WP Engine

How Jason Cohen Built WP Engine to $400M Revenue in 14 Years

February 22nd, 2025

Founded By

Jason Cohen

Monthly Revenue

$33.3M

Founders

Employees

2000 (est.)

Monthly Traffic

5.95M

Profitable

Yes

Year Started

2010

Customer

B2B & B2C

Revenue Per Visitor

$5.60

Founded By
Jason Cohen: Monthly Revenue
$33.3M: Founders
1

Employees
2000 (est.): Monthly Traffic
5.95M: Profitable
Yes

Year Started
2010: Customer
B2B & B2C: Revenue Per Visitor
$5.60

Who is Jason Cohen?

Jason Cohen, founder of WP Engine, is an entrepreneur from Austin, Texas, who previously created Smart Bear. He has a background in software engineering and started WP Engine in 2010, scaling it to become a leading managed WordPress hosting platform.

What problem does WP Engine solve?

WP Engine takes the stress out of managing WordPress sites by providing fast, secure, and reliable hosting, so customers can focus on their content rather than technical hassles.

How did Jason come up with the idea for WP Engine?

Jason Cohen's journey to founding WP Engine began with his own frustrating experiences as a WordPress user. He noticed recurring issues with site reliability, speed, and security that existing hosting services weren't adequately addressing. These observations were not just personal annoyances but represented a widespread problem among WordPress users seeking efficient and worry-free hosting solutions.

Before diving into the business, Cohen gathered more insights by engaging with the WordPress community, identifying their pain points and preferences. This research validated his initial thoughts that a managed WordPress hosting service would fill a significant gap. He realized that many WordPress users wanted a platform where the technical hassles were minimized, allowing them to focus on creating content and managing their sites without constant performance concerns.

Cohen refined his idea through continuous feedback from early adopters, which helped him better understand customer needs and sharpen the company's offerings. One of the challenges he faced was ensuring that the product was not only technically proficient but also user-friendly for non-technical clients. Through trial, error, and steady iterations, WP Engine evolved into a service that effectively tackled the common issues of speed, security, and scalability, which were critical to gaining trust and building a robust customer base.

How did Jason Cohen build the initial version of WP Engine?

WP Engine's initial product development began with Jason Cohen focusing on the core needs of WordPress users, emphasizing speed, scalability, and security. The early iterations of their managed WordPress hosting platform were built using a robust tech stack that leveraged open-source technologies, critical for serving their initial 30 customers. The first version took several months to develop, during which Cohen utilized his experience in software and engineering to create a reliable, solid infrastructure, despite limited resources. Challenges in the initial development phase included refining the product for stability and performance, which is essential for hosting multiple WordPress sites, but these efforts paid off significantly as they quickly moved towards scalable growth.

What was the growth strategy for WP Engine and how did they scale?

SEO

WP Engine has effectively utilized SEO by targeting keywords relevant to WordPress hosting and optimization. By focusing on specific keywords and building a strong backlink profile, they have improved their search engine rankings. Their content, such as case studies and detailed WordPress guides, is designed to attract and educate users, positioning WP Engine as an authority in the field.

Why it worked: By providing valuable content that addresses common pain points and questions about WordPress hosting, WP Engine attracts a targeted audience actively searching for solutions. This approach not only increases traffic but also improves conversion rates as visitors find the information they need, leading to higher trust and likelihood of choosing WP Engine's services.

Partnerships and Acquisitions

WP Engine has expanded its offerings through strategic partnerships and acquisitions, such as acquiring Flywheel in 2019. This move enabled them to enhance their product suite, catering more to designers and freelancers with specialized managed solutions.

Why it worked: These partnerships and acquisitions allowed WP Engine to tap into new customer bases and provide more tailored and comprehensive services, increasing their market share. By integrating additional tools and resources, they strengthened their position as a go-to platform for WordPress users, fostering loyalty and prolonged engagement with their ecosystem.

Customer Engagement and Retention

WP Engine engages with existing customers by continuously improving their platform and adding features based on customer feedback. They actively contribute to WordPress core, plugins, and themes, promoting an open-source ecosystem that benefits their user base directly.

Why it worked: By focusing on customer satisfaction and continuous improvement, WP Engine has been able to maintain a strong retention rate. Their commitment to contributing to the WordPress community also strengthens brand loyalty, as customers appreciate a provider that supports and enhances the tools they depend on.

What's the pricing strategy for WP Engine?

WP Engine offers tiered pricing based on features and scale, with plans starting at $24/month for single site management, and escalating to custom enterprise solutions that scale with business needs.

What were the biggest lessons learned from building WP Engine?

Prioritize Focus Over Expansion: WP Engine learned that adding more people often leads to trying to tackle too many projects at once. They recommend focusing resources on fewer strategic initiatives to maximize effectiveness and prevent dilution of efforts.
Hire Better Than Yourself: Jason Cohen emphasized the importance of hiring people who can do the job better than you and allowing them to bring their expertise. This requires humility and trust, but it's crucial for building a resilient, scalable organization.
Decisiveness in Difficult Decisions: Cohen advises making tough decisions quickly, like hiring and firing, as delays can harm everyone involved. Being decisive but compassionate is key to maintaining team morale and efficiency.
Evolve with Scale: WP Engine's growth highlighted the need for founders to adapt their roles as the company scales, often requiring major leadership changes, such as hiring a new CEO, to match the evolving needs of the business.
Embrace Emotional Challenges: As a founder, managing emotional transitions, like stepping aside or redefining your role, is difficult but necessary. Recognize these emotional hurdles and confront them to enable growth for both the company and personal fulfillment.

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