The Most Effective Way of Visualizing Funnels


This post is by Tomasz Tunguz from Tomasz Tunguz


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I first learned about Sankey diagrams in my thermodynamics class and they’ve since become one of my favorite data visualizations and analysis tools. Sankey diagrams, like the one above of visitors to this blog, show the flow of things. Originally created for measuring the flow of energy through powerplants, they are incredibly useful for content marketing analysis, visitor analysis or any other kind of funnel analysis. The best Sankey diagram ever created is Charles Joseph Minard’s depiction of the Napoleonic War, which was made famous in Edward Tufte’s Book, The Visual Display of Quantitative Information.

The Most Effective Way of Visualizing Funnels


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




I first learned about Sankey diagrams in my thermodynamics class and they’ve since become one of my favorite data visualizations and analysis tools. Sankey diagrams, like the one above of visitors to this blog, show the flow of things. Originally created for measuring the flow of energy through powerplants, they are incredibly useful for content marketing analysis, visitor analysis or any other kind of funnel analysis. The best Sankey diagram ever created is Charles Joseph Minard’s depiction of the Napoleonic War, which was made famous in Edward Tufte’s Book, The Visual Display of Quantitative Information. It’s amazing because there are at least five different dimensions of data displayed in an intelligible way. Try that with any other chart. I use Sankey diagrams to understand how people navigate through this blog. At the bottom of this page, I’ve created a Read This Next box. Google Analytics’ Sankey diagram showing user Continue reading "The Most Effective Way of Visualizing Funnels"

The Next Big Opportunity in Mobile Advertising


This post is by Tomasz Tunguz from Tomasz Tunguz


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The typical mobile phone’s home screen is occupied by more than 30 applications. A digital tragedy of the commons, each additional mobile application a user downloads decreases the odds of an average application re-engaging a user. After all, the time spent on mobile isn’t increasing fast enough to cover the marginal application. Developers have used push notifications effectively to re-engage users, but push overload drives more and more users to opt out of push.

The Next Big Opportunity in Mobile Advertising


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




The typical mobile phone’s home screen is occupied by more than 30 applications. A digital tragedy of the commons, each additional mobile application a user downloads decreases the odds of an average application re-engaging a user. After all, the time spent on mobile isn’t increasing fast enough to cover the marginal application. Developers have used push notifications effectively to re-engage users, but push overload drives more and more users to opt out of push. Because of this app over-population and the tremendous reach many mobile developers have, mobile advertising spend will shift from new customer acquisition to re-engagement. The mobile cost-per-install market is measured in the billions. But the mobile re-engagement market will be measured in the tens of billions. After all, most of the internet ad spend is on re-engagment. The largest internet ad spend categories, retail, financial, telecom, auto and travel all spend extensively on re-engagement. Continue reading "The Next Big Opportunity in Mobile Advertising"

Startup Best Practices 2 – Startup Team Sizes


This post is by Tomasz Tunguz from Tomasz Tunguz


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At its core, a startup’s advantage in the market is the speed created by focus. When a team is well orchestrated, they can accomplish amazing things. Creating an environment that fosters communication best is therefore an essential part of startup management. But how best to do it? Founders have to balance span-of-control with span-of-managerial-responsibility. In an article this week’s New Yorker, Amazon’s founder/CEO Jeff Bezos is quoted on the subject with a contrarian point of view:

Startup Best Practices 2 – Startup Team Sizes


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




At its core, a startup’s advantage in the market is the speed created by focus. When a team is well orchestrated, they can accomplish amazing things. Creating an environment that fosters communication best is therefore an essential part of startup management. But how best to do it? Founders have to balance span-of-control with span-of-managerial-responsibility. In an article this week’s New Yorker, Amazon’s founder/CEO Jeff Bezos is quoted on the subject with a contrarian point of view:
Communication is a sign of dysfunction. It means people aren’t working together in a close, organic way. We should be trying to figure out a way for teams to communicate less with each other, not more…
Bezos reduces communication with the two pizza box team. He reasons, if you can’t feed a team with two pizzas, it’s too large. Metcalfe’s Law shows that the number of relationships within a team increases geometrically as Continue reading "Startup Best Practices 2 – Startup Team Sizes"

The Language of the Web


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When I first started programming at a startup, I were proud even snobbish about the language we used: Java. I derided JavaScript. I couldn’t have been more wrong. JavaScript has become the dominant language of the web. Every browser, PC and mobile, understands Javascript. It is a lingua franca among computers. Some hardware even speaks JavaScript. Because of its universality, JavaScript’s growth has compounded. The chart above shows the number of code repositories by language on GitHub, as analyzed by RedMonk.

The Language of the Web


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




When I first started programming at a startup, I were proud even snobbish about the language we used: Java. I derided JavaScript. I couldn’t have been more wrong. JavaScript has become the dominant language of the web. Every browser, PC and mobile, understands Javascript. It is a lingua franca among computers. Some hardware even speaks JavaScript. Because of its universality, JavaScript’s growth has compounded. The chart above shows the number of code repositories by language on GitHub, as analyzed by RedMonk. JavaScript’s share has tripled in 5 years and the number of job requisitions seeking Javascript has grown in parallel. As JavaScript’s popularity has ballooned, the technology has matured. Google has accelerated JavaScript performance by 7x in just four years by boosting JavaScript’s virtual machine, called V8, to the benefit of 750 million Chrome users. JavaScript, long known to be notoriously slow, is now faster than Ruby. Additionally, new Continue reading "The Language of the Web"

How Much Cash Does Your Startup Need To Go Public?


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How much cash does a tech venture-backed company burn through before IPO? The median 2013 VC-backed tech IPO burned $33M and the average company burned $76M. The chart above shows the net income/burn rate of 2013 tech IPO by years since founding. Four categories of companies jump out in the chart: the profit leaders, the middle-of-the-pack, the negative hockey stick, and the go-for-broke. The profit leaders, Veeva(VEEV) and RetailMeNot(SALE), have generated tremendous profits from the outset.

How Much Cash Does Your Startup Need To Go Public?


This post is by Tomasz Tunguz from Tomasz Tunguz


Click here to view on the original site: Original Post




burn_rates_by_year.png How much cash does a tech venture-backed company burn through before IPO? The median 2013 VC-backed tech IPO burned $33M and the average company burned $76M. The chart above shows the net income/burn rate of 2013 tech IPO by years since founding. Four categories of companies jump out in the chart: the profit leaders, the middle-of-the-pack, the negative hockey stick, and the go-for-broke. The profit leaders, Veeva(VEEV) and RetailMeNot(SALE), have generated tremendous profits from the outset. The middle-of-the-pack companies, including Rally(RALY) and Tableau(DATA), burn no more than $25M annually. Some like Chegg(CHGG), RingCentral(RNG), Marketo(MKTO) and FireEye(FEYE) show reverse hockey-sticks - their burn is increasing at an increasing rate. And the go-for-broke contingent of WorkDay(WDAY), Twitter(TWTR), Gogo(GOGO), Violin(VMEM) and SilverSpring(SSNI) have exceeded the $100M burned in one year mark. In addition to the capital invested to become public, a startup must have cash on its balance sheet at IPO. The median
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Continue reading "How Much Cash Does Your Startup Need To Go Public?"