Omniture Co-Founder Josh James founded Domo in 2010 when he realized that the market needed a solution that would access relevant business data from multiple sources. He developed a solution that is now able to integrate live business data from sources like Salesforce.com, Google Analytics, Box, LinkedIn, Facebook, and Instagram. Domo collects the data from these multiple sources and presents it in a visualized, interactive dashboard.
Domo earns revenues through a subscription-based model and earns an average revenue of $50,000 from each customer. It has more than 1,000 customers that include names like DHL, eBay, MasterCard, and National Geographic. Domo doesn’t disclose its detailed financials, but it had reported 2015 bookings of $100 million and revenues that were doubling each year.
Domo has been ventured funded so far and has raised $700 million from investors including Andreessen Horowitz, Benchmark, Ben Horowitz, Bezos Expeditions, BlackRock, BYU Cougar Capital, Capital Group, Credit Suisse, Dan Rose, David Lee, Dragoneer Investment Group, Fidelity Investments, Founders Fund, Frank Wilder, GGV Capital, Glynn Capital Management, Greylock Partners, Hiroshi Mikitani, HWVP, Hummer Winblad Venture Partners, IVP, Jeff Bezos, Jeff Kearl, John Pestana, Lars Dalgaard, Marc Benioff, Mark Gorenberg, Mercato Partners, Meritech Capital Partners, Morgan Stanley, Paul Sagan, Pelion Venture Partners, Ronald Conway, Salesforce Ventures, SharesPost Investment Management, SV Angel, TPG Growth, Transmedia Capital, T. Rowe Price, Viking Venture Management, WPP, and Zetta Venture Partners. Its last round of funding was held in April this year when it raised $100 million in a round that valued it at $2.3 billion. An earlier round was held in 2015 at a valuation of $2 billion.
Till a year ago, Domo was looking at going public. However, the latest funding suggests that the plan to go public may have been delayed a bit. Domo wants to remain private for as long as it can because, “You can’t be as aggressive when you’re public as when you’re private.”
Domo’s Improving Offerings
Domo has been using its earlier funding to improve its enterprise offerings. In the recently held Domopalooza, it announced several new features for The Business Cloud. The new features available include annotations that allow users to highlight and share the most important points from the data set. It also revealed an alert center that is a personalized, dynamic, and visual console to help business decision makers aware of events happening across their business. It also enhanced the analyzer by adding deep analytics capabilities. For instance, the Data Lineage tool is a new visual representation of data’s journey through the platform, so that users can understand the sources and actions taken on the data. Data Slicing is another feature that allows advanced data analysis. Domo also added new period-over-period visualizations to make it easy to track data trends over time. It added 60 new chart types and features to enhance visualization.
Finally, like others in the tech arena today, it is also building in artificial intelligence (AI) capabilities in its solutions. Mr. Roboto is the first advanced intelligence platform to fully integrate machine learning and other AI technologies into The Business Cloud. It leverages machine learning algorithms, AI, and predictive analytics to integrate business data in The Business Cloud with related social patterns for a more holistic analysis.
Domo doesn’t provide much details about its business or financial model. Its valuation appears to be rather high considering that other BI players like Tableau with annualized revenue run rate of $800 million are trending at market capitalization of nearly $5 billion.
More investigation and analysis of Unicorn companies can be found in my latest Entrepreneur Journeys book, Billion Dollar Unicorns. The term Unicorn was coined in a TechCrunch article by Aileen Lee of Cowboy Ventures.
This segment is a part in the series : 2017 IPO Prospects