According to IDC’s Worldwide Business Analytics Software 2014–2018 Forecast, the global business analytics software market was estimated to be worth $37.7 billion in 2013. The researcher predicts the market to grow 9.4% annually over a five year period to be worth $59.2 billion by the year 2018. While bigger players like Oracle and SAP lead the market with 17.9% and 14.9% market share, respectively as of 2013, other vendors are also making their presence felt. Billion Dollar Unicorn club member Tableau Software (NYSE: DATA) is one such player which continues to deliver blockbuster results.
Sramana Mitra: In terms of your current business, what percentage of that is selling your own product versus selling other people’s products?
Carl Mazzanti: 60% to 70% is our own.
Sramana Mitra: But Infrastructure-as-a-Service, right?
Carl Mazzanti: Let me answer your first question. Your first question is what percentage of it is selling your own service that’s unique to yourself. Somewhere between 60% and 70% is our own intellectual property. The remaining 40% is when someone comes up to us and says, “I don’t want your black box, but I know you’re the best. Can you do this for us?” >>>
During today’s roundtable, we continued to celebrate the launch of my book, Billion Dollar Unicorns, with Amit Gupta, Co-Founder of InMobi. My aversion to ‘Valuation Without Revenue’ Unicorns is well know. Amit started off by telling us that InMobi’s valuation is firmly anchored in revenues. Amit went on to discuss InMobi’s strategy for going global, and highlighted the unorthodox nature of the journey.
As for the pitches, first up, Kamesh Venkata from Hyderabad, India, pitched Xenia Box mobile app that he wants to position to offer ‘experience gifting’ like concerts, travel, playing at special golf courses, etc. It’s an interesting idea that needs significant fleshing out.
Sramana Mitra: Before we go to the post two-year bootstrapping phase, what did you achieve? You launched a website. You started getting customers. How did you get customers? How did the customers find you?
Tim Hentschel: It wasn’t that hard in those days. The Internet was new. Blogs were just beginning to become popular. I remember Craigslist would be a place where we would go trolling for some free traffic back in the early days. They don’t have that stuff anymore. Hotels were willing to put up links to the site on their websites. The Internet back then was a lot smaller and pretty friendly too. Google was just about to put in their minimum 10-cents bid. If you can find a Google Click these days for 10 cents, I’d be shocked.
Sramana Mitra: You figured out Google PPC at that point.
Tim Hentschel: I might be wrong on this but I think we were one of the first online travel companies to do a Google PPC campaign. I know of my business partner John Prince, they called him Johnny Google because he liked the site so much. >>>
I am one of those people who doesn’t like bubbles. Right now, we’re experiencing a bubble in Silicon Valley with funny money driving weird, unproductive behavior.
Some people want this party to go on.
Francisco Dao has written a poorly analyzed post on VentureBeat titled What will happen to Silicon Valley when demographics strangle the global economy:
Sramana Mitra: What data were you collecting and what was the process of collecting that data?
Rakesh Gupta: Any marketing activity in any company actually falls into three or four different kinds of marketing. One is, people using the phone to reach people. People are using email to reach people or people are doing door-to-door marketing. All people are sending physical direct mail. These are really the large portions of marketing that gets done in a local organization. Then, we added to it things like Google and Internet marketing.
Sramana Mitra: That’s just the parameters.
Rakesh Gupta: To answer your question, what’s important to an end user is a platform to slice and dice the data. But what do they need to slice and dice the data? What they need is the following. They need the kind of business a business is in. That’s very important to them. They need highly granular information on businesses. They need to know how many employees work at that business and what the annual sales is. >>>
Today’s 259th FREE online 1M/1M roundtable for entrepreneurs is starting NOW, on Thursday, May 14, at 8:00 a.m. PST/11:00 a.m. EST/8:30 p.m. India IST. Click here to join.
A 2014 report on Customer Experience Management Market by MarketsandMarkets pegs the customer experience market segment to grow from $3.77 billion in 2014 to $8.39 billion in 2019. That translates to an annualized growth rate of over 17% for the five-year period. Here is the story of a leading player in this industry and a Billion Dollar Unicorn Club contender Clarabridge.