The Exchanges

Q Okay, good. And, and let's just quickly, I'm interesting, some interested in some of the unit economics. So when you're acquiring customers, how are you typically acquiring them? What channels? Do you have an inside sales team?

A Yeah, we have a, we are a company structure. We have a 10 people on our business team. We do sort of sales and marketing. So we basically have three sources by funnel. The first one is the SEO in there. So we have a pretty strong team. If you search, most of these are telemedicine terms. We're on the first page on Google, like whether it's Skype telemedicine or whatever, or telemedicine platform and those things in there. That's our first parameter. Then the second stream is We do using outbound, basically using LinkedIn outbound to target specifically, you know, key demographics. And the third thing, we just have a set of partners, resellers in there, and they actually generate sales. We will work with them.

AI assessment note: “we basically have three sources by funnel. The first one is the SEO”

Q That's funny. Well, good. So, so you've taken a lot of this video kind of technology, you know, we're using Skype right now, and you've built this into, you know, the platform that you're now astronauts are streaming video back to their command centers. Healthcare patients are talking to nurses. What other industries are you in?

A Yeah, for instance, we actually started as a general video conference market, but we actually pivoted to be purely on telehealth. One of the reasons is, uh, in telehealth, uh, if you only have video, it's actually not sufficient in there. You actually need a bunch of these other capabilities. For example, how do you connect the medical device? How do you take your blood pressure? How do you add it to a remote ultrasound? How do I have a workflow, like a call center workflow, so you could be, uh, effective in there. So productive. Turn out that these days about probably videos, maybe about 20% what we do, the 80% what we do is about aiming to make telemedicine just an everyday experience. How do you make a, you know, super fast for the physician, doctor, nurse to be very productive.

AI assessment note: “we actually pivoted to be purely on telehealth.”

Q Got it. So you've got, you've got kind of those both channels now. Are you, are, is this, are you doing any paid marketing acquisition or no?

A No, in there, we haven't done a bunch of experiments by this. So my, uh, because of my maybe nerdy backgrounds, I think our startup is really about, is it like how do you do a thousand experiments before you die? What I mean by this is like a starter, you have finite runway, whether time, energy, whatever. So the way we think about it is just how do you do these experiments rapidly? So we have done in the past, we have done these are paid all sorts of things, you know, from buying customer lists and all these things we find is the most effective way is really it's just organic. Plus, outbound through LinkedIn. Plus, uh, this will have a personal partners, especially healthcare, like one of the strongest way you have partner who you plug in the ecosystem, then they become your reseller or partner, you go after deals together. That's really, really effective.

AI assessment note: “No, in there, we haven't done a bunch of experiments by this.”

Q Yeah, so there's a heavy, heavy, heavy video component here, right? I mean, that's what you're known for. This is what really you invented. How is your technology built into, you mentioned Facebook chat and, and, uh, Facebook Messenger.

A So the way, um, how he came about is, uh, at the end of my PhD, I was got invited by Peter Alessandre to work on the XMPP video standard with him. Uh, by the way, I was not involved in the XMPP chat component. So when XMPP, when they're looking at adding the video components, I did a bunch of research. So he asked me to work with him on the standard. So that's how I got my name on the standard document in there. So we're pretty excited. So since the day I was working on the XMPP, XMPP video standard. Now XMPP become probably the biggest, uh, larger, uh, protocol, you know, from the Google, the Facebook, just all sorts of people. It's just very lightweight standard to use. Also for us, um, I would say for our companies.

AI assessment note: “I was got invited by Peter Alessandre to work on the XMPP video standard”

Q Yep. That makes good sense. So, so you're, you're retaining most of your customers. Uh, you have kind of healthy lifetime value, 52 folks out there, uh, in California. Uh, Milton, what's, what's the plan for the next, I don't know, for the next year? What, what, what revenue target if you hit in 2017 would make you really, really happy?

A Yeah, I think for us is, um, um, in addition to almost like, we view this revenue target secondary to helping our, the getting the adoption in there. So I'll give you one case, for example, the Kaiser Permanente CEO, like at the Salesforce Dreamforce conference, he's published data, like the 52% of the Kaiser Permanente's, uh, this is now virtual, right? You know, for everyone, you know, the whole news to talk about that. Turned out that It's a little bit not quite true, right? Most people say, say, do you mean like, 52% of Kaiser Permanente visitors are not on telemedicine? No. What they mean is, every time you're going to, ah, let's say, a webpage, a patient portal, request some information, that's considered a visit. So today, as an industry, telemedicine natural adoption is very low in there. So we see our job is rare, but there are a lot of companies out there from Teladoc to American. Well, MDLive, they made a boatload of money, like, you know, doctors demand, right? They raised, like, you know, hundreds and millions of dollars. But if you look at all, a lot of these companies, actually, adoption is very low. So we view our job is, how do you help the whole industry to increase adoption? Just like, for example, like, um, for you to able to see your doctor remotely, and they're just like, almost, just everyday experience. You don't even think about it. So that one is not t…

AI assessment note: “we view this revenue target secondary to helping our, the getting the adoption”

Q And are you, do you have mechanisms and are you at net negative revenue churn yet? Meaning your expansion revenue is greater than any lost revenue.

A Yeah, correct. And there's overall the growth stage is really good in there because I think we've been pretty lucky. If you think of the whole telehealth space, right, is most people believe is there's, you know, like the days of before Uber, after Uber, before Airbnb, after Airbnb, like before iPhone in there, think about like just access to healthcare, right, all the way from how to keep the low the cost of healthcare. So telemedicine become the key instrument just to solve a bunch of the healthcare issues, right, whether you're an individual A patient, you want to be able to see this doctor who might be far away to get a second opinion or your entire healthcare system. How do you know the cost of, you know, staffing, getting a specialist, all these different things. So that's why there's a huge, like the market demand, just like massive, um,

AI assessment note: “Yeah, correct. And there's overall the growth stage is really good”