HI, everyone, I’m here with Yunha,
who’s a founder of Locket. And I’ll also be speaking to her
co-founder Kashik later in the course. Yunha, can you tell me
a little bit about Locket and sort of how you got started?>>Sure. So it’s a company that’s two years old. I used to work in investment bank, and
that was my first job out of college. And the idea was this lock screen that
we’re staring at 150 times per day, it’s nothing better than just
a photo and a clock, currently. Can we do something better
than that was the idea? So then I quite my job promptly, and
then I started building the team. So that’s where I found
my co-founder Kashik. And then we moved into
a two-bedroom apartment. Where I lived with five other guys and
three dogs, and living out of the bedrooms and working out of the
living room, so that’s how we started. And the V1 model was to, hey can
we show ads on the lock screen and get paid from advertisers and pay users
to just rent out the lock screen? So that was our initial start. It started off as a very Ramen Noodle
startup, kind of like a project. And then it just suddenly
became a company, after we started fundraising and such.>>Great, and
how was the early user adoption? How did you guys start finding users and
getting that traction?>>It was very abrupt. We thought that we would get like
10,000 users in the first month and that’s how we calculated all these
other ad sales and all that stuff. We ended up getting 25,000
users on the first day. And then we ended up getting like
a million users from that V1 model.>>Wow.>>Which ended up failing. Which is why we pivoted
into a different model. Which is showing compound
on the lock screen. The app is launched, it’s called LockIt, and
it’s launched in the Google Play store. It will show relevant
news on your lock screen. Every time you wake up your phone
it’ll show different news, so that you’re keeping the know.>>Great.
And so you originally had the product which was ads-based, and then you moved
into news because you thought that was bigger traction it was something that
was in demand and people wanted.>>So, the way in which our thought
process worked was we couldn’t pay, so when we were doing
the paper ad swap model. What happen was because we got so
many users in a short period of time. It was impossible for us to plan out
the next ad cycle, because without knowing how many millions of
users we’ll have the next month, it was impossible to
sell the ads in advance. Also, not only that because
advertisers pay us three months after the ad campaigns
have been finished. So we were in business of paying
users first before getting paid from advertisers.>>Yeah.>>So we needed to raise a lot,
like millions of dollars. And we’re just like a three
months old company.>>Yeah.>>So we had to make a decision. We’re not going to do this anymore. Then what is the other type of value
that we can provide on the lock screen. And the idea was, okay,
we just tried out the economics model which is like paying and
rewarding users. Can we deliver the right content at
the right time to our users that way? When we’re pivoting we showed,
we were just testing out by showing some of these other articles
like Justin Bieber just went to jail or, did you know that this airplane had x,
y and z? And the engagement on those
articles were really great, so then we went to talk to these meetup
companies who wanted to partner us and to distribute the content. So that’s kind of like the transition
in which we kind of made. And also user base changed a little bit
too, because when we were paying users, it was the users that really
valued that $3 to $5 per month. Whereas as we were moving
toward the content model, it’s the users that
are hungry to learn more.>>Yeah.
>>And just get this content.>>Interesting.