Memo

Introduction

Yazi is transforming market research in emerging markets by utilising WhatsApp for data collection, significantly enhancing response rates and data quality. Traditional survey methods, such as email, achieve low engagement, with average response rates around 6%. In contrast, Yazi's WhatsApp-based surveys boast a 40% response rate, which is 6 times higher. This improvement is critical for ensuring data accuracy and reliability, as it allows for a more representative sample.

Solution

Yazi offers an API-driven data collection engine that integrates seamlessly with the best-suited chat channels, currently focusing on WhatsApp. This integration provides a user-friendly environment that fosters higher engagement and reduces drop-off rates. The platform manages end-to-end engagement within a single channel, from sending invitations to collecting responses, which significantly improves completion rates for longitudinal studies.

Market Opportunity

The global market research industry is valued at

$83.9bn⁠

, with over 2 million survey-paying companies. The online survey market alone is estimated at

$7.35bn⁠

and projected to reach $14.3bn by 2030. Yazi’s innovative approach addresses the increasing demand for accessible and effective survey solutions, particularly through WhatsApp, which is expected to become a primary data collection channel for 20% of research firms in the next five years.

Why Now

WhatsApp has experienced rapid growth, expanding from 2 billion monthly active users in 2020 to nearly

3 billion⁠

projected by June 2024. Businesses are increasingly adopting WhatsApp for customer interactions, with the WhatsApp Business API is projected to see a

5,400%⁠

growth in enterprise users, becoming the most in-demand rich messaging channel with almost 55,000 medium and large businesses spending a total of $3.6 billion. This trend presents a significant opportunity for Yazi to become the leading 'WhatsApp research software' provider as companies seek to leverage WhatsApp for more effective data collection.

Product Differentiation

AI Interviewer: Yazi's AI Interviewer stands out by providing an interactive and adaptive research experience. It integrates seamlessly with WhatsApp, making it easy for respondents to engage. Unlike Meta’s "Ask Meta AI," Yazi’s AI Interviewer feels like a natural extension of the chat platform, ensuring high engagement and nuanced qualitative data collection. It supports video and voice notes in over 100 languages, enabling participation from diverse populations.

Survey Scripting and Bulk Messaging Tool: The platform includes a versatile survey scripting tool that supports multiple question types, media collection, and logic. Additionally, the bulk messaging tool allows for personalised mass communication to invite participants to research tasks, enhancing response and completion rates.

Team

Timothy Treagus, CEO

UCT, CFA 1, with a strong entrepreneurial background. Previously founded Billo, an e-commerce brand, and scaled The Delta, a venture builder startup, to 200 employees. He has deep industry experience from running Yazi as a research services business, working with clients like Harvard, Discovery, Old Mutual, and Yoco, which provides a comprehensive understanding of buyers from multiple angles. His extensive network of research professionals positions Yazi for significant growth.

Mzee Sotsaka, CTO/COO

Maths at UJ, former national rower, and senior engineer with seven years of experience. Mzee has a proven track record in building scalable tech solutions, including SARS's USSD chat product.

Traction and Achievements

Yazi has generated R1.3 million in revenue in the last financial year and established partnerships with industry leaders such as Yoco, Stitch, Old Mutual, Duke, and Harvard Business School. Yazi published a report on “

Impact of load shedding on informal sector⁠

” in South Africa that achieved R1.1m worth of media coverage and earned Yazi industry recognition. This traction demonstrates the platform's capability to deliver significant value to its clients.

Roadmap and Milestones

Yazi's roadmap outlines a clear path to growth, aiming to achieve 350 clients and $1.6m ARR by Q4 2025, with an average contract value (ACV) of $4,620. Key milestones include:

Q3 2024: Achieve 17 clients with a $3,564 ACV. Key hires include 2 engineers and a researcher account manager.

Q4 2024: Grow to 50 clients with a $4,266 ACV. Integrate with research panels such as Respondent and KLA.

Q1 2025: Expand to 110 clients. Hire for partnerships/commercial researcher and marketing/UX roles.

Q2 2025: Reach 180 clients. Launch a CX CRM suite of integrations and advanced personalisation.

Q3 2025: Attain 260 clients. Launch in new chat channels (Teams, Telegram, etc.).

Q4 2025: Secure 350 clients. Launch a research panel management feature.

Defensibility

Yazi's competitive advantages include:

Chat-first design: Building for chat-first modality provides an intuitive user experience, maintaining all context within the chat history and simplifying task navigation.

Real-time data processing: Unlike traditional survey collection methods, Yazi's incremental data storage and real-time processing capabilities present significant barriers to entry for incumbents.

Scalability: The platform's API-driven approach allows for integration with various chat channels, making it adaptable and scalable.

Conclusion

Yazi is uniquely positioned to revolutionise market research in emerging markets through its innovative use of WhatsApp and advanced AI tools. By addressing the critical issues of low engagement and high costs, Yazi offers a scalable and effective solution that meets the growing demand for accessible and inclusive market research. With a strong team, proven traction, and significant market potential, Yazi is poised for substantial growth and success.

Want to print your doc?
This is not the way.

Try clicking the ⋯ next to your doc name or using a keyboard shortcut (

CtrlP

) instead.