05 November 2014 - IDCEE

IDCEE 2014: Competera Pitch on Main Stage

http://idcee.org/s/competera/ Competera is a fully automated tool for comparative analysis of prices, assortment and special offers. Judges: Cem Sertoglu ...

so we're going to be listening to a

couple of pictures now I'm going to invite up we firstly get some chairs up here very quickly and then I'm going to invite about our judges to give you an idea as to who's going to be doing the judging today gem cert igloo partner at early bird venture capital he's got a couple hundred million dollars available as well he's a man who knows a lot about investment Florian Schweitzer exactly the same partner at B 2 V partners and Pavel bogdanoff I got that right will be up and they'll be listening each business will have five minutes to do the presentation if they continue after five minutes they weren't for very much longer because I will stop them because there's a business you need to stick within the time limit the judges will then ask questions and we'll see how impressed we also all of that coming up so forgive I can invite the judges to the stage and then I'll call up our first business in this segment it'll be calm Patera so let's welcome the judges first ladies and gentlemen where's comp Patera are you ready wonder why did it's one roll read you one minute one minute I don't you ten seconds it sounds a lot better I don't have a minute alright

greats getting miked up they cheer it for it computer they'll be doing their first presentation hello this is a year hello everyone my name is alexander i am CEO and co-founder of computer company guys my name is Andre and I'm CTO and co-founder and coo Patera thank you for having us on this stage today we are here to present some unique value provides by computer to our customers imagine that you are doing online retail business you're you facing many challenges one of them is how actually deal with your competitors you you're sharing say usually same playground with your customers and competitors and one of the most important factor in price decision is a price this so let me show what would happen if us online retailer you will choose the wrong price of strategy this graph was obtained from one of our customers within six months period and it's calculated on the each category and each pricing segment what we can see here we can see actually how the convention rate depends on the price depends on your position against your competitors in other words it's a surprise ice elasticity so if you can see the numbers

you can see that if you if you pricing five-person lowers the new your competitor your conversion rate is a 1.8 person if you only 5% expensive the new competitor you have a conversion 0.3 it's a six-time less sales that in could be this is a very big influence on the business of the tailor the problem is that most retailers simply doesn't have such data they can't evaluate how much profit they losing every day they can't do effective pricings of every product they sell and this is what exactly computer provide abilities to doing right pricing decision based on data so we provide our customers with day-to-day information as historical information all of the per product information on on the competitors we're with the liver computer price for every product they sell as well as we deliver benchmarking reports to check thousand basically strategy performs against your competitors and now we are trusted almost 100 online retails from six countries in last six months we treat our client base so basically history of our companies by the name on the first months after the company was born we acquired first watch

customer with the annual condom on the six months we had to build customer success team because we have to educate our customers on the 10 months we expanded our destruction development team on the 12 months we have to increase amount of people in sales teams to support our growth in the 18 months we doubled our customer base rated with a quarter 1 and order to of 2014 and now we are open to arrange eBoost and scallions opportunities and let me make the bottom line is every single board computer is is a beta driven decisions for retailers in pricing especially thank you for your attention thank you thank you very much if I got it correct you have to kind of customers on the merchant or retailer and refine your end itself right how much do those customers pay what business model look like is it a fixed fee per month I guess or is a performance linked somehow basically we're here for different pricing experiments and but in general they pale or monthly subscription fee in general some of them play aeo fee discount and the surprising is boss for retailers and vendors it's a quite sale okay and my

following question is whom do you think I our strongest competitors today basically if we will talk about delivering of the competitor prices which is not very interesting for us in the long term strategy I can say its upstream commerce it's a profit by rights wiser so enough if you're talking about our long-term strategy about are doing reprising for every product automatically for retailer place it on data maybe it's a good run homers and some some other company already acquired by there are some some like a block logos for instance how do you get your price information you use crawl and scrape and parse information from websites or do you integrate with different XML feeds from x-rated equation by extracting data directly from websites so so we can a quite technological product for foie gras big amount of websites and growling big amount of products and at fetching information about the variability price promo etc etc how often do you update the price is at like once a day once a month to do check availability regularly you we have we care one customer with about 20,000 of products and we updated

prices once at two hours every two hour but in general web ad prices were once a day the reason is because a very small amount of customers they can do the pricing more often sand was once a day so actually this is our goal to make reprising much more faster because when they do the price is much more faster they are more competitive so so if we think five years down the road it's probably all gonna go to a mean price which is gonna be set by amazon I guess no or similar the models and then you both platforms so don't you think that your business is going to shrink to 20 because of that you know if a properly understood understood your question you're talking about dumping right if if customers will revoke on each other and they will go to continuously decrease prices yes oh I'm not sure I'm just thinking loud I mean because I think we'll be challenged in any e-commerce businesses that any standardized product is going is going down and every retailer has having a very hard time against Emma's on so I think in there is a huge fun with value proposition you offer today but I'm questioning myself where is it going and and I think we all

have to think about smart ways to help people other than Amazon to to earn money on the internet but that's an open question maybe you can talk more about what kind of products you're comparing right is it what is it the future is etc and how do you know it's the same product on the gate website so basically we operates in maybe five or six verticals of the converses one of them is most easy to us is electronics and also most profitable it's very easy to compare it's very easy to compare products the other side of the of the our business is hard compared products for instance sex toys by the way it's very hard to comparison because they as a pink for instance and they have only one thing in common so in this case we have a fully locked health optimal health automated human cloud so we have an infrastructure project or no project which is acting like Amazon Mechanical Turk and we avoiding tasks for matching data in this project and we pay for marching for the humans is not big amount of the magic of the way the wall mine retailers fight with price comparisons they just have different games and specialist key use just for

them it's the same product but it looked it as a different name and it's hard to tell that it's really the same as a different product price differently on another website so that's tricky yesterday you know successfully heart especially in Winston's Russia in Europe but in u.s. it's not that big problem because products are sharing information like GT in UPC etc etc it's much more easier to comparator also we have some solution to compare images by to compare product by images so when fetching images from the website and is a big and and we can guess if this is the same image but the most important challenge for us was comparing books in Russia because you have to compare by ISBN you can't compare by company bishop booger sold by here of publishing by type of case by type by amount of the papers of pages etc etc and this is was the most most tough tough question for us in general matching of general ecommerce data it's easy not easy to match for for instance wear shoes easy innovatively so okay nice any question now thank you for your niche thank you

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