I am glad to see those two companies being among John Kennedy’s list of 20 magnificent start-ups with momentum in Munich. Gaining momentum in the mid to large size enterprise market segment (e.g. Fortune 1000) is particularly tough for early stage SaaS companies with cloud-based offerings. It requires lots of sales experience and a different execution model when it comes to lead generation, sales process, trials trust building and closing. Its less about the classic base KPI of visits per month or conversions to subscriber [etc.] to forecast sales, but more about number of outbound sales people, efficient targeting and prospecting, pipeline velocity and productivity per sales rep.
Yes undoubtedly, sales cycles are longer, on-boarding processes more complex and time consuming. Man may think that this has a negative impact on the key SaaS KPIs, CLV/CAC, but is has not, quite the contrary. With remarkably low churn, the CLV is quite high, which outbalances the slightly higher CACs. IN addition, ARPA is high and expansion MRR after 9- 12 months is almost a given. Another nice side effect of enterprise SaaS is the chances to piggy back on (enterprise) customers international expansion of the service.
Alexander Bruehl, February 11, 2017
RiskMethods is a service-as-a-software (SaaS) player that uses technology to provide full transparency about risk exposures in supply chains. Its technology enables companies to identify risks early, set up risk mitigation programmes and share structured risk across the whole customer network. Founded in 2013 by Heiko Schwarz, Rolf Zimmer and Alexander Bruehl, the company has raised $9.1m in funding from investors including EQT Ventures and Senova Systems.
13. Loyalty Prime
Founded in 2014, Loyalty Prime has built a SaaS platform that empowers the creation of successful loyalty programmes to understand and drive customer behaviour. The company has more than 60 employees spread between headquarters in Munich, as well as London and New Delhi. The company was founded by Christoph Straub, Kunal Mohiuddin, Kilian Thalhammer and Alexander Bruehl. It has just raised $1.6m in equity funding from investors that include Senovo and UnternehmerTUM Venture Capital Partners.