Bad Image - No Funding

 

A software startup almost lost a round of funding due to open beta going wrong.

 

Background Story

The company, in order to continue development, needed another round of funding.

They  had ‘behind closed doors’  conversations with their previous investors.

Two of the investors said no one will continue to invest in a business whose image portrays failure and general dissatisfaction of the public.

The company had to do something about it (and do it fast) before the next round of funding.

The Problem

There was a combination of factors here:

  • Investors rushing the company to launch their product.
  • The product not being fully ready.
  • Poor communication with general public due to lack of time.
  • Unsophisticated feedback management.

All the above led to having a very negative image online, with bad reviews being visible everywhere.

It all happened because external people were not clearly informed the product was  still in an open beta.

That resulted in it being  evaluated as a finished product and ultimately failing miserably.

What We Did to Solve it

Knowing how serious the problem was, we started working immediately after we received their phone call.

We introduced a new feedback management system for the next beta tests were most important comments were flagged and received a quicker response. The system also automatically sent email remainders if a comment was not answered for more than 48 hours.

To help manage the amount of work we assigned some of our own team to help in answering customer support queries and going through stacks of feedback.

We also helped with creating a new list of beta testers. Mainly because the previous list was filled with people not experienced enough to do it. And the company definitely needed to re-do the tests.

Using the feedback gathered and with more skilled people on beta testing list, the company launched another closed beta test.

The results were a lot better now, feedback was more positive, and the negative feedback was quickly answered and logged without any missed information.

2 months later we received a happy call from  from the CEO saying their company received another round of funding. Meaning they are still able to stay in business and continue development.

Funding Received

New Systems Introduced

34% Quicker Customer Response Time

 

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