BACKGROUND
Masa Shinomiya is a senior mechanical engineer at Yamaha Motor Ventures, where he is responsible for providing engineering support for portfolio companies.
Previously, he worked as a body design engineer for a scooter in Yamaha Motor.
Prior to that, he worked as a CAE engineer. He supported structural design, such as for commercial motorcycles, race bikes, surface mounter, and various research projects.
Masa graduated from Tokyo University of Agriculture and Technology with a master of Mechanical system engineering.
In his leisure time he enjoys riding motorcycles and skiing.
Case Study: YoDerm
Despite having an excellent service, a medical consultation business will often struggle from high acquisition costs and low customer life-time value. Learn how this B2C startup overcame these challenges to succeed.
ACCOMPLISHMENTS:
4x revenue in 16 weeks
3x customers while decreasing CPA by 30%
Closed $1.6M seed round within 30 days after accelerator
ABOUT THE COMPANY:
YoDerm provides on-demand consultations from online dermatologists.
THE CHALLENGE:
How do you increase revenue while facing high acquisition costs and low customer life-time value?
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Given the nature of healthcare decision-making, many startups find that the costs of customer acquisition are relatively high compared to most B2C businesses
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For the average, relatively healthy patient, healthcare isn't consumed at high frequency or regularity; how do you generate recurring revenue despite this?
HOW THE 500 PROGRAM HELPED:
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Driving revenues by increasing unit transaction value: experts sat down with YoDerm weekly to help the team leverage bundling, up-sells, and various other strategies to increase unit transaction value. Their growth-hacker point-of-contact not only helped to write and create effective content, but also worked with the founders to implement these strategies from a technical side.
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Discovering emerging channels: experienced growth-hackers "give you the scoop" on newer marketing and advertising channels before they become popularized. Lower advertising volume on these early platforms allows for potentially cheap, high-conversion advertising (in YoDerm's case, this was Pinterest 18 months ago).
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Optimizing existing channels: mentors helped YoDerm segment customers and prospects based off their point in the sales funnel, and subsequently utilized targeted messaging via email-drip and re-targeting to maximize conversion and retention
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Jumpstarting fundraising via the 500 Network: in addition to qualified introductions from venture partners and former founders that are recognized in the industry, the alumni network (current and past 500 founders) offered access to a far-reaching network of angels for potential introductions, meetings, and checks
THE RESULTS:
4x revenue in 16 weeks
Implementing strategies such as bundling and up-selling increased both the average transaction value and the likelihood that consumers would become loyal repeat-customers. These factors ultimately quadrupled revenue.
3x customers while decreasing CPA by 30%
Meticulous segmentation of prospects (consumption history, point in sales funnel, etc.) and specific, targeted marketing led to a greater volume of customers at a lower average cost-per-acquisition.
Closed $1.6M seed round within 30 days
Frequent pitch-preparation and feedback from experts at 500 Startups, in addition to a great deal of hustle from YoDerm's founders, led their team to close the seed round within 30 days of completing the accelerator program.
Benjamin Holber,
Co-Founder
500 provided the framework we've used to grow the business by 7x in the past 9 months. They won't spoon-feed you and they won't lie to you. Soak up their experience, collaborate with your batch, and work your ass off to succeed
Chris Minnich,
Co-Founder
It's similar to Alcoholics Anonymous: 'the system works if you work the system'…also there's free coffee and real people confiding in one another on a daily basis :-)
Ryan Hambley,
Co-Founder
500 Startups helped us solidify our growth framework: experimenting, prioritizing, thinking about growth in more scientific fashion. That, plus it granted us access to a network of investors, hustling founders, and helpful mentors that jumpstarted our fundraising process.