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Friday, September 3, 2021

Make accessibility part of your startup’s products and culture from day one

The world of accessibility has experienced a tipping point thanks to the pandemic, which drove people of all abilities to do more tasks and shopping online.

For the last year, the digital world was the only place brands could connect with their customers. A Forrester survey found that 8 in 10 companies have taken their first steps toward working on digital accessibility.

What’s driving this change besides the increased digital interactions? Fortune 500 companies are finally starting to realize that people with disabilities make up 1 billion of the world’s market. That population and their families control more than $13 trillion in disposable income, according to Return on Disability’s “The Global Economics of Disability.”

However, only 36% of companies in Forrester’s survey are completely committed to creating accessible digital experiences.

Although digital accessibility has been around for decades, companies have not caught on to its benefits until recently. In its latest survey, the WebAIM Million analysis of 1 million home pages found accessibility errors on 97.4% of the websites evaluated.

What does this mean for you? Why should you care about this? Because this is an opportunity for your company to get ahead of the competition and reap the rewards of being an early adopter.

The benefits of digital accessibility

Companies are now realizing the advantages of creating accessible products and properties that go beyond doing the right thing. For one, people are living longer. The World Health Organization says people aged 60 and older outnumber children under 5. Moreover, the world’s population of those who are 60 and older is expected to reach 2 billion by 2050, up from 900 million in 2015.

W3C Web Accessibility Initiative provides an overview on Web Accessibility for Older Users. Here’s what it reveals.

  • Hearing loss affects 47% of people aged 61 to 80.
  • Vision decline affects 16% of people aged 65 to 74.
  • Mild cognitive impairment affects 20% of people over 70.
  • Arthritis affects more than 50% of people over 65.

In short, developing accessible digital products helps you reach a much larger audience, which will include you, your co-workers and your family. Everyone is going to become situationally, temporarily or episodically impaired at some point in their lives. Everyone enters a noisy or dark environment that can make it harder to see or hear. An injury or an illness can cause someone to use the internet differently on a temporary basis. People with arthritis, migraines and vertigo experience episodes of pain and discomfort that affect their ability to interact with digital devices, apps and tools.

Additionally, no one has ever advocated against making products and websites accessible to more people. Despite this, the relative universal appeal of accessibility as a principle does not mean that it will be as easy as explaining the need and getting people on board to make major organizational changes. A lot of work remains in raising awareness and educating people about why we need to make these changes and how to go about it.

You have the why. Now here are five things to help you with how to make changes in your company to integrate accessibility as a core part of your business.

1. Tap the right people to create accessible experiences

According to the second annual State of Accessibility Report, only 40% of the Alexa Top 100 websites are fully accessible, proving the needs of people with disabilities are, more often than not, being overlooked when creating web experiences.

To design for people with disabilities, it’s important to have an understanding of how they use your products or web properties. You’ll also want to know what tools will help them achieve their desired results. This starts with having the right people on board.

Hiring accessibility experts to advise your development team will proactively identify potential issues and ensure you design accessibly from the start, as well as create better products. Better yet, hiring people with disabilities brings a deeper level of understanding to your work.

2. Hire designers passionate about accessibility

Having accessibility experts on your team to provide advice and guidance is a great start. However, if the rest of your team is not passionate about accessibility, that can turn into a potential roadblock. When interviewing new designers, ask about accessibility. It’ll gauge a candidate’s knowledge and passion in the area. At the same time, you set an expectation that accessibility is a priority at your organization.

Being proactive about your hires and making sure they will contribute to a culture of accessibility and inclusion will save you major headaches. Accessibility starts in the design and user experience (UX) phase. If your team doesn’t deliver there, then you will have to fix their mistakes later, essentially delaying the project and costing your organization. It costs more to fix things than to build them accessibly in the first place.

3. Remember that accessibility is for everyone

People deciding whether to invest in accessibility often ask themselves how many people are going to use the feature. The reasoning behind the question is understandable from a business perspective; accessibility can be an expense, and it’s reasonable to want to spend money responsibly.

However, the question is rooted in one of the biggest misconceptions in the field. The myth is that accessibility only benefits people who are blind or deaf. This belief is frustrating because it greatly underestimates the number of people with disabilities and minimizes their place in society. Furthermore, it fails to acknowledge that people who may not have a disability still benefit greatly from accessibility features.

Disability is a spectrum that all of us will find ourselves on sooner or later. Maybe an injury temporarily limits our mobility that requires us to perform basic tasks like banking and shopping exclusively online. Or maybe our vision and hearing change as we age, which affects our ability to interact online.

When we understand that accessibility is about designing in a way that includes as many people as possible, we can reframe the conversation around whether it’s worth investing in. This approach sends a clear message: No business can afford to ignore a fast-growing population.

Think about it this way: If you have a choice of taking an elevator or the stairs, which would you take? Most pick the elevator. Those ramps on street corners called curb cuts? They were initially designed for allowing wheelchairs to cross the street.

Yet, many use these ramps, including parents pushing strollers, travelers pulling luggage, skateboarders rolling and workers moving heavy loads on dollies. A feature initially designed for accessibility benefits far more people than the original target audience. That’s the magic of the curb-cut effect.

4. Hire agencies that build accessibly by default

Whether you have a small team or are expanding an in-house accessibility practice, working with an agency can be an effective way to embrace and adopt accessible practices. The secret to a successful partnership is choosing an agency that will help your team grow into its accessibility practice.

The key to finding the right agency is selecting one that builds accessibly by default. When you know you are working with an agency that shares your organization’s values, you have a trusted partner in your mission of improving accessibility. It also removes any guesswork or revisions down the line. This is a huge win, as many designers overlook details that can make or break an experience for a user with a disability.

Working with an agency focused on providing accessible experiences narrows the likelihood of errors going unnoticed and unremedied, giving you confidence that you are providing an excellent experience to your entire audience.

5. Integrate accessibility into your supply chain

On any given day, enterprises and large organizations often work with dozens of stakeholders. From vendors and agencies to freelancers and internal employees, the nature of business today is far-reaching and collaborative. While this is valuable for exchanging ideas, accessibility can get lost in the mix with so many different people involved.

To prevent this from happening, it’s important to align these moving pieces of a business into a supply chain that is focused on accessibility at every stage of the business. When everyone is completely bought in, it cuts the risk of a component being inaccessible and causing issues for you in the future.

The startup advantage

A major challenge that comes up repeatedly is the struggle to change the status quo. Once an organization implements and ingrains inaccessible processes and products into its culture, it is hard to make meaningful change. Even if everyone is willing to commit to the change, the fact is, rewriting the way you do business is never easy.

Startups have an advantage here: They do not bear years of inaccessible baggage. It’s not written into the code of their products. It’s not woven into the business culture. In many ways, a startup is a clean slate, and they need to learn from the trials of their more established peers.

Startup founders have the opportunity to build an accessible organization from the ground up. They can create an accessible-first culture that will not need rewriting 10, 20 or 30 years from now by hiring a diverse workforce with a passion for accessibility, writing accessible code for products and web properties, choosing to work with only third parties who embrace accessibility and advocating for the rights of people with disabilities.

Many of these considerations here have a common denominator: culture. While most people in the technology industry will agree that accessibility is an important and worthy cause to champion, it has a huge awareness problem.

Accessibility needs to be everywhere in software development, from requirements and beyond to include marketing, sales and other non-tech teams. It cannot be a niche concern left to a siloed team to handle. If we, as an industry and as a society, recognize that accessibility is everyone’s job, we will create a culture that prioritizes it without question.

By creating this culture, we will no longer be asking, “Do we have to make this accessible?” Instead, we’ll ask, “How do we make this accessible?” It’s a major mindset shift that will make a tangible difference in the lives of 1 billion people living with a disability and those who eventually will have a disability or temporary, situational or episodic impairments affecting their ability to use online and digital products.

Advocating for accessibility may feel like an uphill battle at times, but it isn’t rocket science. The biggest need is education and awareness.

When you understand the people you build accessible products for and the reasons they need those products, it becomes easier to secure buy-in from people in all parts of your organization. Creating this culture is the first step in a long quest toward accessibility. And the best part is, it gets easier from here.



https://ift.tt/eA8V8J Make accessibility part of your startup’s products and culture from day one https://ift.tt/3yJLbGi

A founder’s guide to effectively managing your options pool

There’s an old startup adage that goes: Cash is king. I’m not sure that is true anymore.

In today’s cash rich environment, options are more valuable than cash. Founders have many guides on how to raise money, but not enough has been written about how to protect your startup’s option pool. As a founder, recruiting talent is the most important factor for success. In turn, managing your option pool may be the most effective action you can take to ensure you can recruit and retain talent.

That said, managing your option pool is no easy task. However, with some foresight and planning, it’s possible to take advantage of certain tools at your disposal and avoid common pitfalls.

In this piece, I’ll cover:

  • The mechanics of the option pool over multiple funding rounds.
  • Common pitfalls that trip up founders along the way.
  • What you can do to protect your option pool or to correct course if you made mistakes early on.

A minicase study on option pool mechanics

Let’s run through a quick case study that sets the stage before we dive deeper. In this example, there are three equal co-founders who decide to quit their jobs to become startup founders.

Since they know they need to hire talent, the trio gets going with a 10% option pool at inception. They then cobble together enough money across angel, pre-seed and seed rounds (with 25% cumulative dilution across those rounds) to achieve product-market fit (PMF). With PMF in the bag, they raise a Series A, which results in a further 25% dilution.

The easiest way to ensure you don’t run out of options too quickly is simply to start with a bigger pool.

After hiring a few C-suite executives, they are now running low on options. So at the Series B, the company does a 5% option pool top-up pre-money — in addition to giving up 20% in equity related to the new cash injection. When the Series C and D rounds come by with dilutions of 15% and 10%, the company has hit its stride and has an imminent IPO in the works. Success!

For simplicity, I will assume a few things that don’t normally happen but will make illustrating the math here a bit easier:

  1. No investor participates in their pro-rata after their initial investment.
  2. Half the available pool is issued to new hires and/or used for refreshes every round.

Obviously, every situation is unique and your mileage may vary. But this is a close enough proxy to what happens to a lot of startups in practice. Here is what the available option pool will look like over time across rounds:

 

Option pool example

Image Credits: Allen Miller

Note how quickly the pool thins out — especially early on. In the beginning, 10% sounds like a lot, but it’s hard to make the first few hires when you have nothing to show the world and no cash to pay salaries. In addition, early rounds don’t just dilute your equity as a founder, they dilute everyone’s — including your option pool (both allocated and unallocated). By the time the company raises its Series B, the available pool is already less than 1.5%.



https://ift.tt/3DErR0R A founder’s guide to effectively managing your options pool https://ift.tt/3DGn1Ah

Playbyte’s new app aims to become the ‘TikTok for games’

A startup called Playbyte wants to become the TikTok for games. The company’s newly launched iOS app offers tools that allow users to make and share simple games on their phone, as well as a vertically scrollable, fullscreen feed where you can play the games created by others. Also like TikTok, the feed becomes more personalized over time to serve up more of the kinds of games you like to play.

While typically, game creation involves some aspect of coding, Playbyte’s games are created using simple building blocks, emoji and even images from your Camera Roll on your iPhone. The idea is to make building games just another form of self-expression, rather than some introductory, educational experience that’s trying to teach users the basics of coding.

At its core, Playbyte’s game creation is powered by its lightweight 2D game engine built on web frameworks, which lets users create games that can be quickly loaded and played even on slow connections and older devices. After you play a game, you can like and comment using buttons on the right-side of the screen, which also greatly resembles the TikTok look-and-feel. Over time, Playbyte’s feed shows you more of the games you enjoyed as the app leverages its understanding of in-game imagery, tags and descriptions, and other engagement analytics to serve up more games it believes you’ll find compelling.

At launch, users have already made a variety of games using Playbyte’s tools — including simulators, tower defense games, combat challenges, obbys, murder mystery games, and more.

According to Playbyte founder and CEO Kyle Russell — previously of Skydio, Andreessen Horowitz, and (disclosure!) TechCrunch — Playbyte is meant to be a social media app, not just a games app.

“We have this model in our minds for what is required to build a new social media platform,” he says.

What Twitter did for text, Instagram did for photos and TikTok did for video was to combine a constraint with a personalized feed, Russell explains. “Typically. [they started] with a focus on making these experiences really brief…So a short, constrained format and dedicated tools that set you up for success to work within that constrained format,” he adds.

Similarly, Playbyte games have their own set of limitations. In addition to their simplistic nature, the games are limited to five scenes. Thanks to this constraint, a format has emerged where people are making games that have an intro screen where you hit “play,” a story intro, a challenging gameplay section, and then a story outro.

In addition to its easy-to-use game building tools, Playbyte also allows game assets to be reused by other game creators. That means if someone who has more expertise makes a game asset using custom logic or which pieced together multiple components, the rest of the user base can benefit from that work.

“Basically, we want to make it really easy for people who aren’t as ambitious to still feel like productive, creative game makers,” says Russell. “The key to that is going to be if you have an idea — like an image of a game in your mind — you should be able to very quickly search for new assets or piece together other ones you’ve previously saved. And then just drop them in and mix-and-match — almost like Legos — and construct something that’s 90% of what you imagined, without any further configuration on your part,” he says.

In time, Playbyte plans to monetize its feed with brand advertising, perhaps by allowing creators to drop sponsored assets into their games, for instance. It also wants to establish some sort of patronage model at a later point. This could involve either subscriptions or even NFTs of the games, but this would be further down the road.

The startup had originally began as a web app in 2019, but at the end of last year, the team scrapped that plan and rewrote everything as a native iOS app with its own game engine. That app launched on the App Store this week, after previously maxing out TestFlight’s cap of 10,000 users.

Currently, it’s finding traction with younger teenagers who are active on TikTok and other collaborative games, like Roblox, Minecraft, or Fortnite.

“These are young people who feel inspired to build their own games but have been intimidated by the need to learn to code or use other advanced tools, or who simply don’t have a computer at home that would let them access those tools,” notes Russell.

Playbyte is backed by $4 million in pre-seed and seed funding from investors including FirstMark (Rick Heitzmann), Ludlow Ventures (Jonathon Triest and Blake Robbins), Dream Machine (former Editor-in-Chief at TechCrunch, Alexia Bonatsos), and angels such as Fred Ehrsam, co-founder of Coinbase; Nate Mitchell, co-founder of Oculus; Ashita Achuthan, previously of Twitter; and others.

The app is a free download on the App Store.



https://ift.tt/3hZk84I Playbyte’s new app aims to become the ‘TikTok for games’ https://ift.tt/3DNjW10

Playbyte’s new app aims to become the ‘TikTok for games’

{rss:content:encoded} Playbyte’s new app aims to become the ‘TikTok for games’ https://ift.tt/3DNjW10 https://ift.tt/3hZk84I September 03, 2021 at 03:51PM

A startup called Playbyte wants to become the TikTok for games. The company’s newly launched iOS app offers tools that allow users to make and share simple games on their phone, as well as a vertically scrollable, fullscreen feed where you can play the games created by others. Also like TikTok, the feed becomes more personalized over time to serve up more of the kinds of games you like to play.

While typically, game creation involves some aspect of coding, Playbyte’s games are created using simple building blocks, emoji and even images from your Camera Roll on your iPhone. The idea is to make building games just another form of self-expression, rather than some introductory, educational experience that’s trying to teach users the basics of coding.

At its core, Playbyte’s game creation is powered by its lightweight 2D game engine built on web frameworks, which lets users create games that can be quickly loaded and played even on slow connections and older devices. After you play a game, you can like and comment using buttons on the right-side of the screen, which also greatly resembles the TikTok look-and-feel. Over time, Playbyte’s feed shows you more of the games you enjoyed as the app leverages its understanding of in-game imagery, tags and descriptions, and other engagement analytics to serve up more games it believes you’ll find compelling.

At launch, users have already made a variety of games using Playbyte’s tools — including simulators, tower defense games, combat challenges, obbys, murder mystery games, and more.

According to Playbyte founder and CEO Kyle Russell — previously of Skydio, Andreessen Horowitz, and (disclosure!) TechCrunch — Playbyte is meant to be a social media app, not just a games app.

“We have this model in our minds for what is required to build a new social media platform,” he says.

What Twitter did for text, Instagram did for photos and TikTok did for video was to combine a constraint with a personalized feed, Russell explains. “Typically. [they started] with a focus on making these experiences really brief…So a short, constrained format and dedicated tools that set you up for success to work within that constrained format,” he adds.

Similarly, Playbyte games have their own set of limitations. In addition to their simplistic nature, the games are limited to five scenes. Thanks to this constraint, a format has emerged where people are making games that have an intro screen where you hit “play,” a story intro, a challenging gameplay section, and then a story outro.

In addition to its easy-to-use game building tools, Playbyte also allows game assets to be reused by other game creators. That means if someone who has more expertise makes a game asset using custom logic or which pieced together multiple components, the rest of the user base can benefit from that work.

“Basically, we want to make it really easy for people who aren’t as ambitious to still feel like productive, creative game makers,” says Russell. “The key to that is going to be if you have an idea — like an image of a game in your mind — you should be able to very quickly search for new assets or piece together other ones you’ve previously saved. And then just drop them in and mix-and-match — almost like Legos — and construct something that’s 90% of what you imagined, without any further configuration on your part,” he says.

In time, Playbyte plans to monetize its feed with brand advertising, perhaps by allowing creators to drop sponsored assets into their games, for instance. It also wants to establish some sort of patronage model at a later point. This could involve either subscriptions or even NFTs of the games, but this would be further down the road.

The startup had originally began as a web app in 2019, but at the end of last year, the team scrapped that plan and rewrote everything as a native iOS app with its own game engine. That app launched on the App Store this week, after previously maxing out TestFlight’s cap of 10,000 users.

Currently, it’s finding traction with younger teenagers who are active on TikTok and other collaborative games, like Roblox, Minecraft, or Fortnite.

“These are young people who feel inspired to build their own games but have been intimidated by the need to learn to code or use other advanced tools, or who simply don’t have a computer at home that would let them access those tools,” notes Russell.

Playbyte is backed by $4 million in pre-seed and seed funding from investors including FirstMark (Rick Heitzmann), Ludlow Ventures (Jonathon Triest and Blake Robbins), Dream Machine (former Editor-in-Chief at TechCrunch, Alexia Bonatsos), and angels such as Fred Ehrsam, co-founder of Coinbase; Nate Mitchell, co-founder of Oculus; Ashita Achuthan, previously of Twitter; and others.

The app is a free download on the App Store.

Barbershop technology startup theCut sharpens its platform with new $4.5M round

{rss:content:encoded} Barbershop technology startup theCut sharpens its platform with new $4.5M round https://ift.tt/3DL0Dp5 https://ift.tt/38EDUgk September 03, 2021 at 03:00PM

TheCut, a technology platform designed to handle back-end operations for barbers, raised $4.5 million in new funding.

Nextgen Venture Partners led the round and was joined by Elevate Ventures, Singh Capital and Leadout Capital. The latest funding gives theCut $5.35 million in total funding since the company was founded in 2016, founder Obi Omile Jr. told TechCrunch.

Omile and Kush Patel created the mobile app that provides information and reviews on barbers for potential customers while also managing appointments, mobile payments and pricing on the back end for barbers.

“Kush and I both had terrible experiences with haircuts, and decided to build an app to help find good barbers,” Omile said. “We found there were great barbers, but no way to discover them. You can do a Google search, but it doesn’t list the individual barber. With theCut, you can discover an individual barber and discover if they are a great fit for you and won’t screw up your hair.”

The app also enables barbers, perhaps for the first time, to have a list of clients and keep notes and photos of hair styles, as well as track visits and spending. By providing payments, barbers can also leverage digital trends to provide additional services and extras to bring in more revenue. On the customer side, there is a search function with barber profile, photos of their work, ratings and reviews, a list of service offerings and pricing.

Omile said there are 400,000 to 600,000 barbers in the U.S., and it is one of the fastest-growth markets. As a result, the new funding will be used to hire additional talent, marketing and to grow the business across the country.

“We’ve gotten to a place where we are hitting our stride and seeing business catapulting, so we are in hiring mode,” he added.

Indeed, the company generated more than $500 million in revenue for barbers since its launch and is adding over 100,000 users each month. In addition, the app averages 1.5 million appointment bookings each month.

Next up, Omile wants to build out some new features like a digital store and the ability to process more physical payments by rolling out a card reader for in-person payments. TheCut will also focus on enabling barbers to have more personal relationships with their customers.

“We are building software to empower people to be the best version of themselves, in this case barbers,” he added. “The relationship with customers is an opportunity for the barber to make specific recommendations on products and create a grooming experience.”

As part of the investment, Leadout founder and managing partner Ali Rosenthal joined the company’s board of directors. She said Omile and Patel are the kind of founders that venture capitalists look for — experts in their markets and data-driven technologists.

“They had done so much with so little by the time we met them,” Rosenthal added. “They are creating a passionate community and set of modern, tech-driven features that are tailored to the needs of their customers.”

 

Extra Crunch roundup: cohort analysis, YC Demo Day recaps, building your supply chain

The ongoing fintech revolution continues to level the playing field where legacy companies have historically dominated startups.

To compete with retail banks, many newcomers are offering customers credit and debit cards; developer-friendly APIs make issuance relatively easy, and tools for managing processes like KYC are available off the shelf.

To learn more about the low barriers to entry — and the inherent challenges of creating a unique card offering — reporter Ryan Lawler interviewed:

  • Michael Spelfogel, founder, Cardless
  • Anu Muralidharan, COO, Expensify
  • Peter Hazlehurst, founder and CEO, Synctera
  • Salman Syed, SVP and GM of North America, Marqeta

Full Extra Crunch articles are only available to members
Use discount code ECFriday to save 20% off a one- or two-year subscription


We’re off on Monday, September 6 to celebrate America’s Labor Day holiday, but we’ll be back with new stories (and a very brief newsletter) on Tuesday morning.

Thanks very much for reading,

Walter Thompson
Senior Editor, TechCrunch
@yourprotagonist

 

6 tips for establishing your startup’s global supply chain

Image Credits: Suriyapong Thongsawang (opens in a new window) / Getty Images

The barrier to entry for launching hardware startups has fallen; if you can pull off a successful crowdfunding campaign, you’re likely savvy enough to find a factory overseas that can build your widgets to spec.

But global supply chains are fragile: No one expected an off-course container ship to block the Suez Canal for six days. Due to the pandemic, importers are paying almost $18,000 for shipping containers from China today that cost $3,300 a year ago.

After spending a career spinning up supply chains on three continents, Liteboxer CEO Jeff Morin authored a guide for Extra Crunch for hardware founders.

“If you’re clear-eyed about the challenges and apply some rigor and forethought to the process, the end result can be hard to match,” Morin says.

Our favorite startups from YC’s Summer 21 Demo Day, Part 1

Y Combinator’s Summer 21 Demo Day, Part 1

Image Credits: Bryce Durbin / TechCrunch

Twice each year, we turn our attention to Y Combinator’s latest class of aspiring startups as they hold their public debuts.

For YC Summer 2021 Demo Day, the accelerator’s fourth virtual gathering, Natasha Mascarenhas, Alex Wilhelm, Devin Coldewey, Lucas Matney and Greg Kumparak selected 14 favorites from the first day of one of the world’s top pitch competitions.

Virtual events startups have high hopes for after the pandemic

Image Credits: Yuichiro Chino / Getty Images

Few people thought about virtual events before the pandemic struck, but this format has fulfilled a unique and important need for organizations large and small since early 2020. But what will virtual events’ value be as more of the world attempts a return to “normal”?

To find out, we caught up with top executives and investors in the sector to learn about the big trends they’re seeing — as the sequel to a survey we did in March 2020.

We surveyed:

  • Xiaoyin Qu, founder and CEO, Run The World
  • Rosie Roca, chief customer officer, Hopin
  • Hemant Mohapatra, partner, Lightspeed Venture Partners India
  • Paul Murphy, former investor in Hopin with Northzone (currently co-founder of Katch)

Tracking startup focus in the latest Y Combinator cohort

Alex Wilhelm and Anna Heim wrapped up TechCrunch’s coverage of the summer cohort from Y Combinator’s Demo Day with an evaluation of how the group fared in comparison to their expectations.

They were surprised by the number of startups focusing on no-and low-code software, and pleased by the unanticipated quantity of new companies focusing on space.

“It seems only fair to note that some categories of startup activity simply met our expectations in terms of popularity,” noting delivery-focused startups including dark stores and kitchens.

Popping up less than expected? Crypto and insurtech.

Read on for the whole list of startups that caught the eye of The Exchange.

Use cohort analysis to drive smarter startup growth

Image Credits: erhui1979 / Getty Images

Cohort analysis is what it sounds like: evaluating your startup’s customers by grouping them into “cohorts” and observing their behavior over time.

In a guest column, Jonathan Metrick, the chief growth officer at Sagard & Portage Ventures, offers a detailed example explaining the value of this type of analysis.

Questions? ​​Join us for a Twitter Spaces chat with Metrick on Tuesday, September 7, at 3 p.m. PT/6 p.m. ET. For details and a reminder, follow @TechCrunch on Twitter.



https://ift.tt/2WSnVbC Extra Crunch roundup: cohort analysis, YC Demo Day recaps, building your supply chain https://ift.tt/3ByURoK

Barbershop technology startup theCut sharpens its platform with new $4.5M round

TheCut, a technology platform designed to handle back-end operations for barbers, raised $4.5 million in new funding.

Nextgen Venture Partners led the round and was joined by Elevate Ventures, Singh Capital and Leadout Capital. The latest funding gives theCut $5.35 million in total funding since the company was founded in 2016, founder Obi Omile Jr. told TechCrunch.

Omile and Kush Patel created the mobile app that provides information and reviews on barbers for potential customers while also managing appointments, mobile payments and pricing on the back end for barbers.

“Kush and I both had terrible experiences with haircuts, and decided to build an app to help find good barbers,” Omile said. “We found there were great barbers, but no way to discover them. You can do a Google search, but it doesn’t list the individual barber. With theCut, you can discover an individual barber and discover if they are a great fit for you and won’t screw up your hair.”

The app also enables barbers, perhaps for the first time, to have a list of clients and keep notes and photos of hair styles, as well as track visits and spending. By providing payments, barbers can also leverage digital trends to provide additional services and extras to bring in more revenue. On the customer side, there is a search function with barber profile, photos of their work, ratings and reviews, a list of service offerings and pricing.

Omile said there are 400,000 to 600,000 barbers in the U.S., and it is one of the fastest-growth markets. As a result, the new funding will be used to hire additional talent, marketing and to grow the business across the country.

“We’ve gotten to a place where we are hitting our stride and seeing business catapulting, so we are in hiring mode,” he added.

Indeed, the company generated more than $500 million in revenue for barbers since its launch and is adding over 100,000 users each month. In addition, the app averages 1.5 million appointment bookings each month.

Next up, Omile wants to build out some new features like a digital store and the ability to process more physical payments by rolling out a card reader for in-person payments. TheCut will also focus on enabling barbers to have more personal relationships with their customers.

“We are building software to empower people to be the best version of themselves, in this case barbers,” he added. “The relationship with customers is an opportunity for the barber to make specific recommendations on products and create a grooming experience.”

As part of the investment, Leadout founder and managing partner Ali Rosenthal joined the company’s board of directors. She said Omile and Patel are the kind of founders that venture capitalists look for — experts in their markets and data-driven technologists.

“They had done so much with so little by the time we met them,” Rosenthal added. “They are creating a passionate community and set of modern, tech-driven features that are tailored to the needs of their customers.”

 



https://ift.tt/eA8V8J Barbershop technology startup theCut sharpens its platform with new $4.5M round https://ift.tt/3DL0Dp5

Customer experience startup Clootrack raises $4M, helps brands see through their customers’ eyes

Getting inside the mind of customers is a challenge as behaviors and demands shift, but Clootrack believes it has cracked the code in helping brands figure out how to do that.

It announced $4 million in Series A funding, led by Inventus Capital India, and included existing investors Unicorn India Ventures, IAN Fund and Salamander Excubator Angel Fund, as well as individual investment from Jiffy.ai CEO Babu Sivadasan. In total, the company raised $4.6 million, co-founder Shameel Abdulla told TechCrunch.

Clootrack is a real-time customer experience analytics platform that helps brands understand why customers stay or churn. Shameel Abdulla and Subbakrishna Rao, who both come from IT backgrounds, founded the company in 2017 after meeting years prior at Jiffstore, Abdulla’s second company that was acquired in 2015.

Clootrack team. Image Credits: Clootrack

Business-to-consumer and consumer brands often use customer satisfaction metrics like Net Promoter Score to understand the customer experience, but Abdulla said current methods don’t provide the “why” of those experiences and are slow, expensive and error-prone.

“The number of channels has increased, which means customers are talking to you, expressing their feedback and what they think in multiple places,” he added. “Word of mouth has gone digital, and you basically have to master the art of selling online.”

Clootrack turns the customer experience data from all of those first-party and third-party touchpoints — website feedback, chat bots, etc. — into granular, qualitative insights that give brands a look at drivers of the experience in hours rather than months so that they can stay on top of fast-moving trends.

Abdulla points to data that show a customer’s biggest driver of brand switch is the experience they receive. And, that if brands can reduce churns by 5%, they could be looking at an increase in profits of between 25% and 95%.

Most of the new funding will go to product development so that all data aggregations are gathered from all possible touchpoints. His ultimate goal is to be “the single platform for B2C firms.”

The company is currently working with over 150 customers in the areas of retail, direct-to-consumer, banking, automotive, travel and mobile app-based services. It is growing nine times year over year in revenue. It is mainly operating in India, but Clootrack is also onboarding companies in the U.S. and Europe.

Parag Dhol, managing director of Inventus, said he has known Abdulla for over five years. He had looked at one of Abdulla’s companies for investment, but had decided against it due to his firm being a Series A investor.

Dhol said market research needs an overhaul in India, where this type of technology is lagging behind the U.S.

“Clootrack has a very complementary team with Shameel being a complete CEO in terms of being a sales guy and serial entrepreneur who has learned his lessons, and Subbu, who is good at technology,” he added. “As CMOs realize the value in their unstructured data inside of their own database of the customer reviews and move to real-time feedback, these guys could make a serious dent in the space.”

 



https://ift.tt/2YtnLZr Customer experience startup Clootrack raises $4M, helps brands see through their customers’ eyes https://ift.tt/3yHejxR

SimpliFed serves up $500,000 pre-seed toward infant nutrition support

Feeding babies can take many different forms, and is also an area where parents can feel less supported as they navigate this new milestone in their lives.

Enter SimpliFed, an Ithaca, New York-based company providing virtual lactation and a baby feeding support platform. The startup announced Friday that it raised $500,000 in pre-seed funding led by Third Culture Capital.

Andrea Ippolito, founder and CEO of SimpliFed. Image Credits: SimpliFed

CEO Andrea Ippolito, a biomedical engineer and mother of two young children, had the idea for SimpliFed three years ago. She struggled with breastfeeding after having her first child and, realizing that she was not alone in this area, set out to figure out a way to get anyone access to information and support for infant feeding.

“Post discharge is when the rubber meets the goal for us,” she told TechCrunch. “This is a huge pain point for Medicaid, and it is not just about increasing access, but providing ongoing support for feeding and the quagmire that is health insurance. We want to help moms reach their infant feeding goals, no matter how they choose to feed, and to figure out what feeding looks like for them.”

The American Academy of Pediatrics recommends that mothers nurse for up to six months. However, the Centers for Disease Control and Prevention estimates that 60% of mothers don’t breastfeed for as long as they intend due to reasons like difficulty lactating or the baby latching, sickness or an unsupportive work environment.

SimpliFed’s platform is a judgement-free zone providing evidence-based information on nutritional health for babies. It isn’t meant to replace typical care that mother and baby will receive before and after delivery, but to provide support when issues arise, Ippolito said. Parents can book a free, initial 15-minute virtual consultation with a lactation expert and then subsequent 60-minute sessions for $100 each. There is also a future membership option for those seeking continuing care.

The new funds will be used to hire additional employees to further develop the telelactation platform and grow the company’s footprint, Ippolito said. The platform is gearing up to go through a clinical study to co-design the program with 1,000 mothers. She also wants to build out relationships with payers and providers toward a longer-term goal of becoming in-network and paid through reimbursement from health plans.

Julien Pham, managing partner at Third Culture Capital, said he met Ippolito at MIT Hacking Medicine a decade ago. A physician by training, he saw first-hand how big of an opportunity it is to demystify providing the best nutrition for babies.

“The U.S. culture has evolved over the years, and millennials are the next-generation moms who have a different ask, and SimpliFed is here at the right time,” Pham said. “Andrea is just a dynamo. We love her energy and how she is at the front line of this as a mother herself — she is most qualified to do this, and we support her.

 



https://ift.tt/3mVEizr SimpliFed serves up $500,000 pre-seed toward infant nutrition support https://ift.tt/2WMFPNh

Thursday, September 2, 2021

Bangkok-based insurtech Sunday banks $45M Series B from investors like Tencent

Sunday, an insurtech startup based in Bangkok, announced it has raised a $45 million Series B. Investors include Tencent, SCB 10X, Vertex Growth, Vertex Ventures Southeast Asia & India, Quona Capital, Aflac Ventures and Z Venture Capital. The company says the round was oversubscribed, and that it doubled its revenue growth in 2020.

Founded in 2017, Sunday describes itself as a “full-stack” insurtech, which means it handles everything from underwriting to distribution of its policies. Its products currently include motor and travel insurance policies that can be purchased online, and Sunday Health for Business, a healthcare coverage program for employers. Sunday also offers subscription-based smartphone plans through partners.

The company uses AI and machine learning-based technology underwrite its motor insurance and employee health benefits products, and says its data models also allow it to automate pricing and scale its underwriting process for complex risks. Sunday says it currently serves 1.6 million customers.

The new funding will be used to expand in Indonesia and develop new distribution channels, including insurance agents and SMEs.

Insurance penetration is still relatively low in many Southeast Asian markets, including Indonesia, but the industry is gaining traction thanks to increasing consumer awareness. The COVID-19 pandemic also drove interest in financial planning, including investment and insurance, especially health coverage.

Other insurtech startups in Indonesia that have recently raised funding include Lifepal, PasarPolis, Qoala and Fuse.

In a statement, Sunday co-founder and chief executive officer Cindy Kuo said, “Awareness for health insurance will continue to increase and we believe more consumers would be open to shop for insurance online. We plan to expand our platform architecture to offer retail insurance to our health members and partners while we continue to grow our portfolio in Thailand and Indonesia.”



https://ift.tt/eA8V8J Bangkok-based insurtech Sunday banks $45M Series B from investors like Tencent https://ift.tt/3yGZjQH

Startups should look to state-of-the-art tech to tackle diseases affecting women

Startups devoted to reproductive and women’s health are on the rise. However, most of them deal with women’s fertility: birth control, ovulation and the inability to conceive. The broader field of women’s health remains neglected.

Historically, most of our understanding of ailments comes from the perspective of men and is overwhelmingly based on studies using male patients. Until the early 1990s, women of childbearing age were kept out of drug trial studies, and the resulting bias has been an ongoing issue in healthcare. Other issues include underrepresentation of women in health studies, trivialization of women’s physical complaints (which is relevant to the misdiagnosis of endometriosis, among other conditions), and gender bias in the funding of research, especially in research grants.

For example, several studies have shown that when we look at National Institutes of Health funding, a disproportionate share of its resources goes to diseases that primarily affect men — at the expense of those that primarily affect women. In 2019, studies of NIH funding based on disease burden (as estimated by the number of years lost due to an illness) showed that male-favored diseases were funded at twice the rate of female-favored diseases.

Let’s take endometriosis as an example. Endometriosis is a disease where endometrial-like tissue (‘‘lesions’’) can be found outside the uterus. Endometriosis is a condition that only occurs in individuals with uteruses and has been less funded and less studied than many other conditions. It can cause chronic pain, fatigue, painful intercourse and infertility. Although the disease may affect one out of 10 women, diagnosis is still very slow, and the disease is confirmed only by surgery.

There is no non-invasive test available. In many cases, a woman is diagnosed only due to her infertility, and the diagnosis can take up to 10 years. Even after diagnosis, the understanding of disease biology and progression is poor, as well as the understanding of the relationships to other lesion diseases, such as adenomyosis. Current treatments include surgical removal of lesions and drugs that suppress ovarian hormone (mainly estrogen) production.

However, there are changes in the works. The NIH created the women’s health research category in 1994 for annual budgeting purposes and, in 2019, it was updated to include research that is relevant to women only. In acknowledging the widespread male bias in both human and animal studies, the NIH mandated in 2016 that grant applicants would be required to recruit male and female participants in their protocols. These changes are slow, and if we look at endometriosis, it received just $7 million in NIH funding in the fiscal year 2018, putting it near the very bottom of NIH’s 285 disease/research areas.

It is interesting to note that critical changes are coming from other sources, and not so much from the funding agencies or the pharmaceutical industry. The push is coming from patients and physicians themselves that meet the diseases regularly. We see pharmaceutical companies (such as Eli Lilly and AbbVie) in the women’s healthcare space following the lead of their patients and slowly expanding their R&D base and doubling efforts to expand beyond reproductive health into other key women’s health areas.

New technological innovations targeting endometriosis are being funded via private sources. In 2020, women’s health finally emerged as one of the most promising areas of investment. These include (not an exhaustive list by any means) diagnostics companies such as NextGen Jane, which raised a $9 million Series A in April 2021 for its “smart tampon,” and DotLab, a non-invasive endometriosis testing startup, which raised $10 million from investors last July. Other notable advances include the research-study app Phendo that tracks endometriosis, and Gynica, a company focused on cannabis-based treatments for gynecological issues.

The complexity of endometriosis is such that any single biotech startup may find it challenging to go it alone. One approach to tackle this is through collaborations. Two companies, Polaris Quantum Biotech and Auransa, have teamed up to tackle the endometriosis challenge and other women’s specific diseases.

Using data, algorithms and quantum computing, this collaboration between two female-led AI companies integrates the understanding of disease biology with chemistry. Moreover, they are not stopping at in silico; rather, this collaboration aims to bring therapeutics to patients.

New partnerships can majorly impact how fast a field like women’s health can advance. Without such concerted efforts, women-centric diseases such as endometriosis, triple-negative breast cancer and ovarian cancer, to name a few, may remain neglected and result in much-needed therapeutics not moving into clinics promptly.

Using state-of-the-art technologies on complex women’s diseases will allow the field to advance much faster and can put drug candidates into clinics in a few short years, especially with the help of patient advocacy groups, research organizations, physicians and out-of-the-box funding approaches such as crowdfunding from the patients themselves.

We believe that going after the women’s health market is a win-win for the patients as well as from the business perspective, as the global market for endometriosis drugs alone is expected to reach $2.2 billion in the next six years.



https://ift.tt/eA8V8J Startups should look to state-of-the-art tech to tackle diseases affecting women https://ift.tt/2WQkGBV

Online learning platform Class 101 bags $26M Series B to support growth

Everything is switching from offline to online mode, spurred by the pandemic, and that also has turned around things for the creative economy. Creative professionals continue to look for ways to monetize their talents and knowledge through online education platforms like Class 101 that bring stable incomes and improve opportunities.

Class 101, a Seoul-based online education platform, announced today it has closed $25.8 million (30 billion won) Series B funding to accelerate its growth in South Korea, the U.S. and Japan.

The Series B round was led by Goodwater Capital, with additional participation from previous backers Strong Ventures, KT Investment, Mirae Asset Capital and Klim Ventures.

In 2019, the company raised a $10.3 million (12 billion won) Series A round led by SoftBank Ventures Asia along with Mirae Asset Venture Investment, KT Investment, Strong Ventures and SpringCamp.

Co-founder and CEO of Class 101 Monde Ko told TechCrunch that the company will use the proceeds to focus on hiring more talent, as well as expanding domestic business and overseas markets in the U.S. and Japan.

Ko and four other co-founders established Class 101 in 2018, which was pivoted from a tutoring service platform that was founded in 2015, Ko said. It has 350 employees now.

“We will keep supporting creators to monetize their talents and we will also allow creators to expand their revenue streams by selling their goods, digital files and more products via our platform,” Ko said.

When asked about what differentiated it from other peers, Class 101 provides and ships all the necessary tools and material “Class Kit”, Ko said.

The company offers more than 2,000 classes within a raft of categories, with drawing, crafts, photography, cooking, music and more. It also provides about 230 classes in the U.S. and 220 classes in Japan. There are approximately 100,000 registered creators and 3 million registered users as of August 2021.

Class 101 launched its platform in the U.S. in 2019 and entered Japan last year. The company opened online classes for kids aged under 14 in 2020.

“Class 101 is a company that combines the advantages of Patreon and YouTube, offering tailored support for creators while fulfilling users’ learning needs,” co-founder and managing partner at Goodwater Capital Eric Kim said, adding that it is the fastest growing company “in an economic phenomenon in which individuals follow their passions and do what they really enjoy while also making a living from it.”



https://ift.tt/eA8V8J Online learning platform Class 101 bags $26M Series B to support growth https://ift.tt/3taotWw

Fintech startup Jeeves raises $57M, goes from YC to $500M valuation in one year

Last summer, Jeeves was participating in Y Combinator’s summer batch as a fledgling fintech.

This June, the startup emerged from stealth with $31 million in equity and $100 million in debt financing. 

Today, the company, which is building an “all-in-one expense management platform” for global startups, is announcing that it has raised a $57 million Series B at a $500 million valuation. That’s up from a valuation of just north of $100 million at the time of Jeeves’ Series A, which closed in May and was announced in early June.

While the pace of funding these days is unlike most of us have ever seen before, it’s pretty remarkable that Jeeves essentially signed the term sheet for its Series B just two months after closing on its Series A. It’s also notable that just one year ago, it was wrapping up a YC cohort.

Jeeves was not necessarily looking to raise so soon, but fueled by its growth in revenue and spend after its Series A, which was led by Andreessen Horowitz (a16z), the company was approached by dozens of potential investors and offered multiple term sheets, according to CEO and co-founder Dileep Thazhmon. Jeeves moved forward with CRV, which had been interested since the A and built a relationship with Thazhmon, so it could further accelerate growth and launch in more countries, he said.

CRV led the Series B round, which also included participation from Tencent, Silicon Valley Bank, Alkeon Capital Management, Soros Fund Management and a high-profile group of angel investors including NBA stars Kevin Durant and Andre Iguodala, Odell Beckham Jr. and The Chainsmokers. Notably, the founders of a dozen unicorn companies also put money in the Series B including (but not limited to) Clip CEO Adolfo Babatz; QuintoAndar CEO Gabriel Braga; Uala CEO Pierpaolo Barbieri, BlockFi CEO Zac Prince; Mercury CEO Immad Akhund; Bitso founder Pablo Gonzalez; Monzo Bank’s Tom Blomfield; Intercom founder Des Traynor; Lithic CEO Bo Jiang as well as founders from UiPath, Auth0, GoCardless, Nubank, Rappi, Kavak and others.

Whew.

The “fully remote” Jeeves describes itself as the first “cross country, cross currency” expense management platform. The startup’s offering was live in Mexico and Canada and today launched in Colombia, the United Kingdom and Europe as a whole. 

Thazhmon and Sherwin Gandhi founded Jeeves last year under the premise that startups have traditionally had to rely on financial infrastructure that is local and country-specific. For example, a company with employees in Mexico and Colombia would require multiple vendors to cover its finance function in each country — a corporate card in Mexico and one in Colombia and another vendor for cross-border payments.

Jeeves claims that by using its platform’s proprietary Banking-as-a-Service infrastructure, any company can spin up their finance function “in minutes” and get access to 30 days of credit on a true corporate card (with 4% cash back), non card payment rails, as well as cross-border payments. Customers can also pay back in multiple currencies, reducing FX (foreign transaction) fees.

For example, a growing business can use a Jeeves card in Barcelona and pay it back in euros and use the same card in Mexico and pay it back in pesos, reducing any FX fees and providing instant spend reconciliation across currencies. 

Thazhmon believes that the “biggest thing” the company is building out is its own global BaaS layer, that sits across different banking entities in each country, and onto which the end user customer-facing Jeeves app plugs into.

Put simply, he said, “think of it as a BaaS platform, but with only one app — the Jeeves app — plugged into it.”

Image Credits: Jeeves

The startup has grown its transaction volume (GTV) by more than 5,000% since January, and both revenue and spend volume has increased more than 1,100% (11x) since its Series A earlier this year, according to Thazhmon.

Jeeves now covers more than 12 currencies and 10 countries across three continents. Mexico is its largest market. Jeeves is currently beta testing in Brazil and Chile and Thazhmon expects that by year’s end, it will be live in all of North America and Europe. Next year, it’s eyeing the Asian market, and Tencent should be able to help with that strategically, he said.

“We’re building an all-in-one expense management platform for startups in LatAm and global markets — cash, corporate cards, cross-border — all run on our own infrastructure,” Thazhmon told TechCrunch. “Our model is very similar to that of Uber’s launch model where we can launch very quickly because we don’t have to rebuild an entire infrastructure. When we launch in countries, we actually don’t have to rebuild a stack.”

Jeeves’ user base has been doubling every 60 days and now powers more than 1,000 companies across LatAm, Canada and Europe, including Bitso, Kavak, RappiPay, Belvo, Runa, Moons, Convictional, Muncher, Juniper, Trienta, Platzi, Worky and others, according to Thazhmon. The company says it has a current waitlist of over 15,000.

Jeeves plans to use its new capital toward its launch in Colombia, the U.K. and Europe. And, of course, toward more hiring. It’s already doubled its number of employees to 55 over the past month.

Former a16z partner Matt Hafemeister was so impressed with what Jeeves is building that in August he left the venture capital firm to join the startup as its head of growth. In working with the founders as an investor, he concluded that they ranked “among the best founders in fintech” he’d ever interacted with.

The decision to leave a16z also related to Jeeves’ inflection point, Hafemeister said. The startup is nearly doubling every month, and had already eclipsed year-end goals on revenue by mid-year.

It is evident Jeeves has found early product market fit and, given the speed of execution, I see Jeeves establishing itself as one of the most important fintech companies in the next few years,” Hafemeister told TechCrunch. “The company is transitioning from a seed company to a Series B company very quickly, and being able to help operationalize processes and play a role in their growth and maturity is an incredible opportunity for me.”

CRV General Partner Saar Gur (who is also an early investor in DoorDash, Patreon and Mercury) said he was blown away by Jeeves’ growth and how it has been “consistently hitting and exceeding targets month over month.” Plus, early feedback from customers has been overwhelmingly positive, Gur said.

“Jeeves is building products and infrastructure that are very difficult to execute but by doing the ‘hard things’ they offer incredible value to their customers,” he told TechCrunch. “We haven’t seen anyone build from the ground up with global operations in mind on day one.”



https://ift.tt/3hfVCLZ Fintech startup Jeeves raises $57M, goes from YC to $500M valuation in one year https://ift.tt/3t7G69m

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