Customer.io's Angel Pitch

We raised some additional angel money with this deck.

Transcript

1. $500,000 angel investment Customer.io
2. 1. Opportunity 2. Problem 3. Our solution 4. Product 5. Traction 6. Marketing 7. Team 8. Current Investors 9. Summary OVERVIEW
3. Online businesses use multiple tools to email customers. As a result they lack a complete picture of users resulting in most companies communicating poorly. OPPORTUNITY
4. Newsletters Transactional Email Behavioral Email PROBLEM Customer communication exists in silos
5. is a next-gen email marketing platform for web and mobile apps OUR SOLUTION Content Management Logic Engine Tracking & Analytics Customer.io
6. OUR PRODUCT Change email copy without deploying Target customers - no devs needed Track how successful emails are at driving in-app conversions
7. 70 paid customers TRACTION 1.6 million+ messages sent
8. RECURRING MONTHLY SUBSCRIPTIONS MAR - NOV 2012 0 17.5 35 52.5 70 March April May June July August September October November 65 51 39 31 23 20 16 10 5 15 13 9 8 4 4 6 5 5 New Subscriptions Total Subscriptions
9. CUSTOMER LIFETIME VALUE CUSTOMERS WILL PAY AVG And Stay 28 months $100 / month $2,800 Lifetime value per customer
10. CUSTOMER ACQUISITION COST • Lead: $20 • Personal outreach: 1hr @ $100 / hr • Demo: 1 hr @ $100 / hr • Tech Support: 1hr @ $150 / hr • Freemium tier for two months: $100 Customer Acquisition cost: $470
11. Content Marketing Classes Partners / Referrals HOW CUSTOMERS FIND US Advertising Customer.io
12. Colin Nederkoorn CEO | Co-founder John Allison CTO | Co-founder Asha Gupta Product + Dev Previously Head of Engineering @ ChallengePost Previously Masters @ Stanford D. School Previously Head of Product @ ChallengePost P.S. Everyone writes code. TEAM
13. $250,000 already raised Angels Former Bosses David Cohen David Tisch Brandon Kessler CEO, ChallengePost Josh Knowles GM, Pivotal Labs Avi Karnani Hazards & Compass EXISTING INVESTORS
14. Raising $500k to achieve the following goals: Expand sales Invest in converting leads to customers @ $470 CAC, $2800 LTV 600 paid customers expected 4Q 2013 Finish v2 of our next-gen email marketing platform Add transactional and newsletters allowing customers to send all their email through customer.io Support a freemium tier Invest in infrastructure to support freemium customers up to 1000 emails per month as a free tier. We expect customers to soon exceed their quotas. SUMMARY
15. Appendix
16. AVERAGE TIME FROM SIGN UP TO PAID 0 10 20 30 40 June August October December 1 7 8 18 21 29 39 Time in Days Incomplete data
17. ACTUAL REVENUE MAR - NOV 2012 0 500 1000 1500 2000 March April May June July August September October November $1,728 $1,476 $1,123 $381 $176 $168 $100 $50 $0
18. FORECASTED REVENUE 2012 - 2013 $0 $37,500 $75,000 $112,500 $150,000 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 $123,000 $68,212 $32,364 $14,574 $7,476 $1,680 $318
19. 68% of apps Don’t send any behavioral emails 82% of apps Must re-deploy their app to change one word in an email 60% of apps Are forced to do data dumps to message segments of their users Source: Customer.io survey
20. Re-engaging one-time users is critical, and without Customer.io, it would require a lot of development time. Our two-time users are many times more valuable than our one-time users. Customer.io made it easy, and we love them for it. Ryan Buckley, COO Scripted Nik Wekwerth, Head of Marketing Librato Metrics I wanted to send users timely emails that they would consider useful and not marketing spam. Customer.io lets me identify where in the life-cycle our users are and allows me to automatically send them emails. CUSTOMER FEEDBACK
21. COMPETITORS CRM Analytics Driven Messaging Competitiveness Marketing Automation Build it yourself
22. 0 150000 300000 450000 600000 Constant Contact Mailchimp Sendgrid Marketo 2,000 50,000 240,000 525,000 We’re targeting 650 paid customers by 2014 NUMBER OF PAID CUSTOMERS
23. We estimate yearly revenue of $1000 per customer by 2014 0 7500 15000 22500 30000 Constant Contact Mailchimp Sendgrid * Marketo $30,000 $1,000 $2,400 $480 ANNUAL REVENUE / CUSTOMER
24. Offer Value Result Engineer Integrate once, and forget about your app communication Less work than maintaining yourself You have more time to work on core features Marketer You will control the messages you send and see results. Don’t need to ask developers to help them change copy or add a new message. Shorter feedback loop. Happier customers ENGINEERS, MARKETERS WORK BETTER TOGETHER
25. CURRENT PRICING
26. Stop doing this. Do this PERSONALIZED MESSAGING WITHOUT CODE
27. Stop doing this. Do this CHANGE CONTENT WITHOUT REDEPLOYING