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Zealery

AI-driven social media marketing solution for SMBs.

USA, Massachusetts
Market: Internet and IT, Information and media, Artificial Intelligence
Stage of the project: Operating business

Date of last change: 05.03.2020
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Idea

When trying to capitalize on social media, SMBs often struggle and cannot afford the average $6,000/month agency, which locks you into a 6-12 month contract. This makes social media marketing inaccessible and too risky for SMBs.

Unlike other solutions in the market, we utilize an exploratory model instead of exploitative. This allows us to provide our services for SMBs with small budgets. Our closest competitor requires a minimum monthly ad spend of $50k. In comparison, our package starts at just $99/month because we think everyone in the world deserves an affordable marketing solution.

Current Status

In 2019, we tested the model and product through alpha and beta and launched in August. We have been growing every month, now at 20 clients and ~$3,000/MRR. Retention rate is 90%, and we improve cost-per-conversion by an average of 20-30% in 1 month.

The next step is to be able to develop cutting edge models integrating sentiment analysis, visual learning, and our conversion data to create personalized website variations and content on the fly. Imagine a world where a mom-and-pop shop can come to Zealery, tell us about their business via text-based inputs, pay $99 and have their sales funnel taken care of. For the end-user, everyone will be shown a tailored piece of creative and then taken to a personalized landing page designed for them.

Market

Zealery's services currently include SEO, social media management, and web optimization. These industries are respectively estimated to be $80B, $17.7B, and $7.32B. Overall, digital ads are the largest ($107B) and fastest-growing (21.8%).

Problem or Opportunity

Acquiring customers profitably is the eternal problem facing every business; especially true for SMBs. When trying to capitalize on social media, they struggle to navigate this foreign space and cannot afford the average $6,000/month agency, which locks you into a 6-12 month contract. Even if they could, common strategies such as A/B testing means money wasted repeatedly in the volatile bidding marketplace. This makes social media marketing inaccessible, unaffordable and too risky for SMBs.

Solution (product or service)

Unlike other solutions in the market, we utilize an exploratory model instead of exploitative. This allows us to provide our services at a much more affordable rate and target SMBs. Our closest competitor requires a minimum monthly ad spend of $50k a month and a fee of $3k due to their need for running large scale statistically significant A/B tests. In comparison, our package starts at just $99/month because we think everyone in the world deserves an affordable marketing solution.

Competitors

It is important to note that we do not compete with publishers such as Facebook or Google. Facebook will never tell advertisers to spend less and go to Google. We're further up the funnel. Our main industry competitors include AdHawk and Trapica.

Advantages or differentiators

We use a universal, exploratory model instead of exploitative, which is used by our peers. This allows us to predict and deploy from the start instead of A/B tests to deliver faster, consistent, and better results while being the most affordable.

Finance

In 2019, we tested the model and product through alpha and beta and launched in August. We have been growing every month, now at 20 clients and ~$3,000/MRR. Retention rate is 90%, and we improve cost-per-conversion by an average of 20-30% in 1 month.

Business model

We are a SaaS product, so naturally, our margins are very high. We currently offer two main packages, a "Starter" at $99/mo and "Growth" at $298/mo. Our clientele is split evenly among the two packages, making our average client worth $198.5/mo. At our current customer acquisition cost of $45 per client, we recoup our investment the moment we convert 1 client. We expect to continue to target the underserved SMBs and grow in volume, while also exploring add-on services for the larger clients.

Money will be spent on

We intend to make 3 hires. 1 full-stack engineer, 1 machine learning engineer, and 1 social media expert. We believe to have found product-market fit and intend to aggressively scale to monopolize the SMB social media marketing space.

Offer for investor

Investment on the ground-floor. So far we have bootstrapped everything and are opening our very first round of financing.

Team or Management

Risks

Mostly competition risk to see who will create the best service while moving fast enough to acquire enough valuable data by servicing many clients.

Incubation/Acceleration programs accomplishment

Northeastern University IDEA Venture Accelerator

Won the competition and other awards

Received $10,000 in non-equity grant from Northeastern University's IDEA Accelerator.

Invention/Patent

We developed our universal, exploratory model in-house. We do use off-the-shelf services such as Google's BERT and Amazon Crawler, but our IP is in how we train and label our data to create the first of its kind in our space. All of our competitors use an exploitative model at best, and none of them have a universal, predictive aspect. This is what allows us to offer our services as the most affordable and attractive to SMBs. The low price is also intentional as we want more clients and data.

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Idea
Current Status
Market
Problem or Opportunity
Solution (product or service)
Competitors
Advantages or differentiators
Finance
Invested in previous rounds, $
Business model
Money will be spent on
Offer for investor
Team or Management
Mentors & Advisors
Lead investor
Risks
Incubation/Acceleration programs accomplishment
Won the competition and other awards
Invention/Patent
Photos
Product Video