As the Founder and CEO, I’m often asked, why the name ScaleX?
The answer may surprise you. I originally registered for www.scale.ai through two different hosting providers and was told both times – sorry, we shouldn’t have sold you this URL, it wasn’t available. After being accepted (before being declined), I started on the website, the logo, product literature, etc. 48 hours later when we were officially told we couldn’t get the URL, I thought a lot about it and ended up getting ScaleX. What’s significant about the X in ScaleX is that I worked for FedEx right out of collect, I worked for WebEx in 2005 – 2007, and now ScaleX.
So naturally, when I scheduled this webinar with Jason Hubbard, VP of Growth from SalesIntel.io, and their team suggested the name of the webinar be – The X Factor – AI for Data Intelligence, I had to think about it for a minute. One could argue the X is for Acceleration, or the X is for Target Market, or exponential growth (I must admit, that’s why the x is actually a little x, scale to the power of…).
As I got to thinking more deeply about sales and top-of-funnel prospecting, I did realize that indeed data really is the X-Factor. With good data, outbound can work brilliantly, with bad data, a sales or marketing leader could incorrectly say “outbound didn’t work for us”.
As the leader in “done-for-you” prospecting, there are three core traits of data for us and our clients:
- Direct-dial phone numbers matter – until recently, there was only one show in town for this information. Now there are two – SalesIntel.io is one of them.
- The LinkedIn URL of the contact matters – “the other guys” used to offer this standard in their solution, not anymore. SalesIntel does.
- Emails that don’t bounce – When you invest in data, you expect that the data provider has done the data scrubbing and clean-up. SalesIntel.io has a team of researchers, and they use AI to ensure data is clean, and recent.
A brief history of B2B data, from my perspective:
- First, there was D&B, Hoovers, InfoUSA, and at WebEx, Riverbed, and other companies where I led the sales efforts, I used these tools.
- I remember when Jigsaw was the best data source for sales professionals. Then they were bought by SalesForce.com and morphed into Data.com, and now, well, that product was sunsetted.
- Then there was RainKing (AI algorithm that tells you who to call next, wow!) and DiscoverOrg, and ZoomInfo. And then they all merged into ZoomInfo (powered by DiscoverOrg).
- I would argue that ZoomInfo was (and in some cases, is) your best bet if you required the trifecta for data shown above (Direct-dial numbers, LinkedIn URL, and Emails that don’t bounce).
- However, as companies like ZoomInfo introduce a “platform fee” where basically you can search data, but you have to use a credit to download data, the cost per unit of data can go up dramatically.
- At ScaleX, the recent renewal quote was a 60% increase in cost/lead to keep the same platform
- I’m hearing that these types of customer increases (with the introduction of the platform fee in 2019), are across the board. One of our “competitors” was investing $40,000/year, and they were being asked to invest $65,000/year going forward for the same data set (which would have brought their cost per lead up to > $1 per lead).
The moral of the Data Story, The X-Factor, at this moment – There is a place for most of the flavors of data out there and ZoomInfo/DiscoverOrg is certainly a great choice if you have the money to afford a $1 per lead price point. For many ScaleX customers – Seed round to Series C companies, and public companies like Sodexo, Sykes, and RingCentral, they want the X-Factor, which is great data, at a rate < $1 per lead.
When choosing your data partner, our recommendation: first to determine what are the most important attributes when buying data.
- If it’s a good email, and you don’t call them or reach out on social, Seamless.ai, or LeadIQ are great.
- If you need to track triggers and alerts in the marketplace, and then reach out, Lead411 is amazing – we use this to track funding rounds.
- If you need the trifecta, there are really two options – ZoomInfo and SalesIntel.io. One is about 2X the cost of the other.
Chad Burmeister | CEO | ScaleX.ai