In my recent trend piece, From Second Silicon Valley Gold Rush to Angel Investment Bubble, These Are the Tech Trends to Watch, I concluded with the following thought:
The Dehumanization of Society: Technology has created tremendous opportunities for the world to shrink through communication, collaboration, and cloud-based productivity tools. But it has created immense opportunities for wasting time. On Facebook. On Twitter. On stupid games. Human beings are losing their ability to communicate in person. To smile at each other. To converse. To enjoy a meal together without looking at their smartphones. To look into each other’s eyes. To touch. To honor food that someone else has cooked with love and care. To be present in the moment without interruption. This is a tremendous loss that cannot be quantified.
Sramana Mitra: Does that mean that you’re able to intercept the traffic before that traffic catches your client’s websites?
Rich Kahn: Yes, exactly. We place out an ad on the publisher’s site. The click takes place. That click has to go through our system for billing purposes. Before we go to the billing process, we go through our entire analysis to see if that click is good or bad, and we’re able to do the entire analysis in under 20 milliseconds. We got it fine-tuned, and it took years to get it down to that speed. We wanted it to be nice and quick. Once it identifies it’s good, then we’ll send it to the billing system. We’re intercepting the click before they even see it. This way, they don’t get affected either by paying for the click or if it’s a type of traffic that’s going to inject code into their site, we’re preventing that as well.
Sramana Mitra: You are capable of handling both types of fraudulent traffic that the client should not be built for as well as the ones that can potentially infect the client. >>>
Manish Sood: Consider how these customers look at engaging with their customers, vendors or gathering any kind of competitive information around products they are selling in the market. All of these different types of problems, whether it’s customer loyalty, customer experience, or customer engagement, requires you to think about bringing data together from multiple sources— both internal and external, regardless of whether it is master data or the interactions that are taking place.
More often, we started seeing the pattern that the customers today may start out with a specific point of view, but that point of view evolves quite rapidly as their businesses evolve. A simple example of what we saw in the market was the work that life sciences companies were doing. Their business model of going out and selling directly to the prescribers was morphing quite rapidly into a very complex account-based sales process. They now had to not only understand the information about the prescribers that they were engaging with, but they also had to figure out how best to go and get their drugs on the formulary list that was being provided on a specific plan by a provider and used by large, >>>
Last year, Chinese e-tail giant Alibaba went public on the New York Stock exchange. Alibaba has been the role model of several e-commerce companies. One of their avid followers, India-based Flipkart, is now eyeing an IPO in the US markets as well. The company is already seeing strong growth in its valuation driven by the growing e-commerce market in India. Gartner expects the Indian e-commerce market to grow 70% this year and Morgan Stanley estimates the Indian market to grow to $137 billion by the year 2020.
Sramana Mitra: Before we get into the new venture story, you mentioned that you ran two startups while you were in the US. Were they companies that you founded or recruited to run? How did those come about? It sounds like that’s where you got some of your entrepreneurial experience as well.
Ofer Yourvexel: The first one was an engineering company in the semiconductor industry. I was very young. It was a well-established engineering company in Israel. I was the first VP there. It was not a startup. It was more of an engineering company. Enigma was a startup. I basically knew some of the founders. It was more of a relationship. One of the founders who right now lives in New York has a Ph.D. from MIT. He’s a very good friend of mine from school. He offered me to manage the US operations, but I wasn’t one of the founders in that startup.
Sramana Mitra: But you had a bit of an experience of being in a small company?
Ofer Yourvexel: Yes. >>>
Rich Kahn: In addition, we’ve got somewhere around 3,000 plus unique sources of traffic coming in on our network. We’re monitoring every one of those sources and every single click coming into the network. There’s about two billion queries coming into the network. We use predictive analytics to identify a source’s likelihood to convert. This is pretty unique. What it does is when traffic comes in, we eliminate anything that’s fake, so we know that the traffic that gets to our clients is real. That’s step one.
Step two is what is that traffic good for. Is it just window shoppers who are just browsing the Internet to look at different things? That’s great for branding type of campaigns. Then we have people who are spending money and buying things. That’s more of our premium network where people are focused on spending money and interacting. >>>
Here’s yet another case in point in our Bootstrapping Using Services series. Manish is scaling Reltio super fast at this point, and has raised venture capital, consistent with our theme Bootstrap First, Raise Money Later.
Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?
Manish Sood: I was born in the northern part of India. I grew up and went to school there. I went to an engineering college in the southern part of India, which was a new experience for me from a location perspective and getting acclimatized to the overall culture and environment. >>>
Entrepreneurs are invited to the 266th FREE online 1M/1M roundtable mentoring session on Thursday, July 2, 2015, at 8 a.m. PDT/11 a.m. EDT/8:30 p.m. India IST.
If you are a serious entrepreneur, register to “pitch” and sell your business idea to Sramana Mitra. You’ll gain straightforward feedback, advice on next steps, and she’ll answer any of your questions. Others can register to “attend” to watch, learn, and interact through the online chat.
A recent Morgan Stanley report expects the Indian Internet market to grow from $11 billion in 2013 to $137 billion by the year 2020, translating to a 43% annualized growth. Within the industry, e-commerce is expected to grow from $2.9 billion in 2013 to $102 billion by 2020, making India the world’s fastest growing e-commerce market in the world.