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Robin Mellstrand

๐Ÿ‘ค Speaker
155 total appearances

Appearances Over Time

Podcast Appearances

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

So he basically ended up

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

He had, he's done one sale in the company's history and he talked like a company called bubbler, which is basically the local copy of Netflix.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

If you would say back then they don't exist anymore.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

And he pitched them saying that, yeah, I can be the exact same recommendation.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

And you know, Netflix has, because back then it was all, everything was in white papers was a big, big bus around that six or seven years ago.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

Okay.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

So you said 2012, 2011, I think.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

And he said, yeah, I can build the same recommendation as they had.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

And it did, and obviously worked really well on Netflix data, public data.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

Problem is that all of these kind of algorithms are built around you having massive amounts of user data.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

So they have their global company and they have lots of behavior data, basically.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

So it worked perfectly for them.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

But when we implemented it at Butler, everything fell apart because they're a regional company with not as much data as everyone else.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

And then all the theory behind this algorithm

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

fell together basically so we gave him the product saying this is how you do it use it when you get bigger and then afterwards since we didn't have a new product for our mathematician he sat down and thought all right is there any way else i can understand how products fit together without knowing anything about the users so we applied new type of mathematical research in this particular problem and found a way to do that long story short it turned out to be quite a horrible recommendation engine still but

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

beginning to really interesting search engine.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

Yeah, right now we are, have about a billion a month.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

So we really did a bit of trial and error a couple of years and we launched it middle of 2013.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

And then we changed it on the company.

SaaS Interviews with CEOs, Startups, Founders
1123 Ecommerce Brands Pay Him $3m To Increase Average Cart Value 12%+

We sold off the customer stock for peanuts because, yeah.