Nicholas Longano, founder and CEO of Scuti, discussed the market potential of G-commerce and Scuti’s business model. Nick also shared with the audience his fundraising experience and his approach to align and inspire the team to reach the company’s goal. Nick is an entrepreneur and thought leader with decades of experience in launching successful companies and brands in diverse industries such as video games, cosmetic and beverages.
[01:20] Nicholas provided an overview of Scuti. First, there was brick and mortar, followed by e-commerce and now Scut created G-commerce, which is commerce through games.
[06:21] Scut’s revenue model is discussed. There are couple main revenue streams: advertising and revenue share from the transaction of the product gamer purchase on the platform. Scuti uses artificial intelligence to present to the players products that they want to buy. It’s also a discovery platform for shoppers. Real world products are shipped directly from the vendors. They come directly from the vendors who guarantees the best price that they control.
[09:53] Nicholas discussed the market opportunity. Gaming is around 200 billion dollars a year in terms of total addressable market. (Bigger than the entire movie and music industries combined) The G-commerce market is estimated to be ~$70bn.
[23:28] Nicholas contrasted his corporate experience vs. running a startup such as Scuti. As a startup operator, every decision the entrepreneur makes is key and instrumental. (You can’t afford to make mistakes as there are limited redundancies and support infrastructure.)
[29:41] Scuti’s fundraising process is discussed. Nicholas believed that it is critical to know your audience. Finding the right investors is a needle in a haystack. You’re not going to just send out or present a pitch deck and expect investors handing you a check. Significant work/diligence to find the right fit between the investors and your business is essential.
[37:56] Nicholas shared his approach in handling difficult questions from investors.
[41:40] The management approach of Scuti is discussed. Every company needs to be aligned in terms of its employees, its team, and in terms of what the goals of the organization. Every team member should be able to tell over-arching goals of the company, and the metrics beneath the goals.
Book mentioned on the show
Atlas Shrugged by Ayn Rand
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