Sramana Mitra: You got this input from the CIO of Goldman Sachs. Did you go talk to other CIOs in the financial sector or other CIOs in general? Sunny Gupta: Yes. I came home back to Seattle. On a long flight back, I thought, “This is the most ridiculous idea I’ve heard because it’s too
Sramana: How much overstock inventory did you have to buy in terms of dollars? Amy Laws: We probably bought $30,000 of inventory. Sramana: What kind of markups were you getting on that $30,000 overstock inventory?
Sunny Gupta: I left IBM and joined a local Seattle-based venture company called Performant as a business guy. I stayed there for 18 months and sold that business to Mercury Interactive. Once I went to Mercury, I transitioned into a product role. That was incredible because a lot of my learnings around being close to
Sramana: What volume of merchandise were you able to push during that first sale? Nicole Brewer: We sold 700 units during our first sample sale. That amounted to around $20,000 of business. Once that sale was over we realized we had a lot of fun and we wanted to do it again, but without having
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. One more look at what it takes to build a fat startup. Sunny Gupta discusses Apptio. The company raised a $7 million series A to get started, and then went to raise over $130 million thus far. Sramana Mitra: Sunny, let’s start at the very beginning.
Sramana: At what point in the friendship did the idea of doing a business together start coming into the foreground? Amy Laws: That was in the summer of 2010. We had attended a sample sale. The wholesale showrooms in places like Dallas, New York, and Atlanta purchase sample sets from their manufacturers. That is what
Sramana Mitra: Is there anything else that’s worth discussing in your story in terms of strategy and moves that led to big losses or wins? Hamid Shojaee: From an entrepreneurial standpoint, I think that having that focus on a particular market segment is very important and then doing things for that market segment that creates
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. Advertising on Facebook is complicated. You can spend tons of money getting ‘Likes’ without making any sales. Smocked Auctions is very smart about actually ‘selling’ on Facebook. Much to learn! Sramana: Amy and Nicole, I would like to start by talking a bit about your personal