Sramana: What is the price point of the offering? Phil Fernandez: The lowest end customers pay $1,000 a month. The largest spend 100 times that a month.
Sramana: What do you do in the process that directly supports your clients? Phil Fernandez: We can help our clients to produce webinars to promote their product or services, even if it is specific to a geographic area. To run a webinar you need to identify the target audience, and you need to be able
Sramana: What is the genesis of Marketo? Phil Fernandez: My previous companies were million-dollar enterprise software companies. They were classic enterprise software companies with big sales forces. Salesforce had not quite burst on the scene but it was getting started. There was a new point of view that there was a whole new software company
Sramana: Where does the story go from there? Phil Fernandez: After that I got hooked up with a company that is now TIBCO. Back then it was an incubator called Technicron Software Systems. Rick Haven was the chief operating officer, and he was my mentor.
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. Sramana: Phil, let’s start with your background. Where does your entrepreneurial journey begin? Phil Fernandez: I’m from Ohio but I grew up all over the place, although I spent a lot of time in California. My entrepreneurial journey started in a serious way in the 1970s
Sramana: Talk to me about the structure of purchasing the company back from Intuit. Deborah Sweeney: For the most part we structured a complete asset purchase agreement. I bought all of the assets, and everything that Intuit had owned transitioned to me. The deal was super smooth because Intuit was very much in tune with
Sramana: Let’s talk about your complicated journey through corporate structures. Who founded this company, and how was it funded in the beginning? Deborah Sweeney: The company was founded by a law school classmate of mine. It was really funded by company growth, so it was bootstrapped. One client turned to a second client. The founders
Sramana: How much money do you make off a customer once you acquire him or her, and what is the customer acquisition cost that you’re willing to invest ? Deborah Sweeney: We have done a number of formulas and the cost structure changes throughout the life of our company. We continue to grow because we offer