CUBE 19 AT A GLANCE
£2
MILLION INVESTED TO DAT E
£44
PER USER
£32OK ARR (EXPECT 90% RETENTION)
AV E R AG E M O N T H LY YIELD
£2.8 MILLION PIPELINE
OVE R £1M
A R R BY Y / E 2 014
3 CRM I N T E G R AT I O N S 1 0 - 15 B Y E N D O F Q 1 2 014
FOREC AST TO BE
£19K AV E R AG E ANNUAL ENTERPRISE D E A L VA L U E
A UNIQUE COMBINATION
S
WEB. BIG SC . E RE EN BIL O M
A N A LY T I C S
IN
GA M I F I C AT I O N
PMENT LO VE DE
CRM ADOPTION
SIZE OF THE PRIZE RECRUITMENT INDUSTRY
12 CURRENT CRM INTEGRATIONS = c150,000 USERS NUMBER OF PAYING SUBSCRIBERS
9
TARGET MARKET SHARE BY Y/E 2017 is 15% = 30,000 USERS
AT £20pupm (VERY CONSERVATIVE) AVERAGE YIELD = £7.2m ARR
( M I L L I O N )
FORECAST TO GROW 10% PER YEAR
0 2004
THE TOP CRMs TAKE BUSINESS FROM EACH OTHER MEANING MOST GROWTH WILL COME FROM NEW INTEGRATIONS (WE ALREADY WORK WITH MOST OF THE TOP PLAYERS)
2014
2017
SIZE OF THE PRIZE SALESFORCE
1 CRM INTEGRATION REQUIRED = c3,000,000 PAYING USERS NUMBER OF PAYING SUBSCRIBERS
9
TARGET MARKET SHARE BY Y/E 2017 is 1% = 78,000 USERS
( M I L L I O N )
FORBES PREDICTS GROWTH TO 7,800,000 USERS BY Y/E 2017
AT £10pupm (ESTIMATE) AVERAGE YIELD = £9.4m ARR 0 2004
SALESFORCE IS GENERATING IT’S OWN GROWTH
2014
2017
TARGET MARKET SHARE 15% = 30,000 USERS
TARGET MARKET SHARE
TARGET MARKET SHARE BY Y/E 2017 is 1% = 78,000 USERS (based on Forbes prediction)
WHY THE APP EXCHANGE?
World’s Largest Enterprise Marketplace
Accounts for 6% of Salesforce revenue ($240m out of 4bn). SFDC target is to take it to 20% in 3 years Generated $1bn in revenue
$2bn invested in AppExchange ecosystem so far
WHY THE APP EXCHANGE?
WHY THE APP EXCHANGE?
WHY THE APP EXCHANGE?
WHY NOW?
2,000 apps for 3,000,000 users
Little direct competition, no stand-out leader
Q1
Q2
Q3
DESIGN RECRUIT START DEV.
BUILD MVP
SECURITY REVIEW
HORIZON 2020?
DREAMFORCE
Q4 LAUNCH
2,000,000 total downloads
Total partner orders grew 70% in 2013
NEW FUNDING
VENTURE ROUND
2000 APPS, ONLY 3 OF INTEREST
#1 Analytics provider for SFDC. Also basic data quality. Bullhorn & SFDC only $13.5m raised so far. Last valuation c$35m. $75-100pupm for SFDC, less for Staffing.
Big screens & gamification only. SFDC only. $2.8m raised so far. $18-28pupm
#1 Gamification App on SFDC. Also do Big screens & mobile. 25% is SFDC. $3.5m raised so far. $20-30pupm
COST COMPARISON
$100 M U LT I P L E SUPPLIERS
VS
$82 SINGLE SUPPLIER (US)
WHERE THE COMPETITION FITS IN
CRM ADOPTION
GA M I F I C AT I O N
A N A LY T I C S
BIG SCREENS / MOBILE
4 OF THE T O P 10
WHY ARE LEVELELEVEN DOING SO WELL?
M O S T D OW N LOA D E D A P P S C O M E F R O M C O M PA N I E S W I T H L E S S T H A N 2 5 S TA F F
#1 MOST D OW N LOA D E D APP C O M E S F R O M A C O M PA N Y W I T H 12 E M P L O Y E E S
90.4% report that their gamification initiatives are successful
71% said that they are seeing anywhere from 11% to 50% increases in measured sales performance
90% run their gamification initiatives around the “Opportunities” object in Salesforce
WHAT ARE THEIR WEAKNESSES?
Only do gamification and heavily focused on SFDC
They rely on the user to pick the most important metrics, compare with benchmark and report on success
This is their only revenue stream
They are vulnerable to an aggressive play
Source: Bob Marsh, CEO, LevelEleven
GAMEIFICATION THE CUBE 19 WAY
CUBE 19 IDENTIFIES THE CORRECT KPI TO USE
LOOKS AT REL ATIONSHIP FUTURE
KNOWS WHAT USUALLY OCCURS (BENC HMARK)
SUCCEED?
SET KNOWS WHETHER THERE WAS AN IMPROVEMENT
GAME TAKES PL ACE, (SIMIL AR/ BETTER
SCORE
PROJECTED YEAR END REVENUE RUN RATE EXCLUDING COMISSION TO PARTNERS
18,000,000
BOTH
16,000,000
Rec ONLY
14,000,000
SFDC ONLY
12,000,000 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 0 YE14
YE15
YE16
YE17
ROCKSTAR
100% YoY GROWTH
SUCCESSFUL
80%
YoY GROWTH
LESS SUCCESSFUL
50%
YoY GROWTH
12X ARR
8X ARR
5X ARR
VALUATION
BOTH 5X
£90,000,000
Rec ONLY
£80,000,000
SFDC ONLY 6X
£70,000,000 £60,000,000 £50,000,000 £40,000,000 £30,000,000 £20,000,000 £10,000,000 £0 YE14
YE15
YE16
YE17