Entrepreneurs are constantly finding new ways to make money from AI. An example of successful entrepreneurs who have made this happen are David Szabo-Stuban and his friend Dave, the co-founders of Promptmaster – an online AI learning community that raked in $225,000 in its first six months!
David Szabo-Stuban and Dave tapped into the rising interest in AI education and built a strong community that helps people and businesses understand this fast-changing technology.
With detailed training programs, one-on-one mentorship, and a supportive community, Promptmaster quickly became a popular platform for anyone wanting to improve their AI skills and stay updated. This case study looks at the key strategies, challenges, and milestones behind Promptmaster’s success in such a short time.
Getting started
David Szabo-Stuban started exploring AI long before ChatGPT became popular. With a background in Machine Learning and experience running a business that relied on it, he was ready to dive into AI. In November 2022, he became fully involved with ChatGPT and its API, spending countless hours on projects.
As David shared his knowledge, his friend Dave, a former teacher, saw the potential for a teaching venture. They hired an ML professor from Frankfurt and created a prompt engineering course that quickly made $30,000. This success motivated them to build something bigger than just another online course.
Seeing the demand for AI skills, David and Dave decided to use their strengths to create a learning community that helps people and businesses understand this rapidly changing technology.
That’s how Promptmaster was born, aiming to be a top spot for AI education and training.
This early success and the founders' vision laid the groundwork for Promptmaster’s amazing growth in the months that followed.
The turning point
In September 2023, something unexpected boosted Promptmaster's success. One of their Instagram reels caught the eye of a ChatGPT plugin developer with 250,000 users. This led to a collaboration for a live webinar, marking Promptmaster's first official offer.
The response was huge. Over 2,000 people signed up, 700 attended, and Promptmaster made $40,000 in the first month. This partnership not only boosted their business but also validated their approach to AI education.
Out teaching the competition
In a market full of what David calls "90% snake oil salesmen," Promptmaster chose to stand out by teaching better than anyone else. Instead of just relying on content, they focused on great customer satisfaction from the start.
David and his team dedicated themselves to exceptional service, always aiming to improve and solve clients' problems. This customer-first approach became key to their success, creating a loyal community of happy learners.
By outteaching others and putting customers first, Promptmaster built a strong reputation and became a trusted leader in AI education. This focus on value and service was crucial to their rapid growth and success.
A radically different approach
Promptmaster has a unique business model that emphasizes affordability, transparency, and great value. They offer a Lifetime Membership for a one-time payment of $297, giving customers access to all future courses for free. This is different from the usual industry practice of selling new courses and subscriptions regularly.
Promptmaster also prioritizes excellent customer service. They've built a community where students receive active support, unlimited help, and personal attention from the founders. This personal approach has created a loyal community of supporters for the Promptmaster brand.
Radical transparency and authenticity
Promptmaster is very transparent about their journey, including the challenges and difficulties they face. For example, when the founder David experienced burnout, he openly shared his struggles with the community. The community responded very positively, rallying behind Promptmaster and showing their support. This transparency and authenticity has strengthened the connection between Promptmaster and its members.
Handling challenges and setbacks
Despite their success, Promptmaster faced a major setback when changes by OpenAI eliminated their main source of new customers. Instead of getting discouraged, they focused on increasing the value they provide to their existing email subscribers. By doubling the average lifetime value of their subscribers, they demonstrated the power of their customer-focused approach and the loyalty of their community.
Playing the long game
Promptmaster's success is rooted in their long-term vision and their unwavering commitment to customer satisfaction. They recognize that building a sustainable business requires patience, perseverance, and a willingness to learn from mistakes.
Through numerous false starts, product launches, and revenue generation missteps, Promptmaster remained steadfast in their pursuit of delivering value to their customers. They openly share their metrics, actions, and lessons learned with their community, fostering a sense of trust and transparency that sets them apart from the competition.
This long-term approach has enabled Promptmaster to continuously refine their offerings, address customer needs, and adapt to the rapidly evolving AI landscape. By prioritizing customer feedback and maintaining a relentless focus on providing exceptional value, Promptmaster has built a loyal following and a reputation for quality and reliability.
Rather than chasing short-term gains or quick wins, the Promptmaster team has remained committed to playing the long game, understanding that sustainable success in the AI education market requires a strategic and patient mindset. This focus on the long-term has not only contributed to their impressive $225,000 revenue in the first six months but has also positioned them as a trusted and respected player in the industry.
Finding product-market fit in the AI space
Operating in the AI industry presents unique challenges when it comes to achieving and maintaining product-market fit (PMF). David Szabo-Stuban suggests that the concept of PMF is a lie in the AI space, as the landscape changes so quickly that businesses need to reevaluate their fit on a monthly basis.
To navigate this ever-changing landscape, Promptmaster focuses on the one constant: the human element. By serving the needs of AI developers and operators, they ensure that their offerings remain relevant and valuable, even as the technology evolves.
Rather than chasing the latest AI trends or attempting to predict the future, Promptmaster prioritizes understanding the real-world challenges and pain points faced by their customers. This customer-centric approach allows them to adapt their products and services to meet the evolving needs of the market, regardless of the specific technological advancements.
Promptmaster's agility and responsiveness to their customers' changing requirements have been instrumental in maintaining a strong product-market fit. Instead of rigidly adhering to a fixed product roadmap, they remain nimble, gathering continuous feedback and iterating their offerings to ensure they are delivering maximum value to their clients.
This dynamic approach to product-market fit has enabled Promptmaster to stay ahead of the curve in the rapidly evolving AI industry, solidifying their position as a trusted partner for both individuals and businesses seeking to harness the power of AI.
Growing with the community
Promptmaster's success is not just measured in revenue but also in the strength and loyalty of their community. With over 1,150 people in their community, including 800 paid members, Promptmaster has cultivated a network of passionate learners and supporters.
As they prepare to launch a blog offering free resources to entrepreneurs, Promptmaster has rallied their community to contribute content. This collaborative approach not only scales their content creation efforts but also reinforces the sense of ownership and investment their members feel in the company's success.
By fostering a vibrant and engaged community, Promptmaster has created a powerful feedback loop. Their community members not only consume the educational content and resources but also actively shape the direction of the platform. This symbiotic relationship has allowed Promptmaster to stay closely attuned to the evolving needs and preferences of their target audience.
Moreover, Promptmaster's community has become a valuable asset in its own right, serving as a network of potential partners, ambassadors, and even future employees. The strong sense of loyalty and belonging cultivated within the Promptmaster community has been instrumental in driving word-of-mouth referrals and expanding the platform's reach.
As Promptmaster continues to grow, they remain committed to nurturing and empowering their community, recognizing that their success is inextricably linked to the success and engagement of the individuals they serve.
Emphasizing customer happiness
At the heart of Promptmaster's philosophy lies a simple yet powerful principle: when in doubt, invest in making your customers happier. This unwavering focus on customer satisfaction has been the driving force behind their success, guiding their decisions and shaping their growth strategy.
By prioritizing the happiness and success of their customers above all else, Promptmaster has created a loyal and enthusiastic community that not only supports their business but also actively contributes to its growth and development.
Conclusion
Promptmaster started as a small AI learning community, but in just six months, they grew into a successful $225,000 business. This shows how important it is to focus on customers, build smart partnerships, and provide great value.
Promptmaster beat the competition by being honest, putting customers first, and thinking long-term. Their founder, David Szabo-Stuban, and his team have shown a new way to succeed in online education.
As AI technology changes quickly, Promptmaster's approach can be a model for other entrepreneurs in this exciting but tough field. By putting customers first, building a strong community, and staying flexible, businesses can not only survive but thrive.
