March 4, 2014
In a recent survey of 150 federal IT executives, 69 percent pointed to big data as a way to increase efficiency, enable smarter decisions, deepen insights and save up to $500 billion across the federal government.
You read that right—$500 billion. And it all comes from making better use of data. If the government could save even half of that, the impact would be tremendous. It also makes you question how much value is trapped inside the data you already have about your business.
To put those big data savings into tangible terms, check out our new infographic.
October 17, 2013
While Domo focuses on making data consumable for CEOs and business users, there’ll always be a need for people who swim in data all day long. Check it out.
September 18, 2013
If you’re a B2C company like Amazon or Nordstrom, your website is your storefront. Consumers come to your site with the intent to purchase. Without a highly usable design, you’re missing out on a lot of revenue.
If you’re in the B2B space, it’s time to start thinking about your website the same way B2C companies do. Your website should be your most efficient and effective sales and marketing channel.
At Domo, it is certainly ours. A significant portion of our revenue originates with leads from our website and more than 99 percent of prospects check it out at some point in the buying cycle. That’s some pretty telling data. Given that we spend the biggest chunk of our marketing budget to get people there, we’re intent on making sure the website is working as hard as it can.
With that in mind, today we unveiled a new website to make it easier for customers to connect with us. We’re optimizing the user experience through a new design and an underlying infrastructure that will get prospects what they want more quickly, and effectively scale as our business expands.
For us, the new design isn’t about a new look. It is about delivering a better experience, improving conversions and driving more revenue.
If you’re a B2B company, it’s never too late to turn your website into a high-performing sales and marketing asset. When we started this process, here were the major considerations that influenced our decisions:
Design by Data. Over the last several months, we’ve been testing numerous landing pages. We found that the conversion rates doubled for certain pages over the others. So we adopted the design cues from those top-performing pages into the look and layout of the new website. Data is your friend – use it.
Mobile First. Since our product is designed “mobile-first” – it only makes sense that our website is too. As a result, we’re making it more accessible to mobile users through responsive design. Our goal is to give prospects a familiar experience whether they are coming to us via the desktop, a smartphone or tablet. With the rapid shift to mobile computing, a mobile-friendly design is a must, not a nice to have.
Usability. This new, cleaner feel is more intuitive and more in line with what customers expect from Domo in general. As a data-driven company, we’ll continue to make improvements to the site as the data dictates.
Content is King. In today’s world of content-driven marketing, we’re ready for a more flexible CMS system that can scale with us and support a growing number of users. Most of our employees who produce content aren’t developers, which means our CMS also had to be simple to use. To most, website infrastructure isn’t as exciting as the front end, but it’s critical.
Business is Global. Today the majority of our customers are in North America. However, we are selling internationally and it’s a given that we’ll aggressively grow our business internationally. This means our infrastructure needs to have the chops to grow with us and can easily support localization for new markets.
While the above points went into our redesign, there’s one more important lesson to take from B2C: B2C knows that a website is never “done” – follow your data and continuously refine.
Your website should be a killer marketing and sales machine. It has been a significant revenue source for Domo, and it will be even more important going forward.
Here’s to taking the next step.
September 12, 2013
Harvard Business Review recently released a pretty cool scorecard that evaluates the world’s 100 top-performing CEOs. To round out the scorecard’s focus on performance and demographics, we added a little research of our own.
When you look at the data, some of it might surprise you. For example, more than 70% on HBR’s list don’t have a masters’ degree, but only 1% never graduated from college. Did you know that 11% are bald? And almost all have said “I do” which makes it easy to conclude that having a spouse is good for business.
But no matter what stories the demographics tell, they really don’t determine success. I believe it’s more important to study the behaviors and the decisions these CEOs make that get them – and keep them – where they are today.
If you are interested in seeing what you might have in common with the world’s 100 top-performing CEOs, check out our latest infographic below.
August 6, 2013
Last year my company Domo, along with CEO.com, published an eye-opening study that revealed the social media habits of Fortune 500 CEOs. It found that the vast majority of these business leaders were virtually invisible on social media sites.
At the time, it was startling that more than half the U.S. population had eagerly embraced sites like Facebook, yet only 7.6 percent of Fortune 500 CEOs had joined Facebook and less than four percent had a Twitter account. My belief was and still is that CEOs shunning social media are doing their shareholders a massive disservice.
Fast forward: A year later, we wanted to see if the picture had changed and if more Fortune 500 CEOs were getting with the social program. So we conducted another survey.
This year’s “Social CEO Report” delivered a mixed bag. First the bad news: A full 68 percent of Fortune 500 CEOs still have no presence on social media. However, that finding is an improvement by two percentage points over last year’s results.
What’s most telling to me is that LinkedIn and Twitter have clearly emerged as the top social channels for business leaders, while usage on Facebook—the longtime heavyweight of social—is actually on the decline among Fortune 500 CEOs.
Twitter participation has increased a startling 55.6 percent over 2012 yet Facebook usage has dropped by nearly eight percent. Why?
I believe it’s simple: Business leaders want information that’s quick, succinct and easily digestible. I hear this from our customers at Domo all the time. Executives, particularly CEOs, are getting tired of being slammed with tidal waves of information. They want it simple, clean and concise.
Twitter more than any other social network delivers those features. Facebook, not so much. But what about LinkedIn?
LinkedIn is a totally different animal with a more precise purpose—and that purpose plays nicely to the needs of business leaders. From the get-go this social network has been about connecting the dots and has become an indispensible tool for corporate recruiting and information sharing on a more targeted level. This utility could very well be why it’s the one social media platform that’s actually more popular among CEOs than the general public. Our new study shows that 27.9 percent of Fortune 500s CEOs are on LinkedIn, compared to 20 percent of the U.S. population as a whole.
One final note about the study: Google Plus was included, but just one percent of Fortune 500 CEOs are active on the network, compared to 0.8 percent last year. While not operating at the same level as other networks, Google Plus has some benefits (i.e. SEO) that business leaders should consider before dismissing it entirely.
Fortune 500 CEOs still have a long way to go when it comes to social media, but it appears CEOs are slowly paying attention and no longer satisfied with sitting on the sidelines.
You can see the full report here.
June 26, 2013
When NASA needed a better algorithm for mapping dark matter, it sponsored a competition that drew data geeks from across the globe. After only one week, Martin O’Leary, a PhD student in glaciology, created an algorithm that outperformed algorithms NASA had been developing for 30 years. And in the remaining months of the competition, the results only improved from there.
The key to solving NASA’s puzzle was found in the collective wisdom of a large group. As a CEO, I’ve been amazed by similar pools of wisdom within the organizations I’ve run. While it may sound cliché, the sum of any organization is smarter than its parts. And the organizations that effectively leverage this wisdom are the ones that really take off.
Check out our latest infographic on the Wisdom of Crowds to learn more:
April 10, 2013
Ten short years ago, the news business was a monopoly, with editors running command and control of the news we received. Content production was based on an editor’s judgment of what was important. There was no real-time way to know which stories were read the most or had the most impact.
Thanks to the infiltration of analytics into everything digital, we, the audience, are now the engines of the news business. And many of us are also the producers.
With Omniture, we saw the beginning of this transformation, as sites used our analytics software to optimize content consumption. Today, analytics still define and direct a healthy portion of the stories that are written. However, the power of brand strongly influences what gets consumed.
If you think about analytics as bringing an audience to the water, brand is often what makes them drink. Brands built by news outlets, news reporters and the people in our networks whom we respect all go a long way in determining what content makes it through our human filter after technology has done its job serving up the content.
For the CEO-as-a-consumer segment, the importance of brand is clearly evident. In a new report from Domo and CEO.com, the Wall Street Journal has held its place as the number one source for business news amongst chief executives. This brand still wields tremendous influence despite the rise of countless online publications. According to our CEO respondents, the Wall Street Journal was also the publication they turned to most often for business news 10 years ago.
I like to see what people in my business and personal networks are reading. That’s why tools like Twitter, LinkedIn and Flipboard are so valuable to me, and why, according to our report, they are gaining in importance to other CEOs. I know I am more likely to read a story if it’s been recommended by someone I know or trust.
This has massive implications for media. It’s also why I believe publications such as Forbes and Fast Company, and new media sites like LinkedIn, are becoming less single, traditional publications and more publishing platforms. They are part of the open-world order that allows people get more of what they want, and less of what they don’t.
I believe the social nature of news is unstoppable – not only because it’s smarter, but because it is based on a level of trust that has already been established by the personal brands of the people who produce or recommend the content. Beyond the analytics, content connected to trusted entities – people, publications or companies – creates the ideal environment to foster meaningful engagement.
We’ve taken this concept about connecting data to trusted entities into consideration when designing Domo. When data is taken out of dark silos and put into the light, conversations start to happen amongst different stakeholders and you start to find new value in data that you may never realized existed. It’s the same with news – getting different insights into something you may have once taken for face value, helps you understand the world in a different way.
March 7, 2013
We’ve been selling Domo for six months and we’ve hit a milestone that’s significant for any startup: We’ve signed 100 paying customers.
We’re still stealthy, meaning we haven’t shown our product to key influencers such as press, analysts or partners. We’ve only demoed to qualified prospects and only under NDA. And if you visit our website, you won’t see Domo screen shots or product videos. We’re keeping things under wraps by design.
Despite self-imposed handicaps, we’ve achieved in six short months something that took us two-and-a-half years to do at Omniture once we started selling to real businesses.
Fast forward to October 2010 when I founded Domo. It was a business I started to address the needs of users like myself — executives with tons of data about their business, but no useful way to get real value from it.
Our first year and a half was spent building product with our heads down and blinders on.
It was difficult, but one of the most important phases in company development that I’ve ever been through. When our earliest customers asked us to add or change something that wasn’t in our product roadmap, we ignored them. As customer-centric people, it was so unnatural to do that. It was also hard to be burning cash, knowing that we could be monetizing those customer requests.
But with Domo, I really didn’t want to create a better version of something already out there. If we were going to create something truly special, build something entirely new, we had to truly innovate and create something that inspired us while not being limited by industry boundaries, customer expectations or current feature lists. There would be plenty of time to listen to customers once Domo looked like the product we wanted.
We got to that point in August 2012. We had built something that would change how people thought about enterprise software. Our early customers had validated our vision, and the overwhelming interest in our product confirmed we had touched a nerve.
It was time to turn on our sales machine.
We let loose a team of phone reps focused on the mid market. Since we flipped that switch, it’s been go, go, go.
I’ve never seen sales cycles like the ones we’re experiencing at Domo. Deals are closing in days and weeks unlike traditional enterprise software deals, which typically take months, quarters and sometimes, even years.
We also are closing more deals over the phone at higher values and in shorter cycle times than I ever experienced with 6,000 customers at Omniture. In addition, our product is selling to executives across a variety of job functions and across a wide variety of industries – media and marketing, retail, telco, travel and leisure, financial services and professional services, to name a few.
Domo is probably still too young to put all our trust in this data, but we’re taking this overwhelming response as a very encouraging sign that we’re in the right place at the right time.
The World Has Changed
If you’ve ever had to sell enterprise software, our sales cycle sounds like a fairytale. But the world has changed. Business users are the buyers. They are a group with significant purchasing authority, and to date, they’ve been completely ignored by traditional enterprise software vendors.
And while the average deal size isn’t as big as a traditional sale to IT, the time-to-value for the customer is immediate. And that’s important. Additionally, the potential upside for software that touches every business user is huge.
Why Revenue Cures All Problems
There’s a difference between having 100 customers and 100 paying customers. Quite simply, the first scenario will contribute significantly to cash burn and the second will counter it.
But there’s more to it. I’ve always believed that revenue cures all problems. If you need to raise money, revenue makes investor conversations much more interesting and often makes them easier.
If you have product imperfections, once you have revenue, you’ll quickly figure out how to fix the bugs, otherwise you risk losing paying customers. The same goes for customer service and implementations. Problems? There’s nothing as powerful as a paying customer to ensure you are doing everything you can to deliver the best experience possible.
Revenue is a good salve for many of the challenges you and your startup are likely to face. Personally, I love revenue at this stage because it’s the best validation that we’re delivering value for which customers are willing to pay. It’s a five-star affirmation of our existence that gives our team the juice to keep charging forward.
I’m excited for what is ahead of us at Domo. We’re targeting the enterprise and have seen 30 percent of our revenue come from Fortune 2000 companies. We have killer engineering and sales teams that are taking things up a notch every day.
I’m also excited by the useful and positive feedback our customers are giving us along the way. It’s helping us optimize the value Domo brings to each and every customer.
If our early sales traction is any indication of what the future will bring, we’re in for a wild ride.
December 11, 2012
I recently shared my thoughts on why CEOs need to embrace social media. The post was inspired by a study on the social media habits of Fortune 500 CEOs, which showed an alarming absence of these powerful executives on the most popular social networks.
Today CEO.com released the findings of a follow up study that compares the social media habits of Inc. 500 CEOs against the Fortune 500 CEOs.
It shouldn’t come as a surprise that the CEOs of the smaller, fast-growth companies have a stronger social media presence than the leaders of the older, slower-growth companies, but the gap is, frankly, quite shocking.
CEO.com’s study revealed that Inc. 500 CEOs are 13 times more likely to be active on Twitter, 5.3 times more likely to be on Facebook, and three times more likely to be on LinkedIn than CEOs of America’s largest companies. That’s a huge disparity.
We could chalk it up to Fortune 500 CEOs being averse to change – the “if it ain’t broke, don’t fix it” mindset. But by not having a social media presence, these giants are handicapping themselves when it comes to agility and growth.
There are other lessons that go beyond social media that big-company CEOs can learn from smaller company CEOs. One lesson, in particular, is staying connected to the front lines of your business.
The Value of Staying Connected
When your company grows to a size where employees are in different buildings, states or countries it’s natural for a CEO to turn to the next person in the chain of command to find out what’s going on. Executive committees become the messengers for the state of the business.
While this might seem like a great strategy for efficiency, it’s also the quickest path to becoming dangerously out of touch. By the time information gets to you, it has been through so many hands that it looks nothing like what you would have found if you went right to the source.
Why does this happen? In many cases, well-intentioned managers think they are doing you a favor by sanitizing and editing the information so it’s digestible. Sure, this is often helpful – but if it’s done too much, you’re probably not getting a very accurate read on your business.
I’ve also found that information gets presented in a way that paints the picture others think you want to see. As a result, you end up missing key details and insights from the real data that help you make better decisions. You also are in danger of missing important signals such as the ones that indicate if you might be losing a customer or missing a new opportunity.
Whether your company is 20,000 people strong or 200, you need to stay in communication with the front lines. The person with the best information is not always going to be the one with the VP title. It might be that quiet developer in the corner who has some great ideas on how to improve your product—yet her opinion or ideas never get out of her department because her managers are focused on getting the next release out the door. This is one reason why I also find social media so valuable. It’s the quickest distance between two points. However, as most leaders will agree, not all information is meant for sharing in public forums, so you have to go out and find it.
When I was at Omniture, we had a product guy named Brian Thaut. Brian knew more about our product than just about anyone else in the business. He didn’t have a fancy title, but he had product insights that were priceless in terms of understanding how we could better serve our customers and continue to add value to the experience we were delivering. I knew when I talked to Brian I would get the unvarnished truth about how our product was performing, which gave me the insights to understand what new opportunities we had to grow.
At Domo, I’ve made it a point to seek out people across the company who, like Brian Thaut, have unmatched insights about different areas of the business. A great example of one of these people is one of Domo’s customer success managers, Kate Barlow.
Each day she has conversations with customers, and every night she sends out a recap of the conversations from that day. I’ve made it a point to make sure I’m included on her FIRST distribution of reports. Her reports are raw notes sent in email. They haven’t been condensed into an executive brief and they are often rife with typos. And that’s perfectly okay with me. The reports are full of real details on what customers are saying, where they have pain points and how they are using our product. I love having this information unfiltered and in real-time instead of waiting for a version that’s been cleaned up by someone else for my consumption. I devour the subtle details that might be edited out in a “final” report.
The data gives me food for thought on product development and partnership ideas. It also signals where we should invest in the business. But most importantly, these real-time notes let me know if we are making customers happy and giving them the value we promise. In a sense, these reports are more important to me than any quantitative metrics because they provide the real color and insight that help me make more strategic decisions.
Domo is still a startup, so it’s pretty easy for me to find key people from the front lines like Kate. When we get to be a billion-dollar business, I’ll still want connections with people just like her.
To a certain extent, all big-company CEOs live in an ivory tower. But today’s leaders need to climb back into the trenches and communicate directly with their troops. You need to find your Brian Thauts and Kate Barlows wherever they live in your organization so you get a real read on your business. If you become comfortable with information that’s been manipulated to look good for your benefit, you are putting yourself and your company at a serious disadvantage.
Which brings me back to social media. Never, in the history of business, has it been easier to connect with your customers and employees to understand what they are truly thinking. Social media is another channel to get intelligence from the front lines. CEOs who embrace it will be the ones who create the most value and lead their companies to even greater heights. In that respect, the fortunes of business will favor corporate leaders who follow in the footsteps of small, fast-growth company CEOs.
November 6, 2012
As a CEO, buzzwords or phrases don’t get me excited. I’d rather show my customers the money than some newfangled acronym or buzzword.
Today, big data seems to be one of the most hyped terms in tech. It’s been PowerPointed and white boarded in conference rooms to death. It’s been lauded by tech media as the next big thing. Hot startups have taken millions from venture capitalists. There’s an abundance of big data conferences. And companies everywhere are working on their big data strategies.
Now don’t get me wrong. Big data is real. I had big data in 2002, so the big talk about big data could be considered more than a decade old and, for a lot of companies, it’s still just that: talk.
Many companies have felt the big data pain – spending heaps of money on tracking and storing it. However, the most important step is actually using it. Domo has sponsored a new research report by Bloomberg Businessweek Research Services on “Driving Revenues with Big Data” because we wanted to learn how some companies are transforming big data into real business advantage. This research also aligns with our mission at Domo – to help companies get real value from the tens of billions of dollars spent collecting and storing information about their businesses.
This report shows that big data is not a black art. Whether you are a manufacturer looking to improve your margins or a healthcare company looking to improve your quality of care while lowering your cost of delivery, there’s opportunity to turn your business information into big dollars.
I’m often asked why the time is now for companies to finally start getting value from the avalanche of data they’ve collected about their business. It’s an easy question to answer: the technology has finally made it possible. The acceptance of enterprise cloud computing (another buzz phrase) has enabled unprecedented access to business information, without adding more strain on IT. Gartner Group projects that more than $109 billion will be spent on cloud services in 2012 alone. Also, the proliferation of APIs makes it possible to bring data from disparate systems into one place, giving business users a more holistic view of their business and enabling more powerful and profitable decisions.
I remember once upon a time, it was around 2004 or 2005, we were asked by Walmart to expose our APIs and we said no. We feared that customers would no longer have to come to our platform if they could access us elsewhere. Nowadays, you could never, nor should you ever, expect to get away with that mindset if you want your software company to be around next year. Software companies HAVE to expose APIs because enterprise tech is morphing into one big, connected ecosystem.
We welcome you to download a copy of the report and let us know what you think. While big data is today’s big buzzword, we think it’s time for big data to start delivering big value.