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Founder conversationUnicorn $50m+

Building the ZoomInfo of China: How We Scaled to $100M Revenue

Zong Peng · Lions Associates

Published September 6, 2024
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What you’ll learn

Zong Peng describes evolving a data business from packages and APIs toward a broader product and distribution model in China. He covers mobile-platform distribution, product utility, and the rising cost of acquiring customers online.

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[Applause] good afternoon can I do a quick poll…

“[Applause] good afternoon can I do a quick poll um how many people use zoom info for your Leen and how much do you spend on it can I ask what how much do you spend with zoom info by the way 6000 6,000 per year well okay um in short hand we are we were by”

2016 what were we doing we're selling data packages…

“2016 what were we doing we're selling data packages and apis to um you know typical small business partners and Enterprises and that is a very sell driven approach and average ticket is not that large and but it kept the lights on and you know but around 2016 and 2017 2018 we made a very bold leap and very big”

Right the other half is distribution and marketing and…

“right the other half is distribution and marketing and we we really capitalized on the proliferation of mobile phones and mobile internet in China it's happening at the time you think about the US and the China it's all happening at the same time but it's two it's two parallel universes and one of the unique things happening in China was the growth of super platforms WeChat you all know WhatsApp right WhatsApp well WhatsApp WeChat has a feature called WeChat official account which is you you as”

Such a useful app like it is an app…

“such a useful app like it is an app that you open up you do a couple searches you quickly realize it its value and then um you you may only use it for few times a month but you never delete it because it's a utility app second is because online traffic is becoming more and more expensive um acquiring customers online through SEO through ASO were becoming”

First and second growth curves

“B2B and DTC 1st and 2nd Growth Curve API & Data Package for: Banks Insurance Firms PE/VCs Sales Orgs Other Biz Entities App for: Lawyers Investors Bank Loan Officers Sales Professionals Students etc.”

Building a data advantage

“Building Data Advantage and Killer Features Freemium & PLG Model 2014 2015 2017 2018+ Business Registry Data 2016 Trade Marks Patents Copyrights Legal Enforcement Investment and financing Judicial documents Job postings News Publicly listed companies Import and export credit Bidding and tendering Judicial auction”

Mobile distribution through WeChat

“Catching the Mobile Distribution Wave: WeChat the Everything App 2m+ followers”

Efficient unit economics

“Efficient Unit Economics Cash Flow Positive and Healthy Engagement Avg. Daily Usage 6 times Avg. Daily Usage 7-9 mins 60%+ M1 Retention 5%+ paying conversion 1-Yr Subscription ~$50 Other Pricing Tiers (2、3yr) Corporate bundles CAC ~$0.2 per Registered User Pricing & CAC Engagement & Conversion”

Testing offline media ROI

“Brand Building - Nationwide Ad Campaign ROI Focused Test-Run Four Tier 1 Cities with 60m population 34,000 Office Building Elevator Screens Running Time: Two-weeks Cost: $600,000 (Deep Discount) ROI: 3Xed our monthly revenue post campaign”

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About the speaker
Zong Peng

Zong Peng

Founding Partner · Lions Associates

Founding Partner of Lions Associates, providing executive search and recruitment services focused on the technology sector.

Company revenue
$100M

Slide text

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16 passages

Building the ZoomInfo of China

  1. SaaSOpen, September 2024 Building the ZoomInfo of China: How We Scaled to $100M Revenue Zong Peng Founding Partner, Lions Associates Ex-CEO, QCC.com

The growth agenda

  1. Over the next 20 minutes I’m going to show you Product Product Strategy 1st and 2nd Growth Curve Pricing & UE Go-to-Market Capital Allocation Mobile Distribution Offline Media & Partnerships ROI Focused Generate Free Cash Flow Stay Focused on Core Business Re-invest in Profitable Growth

  2. Commercial Database in an App First Mover Advantage

  3. Our Revenue Growth Pre-A Round ~$1m Angel Round ~$300K A Round ~$2m B round of ~$10m+

Product and data advantage

  1. B2B and DTC 1st and 2nd Growth Curve API & Data Package for: Banks Insurance Firms PE/VCs Sales Orgs Other Biz Entities App for: Lawyers Investors Bank Loan Officers Sales Professionals Students etc.

  2. What was Going On in the Market? Commoditization of API 90% drop in unit price First mover but many copycats Two other major players

  3. Building Data Advantage and Killer Features Freemium & PLG Model 2014 2015 2017 2018+ Business Registry Data 2016 Trade Marks Patents Copyrights Legal Enforcement Investment and financing Judicial documents Job postings News Publicly listed companies Import and export credit Bidding and tendering Judicial auction

Mobile distribution

  1. Catching the Mobile Distribution Wave: WeChat the Everything App 2m+ followers

  2. Catching the Mobile Distribution Wave ASO/ASM & SEM/SEO

Unit economics and media

  1. Efficient Unit Economics Cash Flow Positive and Healthy Engagement Avg. Daily Usage 6 times Avg. Daily Usage 7-9 mins 60%+ M1 Retention 5%+ paying conversion 1-Yr Subscription ~$50 Other Pricing Tiers (2、3yr) Corporate bundles CAC ~$0.2 per Registered User Pricing & CAC Engagement & Conversion

  2. Brand Building - Nationwide Ad Campaign ROI Focused Test-Run Four Tier 1 Cities with 60m population 34,000 Office Building Elevator Screens Running Time: Two-weeks Cost: $600,000 (Deep Discount) ROI: 3Xed our monthly revenue post campaign

  3. Brand Building - Earned Media

  4. Brand Building - Vanity

Team and recap

  1. Team - 0 to 1, and 1 to 100

  2. Over the last 20 minutes I showed you Product Product Strategy 1st and 2nd Growth Curve Pricing & UE Go-to-Market Capital Allocation Mobile Distribution Offline Media & Partnerships ROI Focused Generate Free Cash Flow Stay Focused on Core Business Re-invest in Profitable Growth

  3. SaaSOpen, September 2024 Thank you! [redacted email] Zong Peng Founding Partner, Lions Associates Ex-CEO, QCC.com