's adopted ๐ ๏ธ.
I hope you enjoy listening as much as I enjoyed having the conversation!