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Quantival

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* This private placement investment is only suitable for potential investors who are familiar with and willing to accept the high risk and illiquidity associated with private placement investments. Please review Terms of Use for full disclosures. Also, please review Quantival offering documents for full detailed disclosures/risks before you make any investments.


High Concept Pitch

Quantival’s ‘Optimal Pricing Algorithms’ grow significant new client revenue with negligible business expense. The Intelligent Pricing Engine is a powerful and scalable 'software as a service' that integrates seamlessly with partner infrastructure.

Executive Summary

Overview

The Quantival Intelligent Pricing Engine examines any business’s data and then calculates what their products are optimally worth to a consumer.  It then calculates what price will drive customer purchase to generate optimal revenues given the existing market dynamics.  The Quantival algorithms apply across almost any industry but delivers the highest value to companies that have perishable inventory, meaning anything with a ‘sell-by’ or expiration date.   

The Pricing Engine is applicable across a range of industries and is built on a foundation of several key capabilities:  

  • Data Driven: The Quantival Intelligent Pricing Engine thoroughly examines a business’s products and then provides optimized pricing in near real time.  Quantival then calculates the value of a product, and what price will optimize revenue for the client.  
  • Fully Automated: The Quantival solution interfaces directly with client systems to allow pricing updates in virtually real time.  The system is versatile and can be adjusted to provide updates on a schedule as required by the customer.  
  • Learning and Adaptive:  The system intelligently factors for past pricing, and then continuously calculates the value of each subsequent price.  Most importantly, the system is intelligent.  Every transaction and new piece of data makes the system stronger and smarter. 
  • Scalable: The Engine is built with a flexible cloud infrastructure and delivered as a service.  Quantival can grow to meet the needs of customers of almost any size. 

Traction

Quantival has entered contracts with courses owned / managed by 2 of the top 5 golf management companies, 4 top tee-sheet software companies, the premier golf stats company, and single courses.  Quantival has entered an exclusive joint venture with the NGCOA Canada (Canada’s largest golf organization and the most successful golf course owners association worldwide) which represents more than 1,500 golf courses in Canada for distribution of its pricing engine.

Additionally, Quantival is in discussions for its services with numerous other industries, including for advertising companies, home builders, parking facilities and other sports entities.

Market Opportunity

Pricing challenges affect virtually every industry and business on the planet.  Quantival is focused primarily on industries with perishable inventories, which in and of itself is an immense market.  As an example, in the North American grocery industry alone, nearly $165 billion of inventory is discarded every year. 

Quantival has initially deployed its pricing engine in Golf, which has a global footprint and is a $35 billion industry, with more than 30,000 global courses.

Quantival's NGCOA contract represents a potential $18,000,000 in annual revenue and the software partners represent an additional $42,000,000 in potential contracts.

The Problem

Pricing is a huge problem that few manage well.  It is also an enormous for Quantival.  The issue is particularly complex for businesses with perishable inventory (e.g. golf tee times, parking spaces, stadium seating, supermarket products etc.), with products that expire or pass unused. Perishable products that aren’t sold lose all value and cannot be resold once the minute, hour and/or day has past. The loss to a company from mispricing is very large.  Current approaches such as cost plus or referential pricing are deeply flawed.

Quantival pricing helps a customer grow revenue:

  • Market Share: When priced with Quantival, a partner can sell more of a good or service. 
  • Wallet Share: By pricing more effectively, a partner can increase the amount it sells to each customer.
  • Mind Share: Effective pricing is a key component in driving awareness and trial, allowing a partner to grow their customer base.  

The Solution

The Quantival Intelligent Pricing Engine™ drives new revenue by leveraging the economic principles of demand.  It sets prices by assessing and measuring the variables that impact utilization; and then running that output through proprietary algorithms to compute optimum price and drive new consumption. The system exploits proprietary Quantival code that continuously cycles; learning and adapting per each customer transaction to drive new demand, grow new revenue, reinforce brand, and mitigate the impact of competition. 

Business Model

Quantival uses a combination of subscription fees and revenue sharing agreements for compensation for its services. 

Team

Nile Hatch - Chairman and Co-Founder

Dr. Nile Hatch is a Professor of Entrepreneurship and Strategy at Brigham Young University. Nile holds a PhD from the University of California in Economics and a Bachelors of Science degree in Economics from Brigham Young University. He is the architect and innovator behind Quantival Golf's technology and has spent the last three years researching optimizing pricing. Dr. Hatch has consulted with more than 40 businesses, including the multi-national conglomerates Philips and Siemens on pricing strategy. 

 

 

Richard Bennett - Executive Director and Co-Founder

Richard Bennett is the former CEO of Tarian Technologies and a past consultant and executive of Microsoft, Keebler and the World Bank. He has 15 years of experience at technology companies and extensive experience with the development and introduction of new products. Richard holds an MBA from the Kellogg School at Northwestern University, a Masters in Development Economics from the London School of Economics and Bachelor of Science in Economics from Brigham Young University. 

 

 

Timothy Forstrom - Executive Director and Co-Founder

Timothy Forstrom has an extensive background in capital market valuation and equity trading. He was NDB's (a division of The Sherwood Group of Companies) largest transactional client during the 1990's and has consulted with senior officers of NYSE, AMEX and NASDAQ companies on market related issues. He has served as an expert legal witness for valuation determination and settlement adjudication. He holds a Bachelor's degree from Brigham Young University. 

 

If you have any questions about this investment opportunity, please email team@seedequity.com 

 

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Quick Info

  • Investment Goal: $200,000
  • Pre-Money Valuation: $4,000,000
  • Security Type: Preferred Stock
  • Minimum Investment: $5,000
  • Location: United States Orem, UT, United States
  • Days Left: Finished
  • Industry: Technology
  • Website: http://www.quantival.com