Express and draw thoughts by hand… digital and ready to go

Total Interviews: 100 Lean Launchpad Course

9 April 2014

The Team

Team members

Vietlong Le

Ellen Vanderwilt

Jon Flugstad

Steffanie Magnus

Degree FT MBA 2014 FT MBA 2014 FT MBA 2014 Full time MBA 2014

Role Hacker = Engineer

Hustler = Customer Development

Designer = Product

Picker = Visionary

“…anyone who needs to capture and present

ideas…”

Most importantly*, professionals in:1. Business/corporate

development2. Marketing3. Technology

Platform management

Apple: the only means of distributing the app to

IPads and a gatekeeper in the app approval process

Google, Dropbox: suppliers of cloud storage space for Skribb.it users

Facebook: potential marketing channel and

user authentication service

Microsoft: owner of the Powerpoint file format with which Skribb.it maintains

compatibility

The Apache online community: owner of the Java libraries that facilitate Powerpoint compatibility

Most significant costs are likely to be:1. Marketing / Promotion2. Distribution (eg apple store commission) 3. Personnel (eg Software engineering, quantitative

analysis)Capital costs will be minimal in this business model

A nominal annual licensing fee (eg $3.99) per user

Referrals from existing users

Skribb.it software

1

3

4 2Personal, intuitive automated service

5

6

7

89

*Lead customer attributes:Strong day to day focus on developing presentations and slides

Low perceived ability in building presentations

Strong perceived benefit from improved efficiency in presentation design

A once off purchase in equivalent perceived value (eg $11.99)

or

Receipt of Skribb.it output

Word of mouth

Receipt of Skribb.it output (eg ppt slides)

Users can use basic, natural drawing instincts to

capture ideas

Captured ideas can be re-used (copy/paste/edit) in

other applications (eg ppt)

Predict what someone is about to draw based on

past behavior

Free 3 month trial for social activity (like, share, join facebook group)

Word of mouth promoters

Simplify the entire process of creating presentations

Community of users sharing best practices

Algorithm for detecting and predicting drawings

The Skribb.it brand“Lets Skribb this concept up!”

Machine learning

Continuous UX improvement

Gesture detection

Where we started: Make PowerPoint Easier

What We Learned as a Business

Customers – Go-to-Market – Product

Potential customers… told us they didn’t want Skribb.it for presentations… …which left us…

Initially, we were “slapped in the face” by no’s

“I wouldn’t use Skribb.it if it were free”-Biz Dev Professional

However, we had a prototype that got customer eyes “dilating”:1. Consultants were excited to use the product for presentations2. Nearly every person said they could use Skribb.it for other purposes

“I never want to start over again. If I do, I'll just start in PowerPoint”

-Ass. Brand Manager

“Most of my presentations are data-heavy, so I don’t think Skribb.it would be useful”

-Tech Marketer

“PowerPoint presentations aren't developed in a vacuum - they're often developed alongside excel which informs the conclusion and… the story that needs to be captured”

-Senior Product Manager

So we dove deep on the consultant customer; understanding everything there is to know about them

Professional Personal Archetype

Consultants want Skribb.it – “I would pay $100 for that!” !!!

But the market is small – only 120k – not enough for a scalable biz

“Other” use cases began to coalesce, which left us excited about Skribb.it’s broader appeal

‘Flowcharting’

‘Whiteboarding’

‘Brainstorming’

‘Wireframing’‘Note-taking’

‘Annotating’

Other uses for Skribb.it that got interviewees excited

An underserved “middle ground” for concept development……where rough sketches need to quickly get into a useful, decent digital format…

Were re-validated and filtered under an emerging common theme

There is a bigger world beyond building presentations

Skribb.it has a much bigger role to play where ever pains are experienced with whiteboards and scraps of paper

And gave us our big ‘Ah-hah!’

We developed a “battle order” based on intensity of pain, willingness to pay and ease of adoption

Our hypothesized

chasm

• Bottom-Up: Groundswell B2C

• Tech Needs: Apache, Vision Objects, Think Cell

Segment Battle Order

1. Consultants2. Ops / Engineers 3. Sales Engineers

4. Consulting Halo5. Content Creators

• B2B Sales• License with Cloud Platforms

• For scale: Salesforce.com, Adobe• Value add to product offering: Box, Google

Docs, Office 365

Adoption Strategy

Key Partners

Strategic Vision to Adoption

We learned how to design scrappy, sometimes awkward, but effective experiments

We “ate our own dog food” We got key insights on pricing

“..Would you pay $1000 for

this?...”

2) Benchmark Pricing1) ‘Awkward’ WTP test

We watched users

wrestle with the MVP in

silence

Get Keep Grow

We believe we have a repeatable and scalable business

Financial resources required

Cash

Po

sitio

n

• Clicks• Conversion

to download• Messaging

• Total downloads

• Conversion to register

• Source (App Store, url)

• Enter CC• Drop off

after 30 days

• Conv. to paid

• Viewed• Clicks

• Frequency• Total opens• Opens/day• Opens/mth

• Percent of base using

• Time spent (mainly for segmenting, not perf)

•File versus link•Opens/clicks•No. exports

• LTV: $91,875• Drivers: $49 ARR, 20% Attrition, 5-yr life, 100

seats/cust, 75% gross margin

• CAC: $8,750• Drivers: S&M employees land 2 cust / mo.,

$35k in monthly Sales & Mktg costs

Key success factors that will drive growth

$200k bootstrap

$500K seed

Year 1 Year 2 Year 3

With attractive economics

Launching in the coming weeks!!

So where is Skribb.it after this wild ride?

Background Slidesand

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Skribb.it

Features:• Predictive drawing• Interprets natural gestures• Exports an editable file

Benefits:

• Time savings: Reduces the time it takes to digitize a concept

• Reduced frustration: Articulates an idea quickly, leaving little room for the misinterpretation

• Simplicity: immediately making an editable version available

• New occasions and settings for storytelling and brainstorming; it’s not about the meeting room