Customer.io VC Pitch $1 million seed round

We didn't raise money with this deck, but I pitched a bunch of VCs on our business.

1. $1 million seed round investment
2. 1. Opportunity 2. Problem 3. Our solution 4. Market size 5. Product 6. Traction 7. Marketing 8. Team 9. Current Investors 10. Summary OVERVIEW
3. Every online business needs to communicate with their customers. Most do it poorly. OPPORTUNITY
4. Email Mobile Social Networks PROBLEM Customer communication exists in silos
5. Email $1.7 B Mobile $2.8 B Social Networks $2.1 B $6.6B interactive marketing via email, social, mobile in 2012 (27% CAGR)1 MARKET SIZE 1. Forrester Research Interactive Marketing Forecasts 2011 - 2016
6. + + is like OUR SOLUTION
7. OUR PRODUCT
8. 40 paid customers TRACTION 80m events processed 310,000 messages sent
9. Shareable content Education Partners / Referrals HOW CUSTOMERS FIND US
10. 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
11. $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
12. Raising $1m to achieve the following goals: Cross-channel communication & analytics platform Add 2 engineers to build out email, mobile, and social. Interactive marketing thought leader Teach classes & continue education outreach via blogging, newsletter, social media. Large platforms refer customers Form partnerships with delivery platforms + development platforms. SUMMARY
13. Appendix
14. 68% of apps Don’t send any triggered messages 82% of apps Must re-deploy their app to change one word in a message 60% of apps Are forced to do data dumps to message segments of their users Source: Customer.io survey
15. Currently our customers are worth a lot CUSTOMERS PAY and stay 28 months $100 per month $2,800 Lifetime value per customer
16. HOW we grow monthly revenue per CUSTOMER to $200 SMS / Push Social Networks Email ARPC = $100 ARPC = $100
17. 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
18. COMPETITORS CRM Analytics Driven Messaging Competitiveness Marketing Automation
19. 0 150000 300000 450000 600000 Constant Contact Mailchimp Sendgrid Marketo 2,000 50,000 240,000 525,000 We’re targeting 750 paid customers by 2014 NUMBER OF PAID CUSTOMERS
20. We estimate yearly revenue of $2,400 per customer by 2014 0 7500 15000 22500 30000 Constant Contact Mailchimp Sendgrid * Marketo $30,000 $1,000 $2,400 $480 ANNUAL REVENUE / CUSTOMER
21. 0 200 400 600 800 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 1Q 2014 $0 $125 $250 $375 $500 $3 $12 $72 $111 $291 $438 60 120 240 370 540 730 Paying Customers Revenue (‘000) per quarter Customers Revenue # Customers 60 120 240 350 540 730 Revenue / Quarter 3000 12000 72000 111000 291000 438000 Average Monthly Rev / Customer $17 $33 $100 $106 $180 $200 REVENUE FORECAST NEXT SIX QUARTERS
22. 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
23. Paul Stamatiou, CEO PicPlum advocates not building this yourself http://www.slideshare.net/PStamatiou/user-retention-with-lifecycle-email-marketing
24. CURRENT PRICING
25. Stop doing this. Do this PERSONALIZED MESSAGING WITHOUT CODE
26. Stop doing this. Do this CHANGE CONTENT WITHOUT REDEPLOYING