Sramana Mitra: I’m asking a very specific question. Maybe I should ask you a broader question. Is this still a services company or is this a product company now?
Chuck Bloomquist: We are a services company. Products that we sell are developed by a variety of different organizations – Symantec, RSA, and Cisco. They have these tools. What we do is we build processes and people around these products so that organizations can see how data is moving and control how the data moves through the organization.
Sramana Mitra: How big a company are you today?
Chuck Bloomquist: We are a $35 million company with about 100 employees. >>>
During today’s roundtable, we celebrated the launch of my book, Billion Dollar Unicorns, with Roman Stanek, CEO and Founder of GoodData. Roman is a serial entrepreneur, and discussed his thoughts about customer validation, go-to-market strategies, and the future of big data / business intelligence technologies in great depth.
As for the pitches, first up, Srikanth Jallapuram from Cupertino, California, pitched Envelop, a retailing marketing app that still needs significant customer input. My hunch: there are flaws in Srikanth’s assumptions, but as always, I encouraged him not to take my input, but validate the assumptions with customers.
Sramana Mitra: What kind of customer validation did you do at that point?
Steven Boye: I would say we didn’t really do any customer validation that early on. But we had a lot of background in office applications and helping people with Word and Excel. It was basically office automation or mobile enablement of people with their regular office documents. We were pushing the boundaries for what was possible with the technology back then.
Sramana Mitra: I see. Essentially, the funding that you were able to raise was based on your domain knowledge in office applications. It was not based on any customer validation.
Steven Boye: It was not based on customer validation. It was basically based on the prototype and the ideas we had. We had a product that we could show where you could install an application on your home computer. You can use your browser in your Nokia phone. You can have an >>>
Sramana Mitra: Hilton was paying US Airways every time they were accessing a data set and you were getting a share of that revenue. Was that your business model?
Charles Mi: We get paid and share it with US Airways. Just like a consumer who’s purchasing from Amazon, you have to pay Amazon. Amazon then gives the money to the merchant.
Sramana Mitra: So the transaction completes on your side and you do the collection.
Charles Mi: Yes. >>>
Today’s 256th FREE online 1M/1M roundtable for entrepreneurs is starting NOW, on Thursday, April 23, at 8:00 a.m. PST/11:00 a.m. EST/8:30 p.m. India IST. Click here to join.
Today’s 256th FREE online 1M/1M roundtable for entrepreneurs is starting in 30 minutes, on Thursday, April 23, at 8:00 a.m. PST/11:00 a.m. EST/8:30 p.m. India IST. Click here to join. All are welcome!
Yahoo’s (Nasdaq: YHOO) Marissa Mayer just can’t seem to figure out an operational turnaround. Earlier this week, Yahoo reported their first quarter results for the year and they continued to disappoint the market. Some may argue that since Mayer took over the reins, Yahoo’s stock has nearly tripled. But the growth in the stock is really attributed to their high performing investments in Asia. Yahoo owns 24% stake in Alibaba and 35% stake in Yahoo Japan.
Sramana Mitra: In that process, was there any other kind of segmentation? Were there any particular styles of CIOs or IT organizations that were resonating with you? Maybe a vertical or any kind and size of business?
Chuck Bloomquist: Absolutely. There were certain verticals that were more responsive than others. The first one that we found were the banking and finance. They were the early adopters of this type of technology. Rapidly, we saw the medical space start to pick this up as well. It transitioned into the insurance. Now, there are a lot of manufacturers whether it’s in the medical space or parts manufacturing. They are rapidly advancing into content analytics and the idea of protecting critical assets.
Sramana Mitra: How much were you able to gather in terms of these service contracts to get the ball rolling? >>>