Venture Atlanta Conference 2016
Venture Atlanta
Nov 8 /

Atlassian President Jay Simons’ Opening Keynote Highlights

Venture Atlanta’s 2016 Conference kicked off on Wednesday afternoon. The opening keynote presentation was delivered by Jay Simons, president of Atlassian, a 14-year-old software company bootstrapped with a $10,000-dollar credit card bill that grew into a company valued in the billions.

Simons started by stressing the importance for Atlassian, as a young company, to learn how to make money versus learning how to spend money. Simons attributed Atlassian’s success to 5 key, and sometimes, unconventional decisions.

1. Price for Volume.

In their first year, they made a decision that would have been highly unpopular with advisors and investors. Atlassian decided their flagship product, JIRA, would have a very simple pricing:

*  Commercial – $800 flat, unlimited users.

* Academic – 1/2 Off

* Opensource – Free

It was this pricing model that forced the company to solve the challenge of selling an $800 product without a sales team. Faced with that, their model philosophy became, “Our products are bought, not sold.” They published the pricing online, made all their products free to try, and were opposed to registration forms and hidden pricing. Purchasing was made simple  so customers could get going in minutes and was completely driven by the product. They focused on improving and investing in the product with an inverted spending plan of 19 percent in sales and marketing and 37 percent in research and development.

Atlassian pricing

 

2. Add Second Product in Year Two.

While many advisors may have said they were losing their focus, this ended being another great unconventional move on their part. Atlassian figured out what chapter two was early on which has been hugely valuable to them.

Their second product, Confluence, was the perfect complement to JIRA which widened their market. It also forced their team to build muscle around cross-step, expansion, and how to bring on a different buyer using the same model. The success they witnessed encouraged them to continue adding new products every two years.

 

3. Forfeit Revenue to Widen the Funnel.

During the recession in 2009, Atlassian was still growing, but it became clear the small businesses they catered to were suffering.  At the time, JIRA was priced at $1,000, which they realized, was a big cost burden for teams of 10 or smaller in uncertain times.

Atlassian made a difficult decision to lower the price to $10 and donate that fee to a charity (Room to Read), effectively making their product free for small teams.  They took a leap of faith that their product would speak for itself, and that they would keep their smallest customers as they continued to grow into higher price tiers try this.

It ended up being the exact right thing to do. Since launching the program they have sold $6 million in $10 licenses. The benefit was a massive and significant growth in their funnel because they were able to bring in more small teams who in subsequent years spent more with  other Atlassian products.

“Sometimes to aid growth, you have to forfeit revenue to capitalize on an opportunity.” – Jay Simons

4. Practice patience.

Atlassian founders decided to think for the long-term from the beginning. It has always been a goal to think about creating a company that would outlast them.

Patience and long-term thinking have given them the benefit of structuring their business to incorporate those ideas into all facets of their business including their sales. Atlassian has consistent growth through their quarters because unlike most companies they don’t make decisions thinking about the quarter, they make them thinking about the 12 months ahead.

With single user customers, they exercise patience, which in turn gives them the foresight to look at the how a customer’s long-term value can grow over the next 5 years.  It’s different way to think about business.

 

5. Create Values and Traditions.

The last, and one of the most important decisions they made early in the company’s growth, was focusing on creating traditions and  a value system that became the keystone of the company. The founders wanted to establish their values to create a system that would survive beyond them. They wanted to document what they thought the company was and wanted to preserve.

“The places that we work at and the people we work with become family, become our homes.”

Simons’ advice was to look for the things that people gravitate to then make them part of the part of the culture.  Atlassian’s values, which Simons said, are still incredibly important to the company have stayed the same through the 14 years of the company’s existence.

Simons ended by challenging early companies to decide to pledge 1 percent to good causes. That 1 percent could be revenue, time, options, or whatever a company decides on. He encouraged companies to begin pledging early and to watch the huge impact their company can have over time.

For more on the “Pledge 1%,” visit www.pledge1percent.org.

 

 

madden 13 ultimate team auction house tips and strategy mutWhat is notable about the above two examples (and other similar arrangements) is that Sports Direct apparently felt no need to try to force its people on to their respective boards. But, then, there was no reason to. Findel is a little different. http://www.ray-banbaratas.top It isn’t in the best of health and its most troubled unit, Kitbag, could be very valuable cheap oakleys to Sports Direct. The latter’s partners include several football clubs, not to mention the NFL and the NBA, whose European stores it runs. Some of those partners are leery of Mr Ashley, but they might be persuaded to change their tune if he were the only game in town, as he would be if the proposed sale fails. Thanks to Malfoy sorry, Mr cheap nfl jerseys Gardener Mr Ashley now has the inside track. The same goes for the wider Findel Group.Cotinine remains in the bloodstream, urine and saliva longer Fake Oakleys than any of the other metabolites and is a good indirect indicator of nicotine concentration in the body.A urine cotinine concentration between 0 and 10 ng/ml obtained with the TobacAlert test kit signifies a non smoker with no nicotine exposure, whereas a concentration between 10 and 30 ng/ml is consistent as a non smoker with low passive nicotine exposure, also known as low second hand exposure. Manchester City pay classy pre match tribute to Chapecoense players and staff killed in aeroplane disasterBrazilian club Chapecoense suffered horrific plane crash on MondayNineteen players among the dead, as well as staff and journalistsA total of 71 people on the plane were killed, and just six people survivedManchester City wore T shirts in tribute to Chapecoense on SaturdayChelsea players Willian and David Luiz paid tribute while celebrating goalMan City vs Chelsea: All the latest from the Eithad StadiumByConsidering how much coverage can be pulled from cheap oakleys sunglasses retorts, objections, and outspoken public figures clamouring for Wholesale NFL Jerseys a piece of the spotlight, it possible that real news is getting lost underneath this news prattle Rudd former media advisor Lachlan Harris in aspeech to the PR Direction,has taken a stand against this relatively recent phenomenon of the opinion cycle, saying it has only Cheap Oakleys Sale become a dominant part of the media landscape in the past five years.After toasting, place 4 to 6 ounces of sliced beef on each bottom baguette half. Combine cheeses and top each bottom baguette half with 1/3 cup of the cheese mixutre. Place back in oven to melt. Remove from oven and evenly top with sliced avocado, salsa and pickled onions. Press the sandwich together and use toothpicks to hold in place.

Comments are closed.