How Breezometer CEO Ran Korber grew Breezometer to $9M revenue and 30 customers in 2021.

launched the company uh back a few years ago and in 2014 now has 23 team members based there mainly in Israel Over 30 paying customers they did over a million dollar in Revenue last year with the goal to hit $10 million in ARR hopefully by the end of this year less than 1% monthly churn in fact it's less than 5% annually so super low there and it's too early on the ca stuff still they're still working on figuring that out as they scale and grow with $5 million raised this is episode 718 coming up tomorrow morning you'll learn from Steven Goss and the big question is does question-based advertising build the future well he sold 40 million bucks and sales don't lie but first here's today's episode this is the top where I interview entrepreneurs who are number one or number two in their industry in terms of Revenue or customer base you'll learn how much revenue they're making what their marketing funnel looks like and how many customers they have I'm now at $20,000 per talk 5 and6 million he is held bent on global domination we just broke our 100,000 unit sold Mark and I'm your host Nathan lka hello everyone my guest today is ran corber he is the CEO and founder of a company called breeo meter and his ambition is to improve the health and quality of life for billions of people across the globe by providing accurate and actionable air quality data again he's the co-founder of the company and he's really truly the leading air quality analytic company and one of Israel's top 10 promising startups in 2015 with millions of daily users we're going to jump into it all right now ran are you ready to take us to the top yes thank you Nathan what a great introduction did you like that am I hired you are hired definitely all right give us a give us an overview what's the company do and you mentioned you know the number of millions of viewers we'll jump into that in a second but how do you make money great that's a great question so in a Nell we help companies that have iot products to increase user engagement to increase sales and impact their users daily routine and we do that by providing highly accurate realtime location based air quality data okay and we already helped our customers leading companies like GE Dyson Cisco Motorola to increase their sales by more than one billion US dollar last year to increase their sales yes how does how does your product help them increase sales that's yeah so I will I will get into that so we make the invisible visible by providing highly accurate location based air quality which also include pollen data which can be integrated into any device or technology such as smart home apps mobile apps and so forth and for example Dyson the famous iot company which is famous for their vacuum cleaner but they also have humidifier and an air purifier is using bisomet air quality data and using our data the Dyson air purifier turn on whenever the air quality outside is substandard okay and the user also get realtime notification on the Dyson link mobile app and he knows that somebody is protecting his health and so Rand let me just let me summarize that for a second just to make sure so you Dyson is a customer they pay you and what they're paying you for is to is to basically tell their buyers of their vacuums that today there's a lot of pollen in the air so if they're vacuuming they should turn on their thing that decreases the pollen count in their house yeah so it's not for the vacuum cleaner it's for their air purifier oh air pu okay is an air purifier yes yes yes exactly and it's not only telling them but the air purifier is an iot device so it's turned on automatic Ally and then you know the user has this clean effect he knows that the product that he's bought in his own money is doing his job and then he share it with his friends and he tell that everyone and then Dyson and other companies that have solution to protect ourself and protect our loved ones from the air pollution outside uh increase their sales increase user engagement increase user satisfaction so how again how do you make money are you selling an application one time is it a recurring business what how do you make money yeah so we provide license to our API that have the and we provide uh air pollution data Real Time air pollution data historical air quality data pollen data is an API to our customers and they pay us on a recurrent monthly basis so you would consider this a SAS business exactly it's you know SAS it's very it's very close to SAS but actually it's D dat is a service yep yep okay good so so what is the average customer like Dyson paying you per month yeah so all of our customers are Enterprises B corporates I mentioned Cisco G I can also mention L'Oreal acuweather big big companies and also they using are using our data in very big volumes they have millions of users that use our data every hour H uh but I cannot share the the to pricing but you can don't give me the total pricing I'm just looking for an average I mean are we talking 10,000 bucks per month 100,000 per month a th000 per month on average what are you seeing higher higher than the the last number that you mentioned higher than a million dollars per month no higher than than $1,000 per month I I can say on on you know I just read a book by Jason leming the founder of SAR so he mentioned that you know the company goes from the impossible to inventable and the impossible is $1 million in AR and the inventable is $10 million in AR and we are somewhere in between okay got it so right now as of what is it April May 2017 you're doing somewhere between a million and 10 million do in annual occurring Revenue did you did you break a Million last year in sales or will this will okay got it will you break 10 million this year I hopefully you think so yeah you know we are we are entrepreneurs we always optimistic y but yeah okay great all right let's get more into the backstory here so what year did you launch the company in so the Story begins in 2012 before that I have to say that I am environmental engineer and this is also also half of of our R&D our environmental Engineers this is what makes us unique and in 2012 I was searching a house to buy for my family and my wife has asthma and she was pregnant with our first child and as environmental engineer I knew how shortterm exposure to air pollution can have severe health effects to her and our child and it's have the same severe health effects almost like smoking it's like it's like smoking and and even for a short-term exposure of only one hour uh to air pollution that can also that might create an asthma attack and increase the risk for premature birth so I thought to myself how can I protect her and you know every one of us at the end we want to protect our our families so I I approached the ministry of Environmental Protection in Israel H to ask them you know where is the cleanest place to live and even them they couldn't provide me with a will time hyper local air quality data that I can use in order to make this decision so together with my colleagues Z lman and EM Fisher bromet co-founders we decided to build this app to show you what you are with in time what year did you found the company in ah in 2014 okay so 2014 and have you got what's the team size today so currently we are 23 employees all based there in uh in Israel 21 in Israel and two in the US ah very good and then what is the did you guys decide to bootstrap this or if you raise capital and if so how much we currently raise more than five million US dollars in two rounds okay and when was the last one the last one was in July 2016 3 million in July 2016 and was the one before that the 2 million was that a convertible note or something h no it was Sid Sid it seed okay so you did your seed 2 million and then July of last year about 12 months ago uh in July again 2016 you did a $3 million series a priced round yeah pretty much you know there are several convertible loans along the way but yeah pretty much okay and and when you say convertible loans what do you mean by that you had like Bridge rounds or or describe to us how that worked ah con CLA is convertible loan agreement between rounds sometimes you have an investors that is willing to invest with the right terms and it's a fit for the company in terms of the vision and Prestige and but you are not ready to go around yet H so he's joining in the middle and and how do you make sure that the terms you give that investor doesn't piss off all your other investors so again you know in a company it's always a discussion you speak with your investors we we are very lucky that all of our investors are are approachable they share the same vision of the company which is to improve the health of billions of people and I can approach them and discuss them and we make those decision together got it now let's fast forward to today so uh you mentioned some of your customers at are public but how many total customers are working with you today um so in terms of users it's million of users but it comes from about 30 companies and again each one of them are Enterprise got it so about 30 companies like Dyson you mentioned acuweather and and then obviously they have millions of users each and that's how you get your million users number walk us through like how this actually works so if someone listening right now wants...