NachoNacho: Revolutionizing the Subscription Economy with Fintech and AI

B2B SaaS is cloud-based software that businesses can access from anywhere as long as the users are connected to the Internet. B2B SaaS offers many advantages: Instead of buying software licenses, businesses can take advantage of flexible pricing options.

NachoNacho is a groundbreaking B2B SaaS + services marketplace driven by Fintech and AI. The platform revolutionizes how businesses manage, discover, and obtain discounts on SaaS and services, offering up to 30% off lifetime deals.

In this article, let's learn more about NachoNacho, its founders, products, strategies, challenges, and more.

NachoNacho - Company Highlights

NachoNacho - About
NachoNacho - Industry
NachoNacho - Founders and Team
NachoNacho - Startup Story
NachoNacho - Vision and Mission
NachoNacho - Name and Logo
NachoNacho - Product/Services
NachoNacho - Business and Revenue Model
NachoNacho - Launching Company Strategies
NachoNacho - Customer Growth and Retention Strategies
NachoNacho - Challenges Faced
NachoNacho - Growth
NachoNacho - Marketing Strategy
NachoNacho - Recognition and Achievements
NachoNacho - Funding
NachoNacho - Key Tools and Software
NachoNacho - Competitors
NachoNacho - Future Plans

NachoNacho - About

NachoNacho is a B2B SaaS + services marketplace powered by Fintech and AI. Manage, discover, and get discounts on SaaS + Services (up to 30% off lifetime).

NachoNacho - Industry

NachoNacho observes that SaaS purchasing is undergoing a shift towards decentralization, indicating a departure from relying on MSPs and SIs. This trend empowers internal department heads to autonomously procure subscriptions. Consequently, it results in increased SaaS sprawl throughout organizations. In light of this, NachoNacho recognizes the significance of its Subscription Management and Spend Management features in addressing these evolving needs.

Through the NachoNacho platform, users can leverage AI-powered tools to identify suitable software solutions by comparing their buyer profiles with those of similar profiles from other companies. This capability enables NachoNacho users to discover relevant software effectively. Additionally, NachoNacho facilitates purchasing at discounted rates and centralizes the management of subscriptions, streamlining the entire process for business users.

Exploring the World of AI-Powered Productivity Tools

Unlock efficiency with AI-powered productivity tools! Supercharge your workflow and save time. Explore the future of work with cutting-edge AI tools.

StartupTalkyAbira Dutta

NachoNacho - Founders and Team

The two Founders met after having experience in the software industry for many years. Sanjay Goel, the CEO, had previously worked as a Managing Director for Hedge Funds, Deutsche Bank London, HSBC London, and Citibank. More recently Sanjay launched a software company named Oximity, which was sold to Scribd. Alan Szternberg, the CTO, was previously the owner of several development agencies including mirabelle.io and GooPlus after having gained a lot of experience at amazon.com for many years. Alan primarily manages the technical side of the business, while Sanjay helps with overall company operations and has his hand in almost every aspect of the company.

The company currently has 16 employees and a fully remote work culture, although both the San Francisco and New York City teams will meet at local co-working spaces on a bi-weekly basis. Their team intends to set trends rather than follow them. This requires first-principle thinking - a key element of their ethos.

Their diverse team can be found in over 7 countries around the world, giving them a multicultural perspective to help solve the challenges of the B2B SaaS industry. They believe a good team foundation is built on values, not where you’re from. They believe in the empowerment of talent at all levels - giving ownership and responsibilities beyond a team member's current skill level or
experience. They believe in lifelong learning, and learning by doing.

NachoNacho - Startup Story

Both founders of NachoNacho have extensive backgrounds in both large corporations and startups. They have observed the pervasive influence of the subscription economy across various facts of professional and personal life, noting its generally positive impact on both buyers and sellers of subscription products. However, drawing from their collective experiences, they identified several issues within the subscription economy.

As buyers of subscriptions, they encountered challenges such as:

1. Experiencing significant financial waste due to subscription sprawl within their companies.
2. Struggling to discern which subscriptions were held by different departments within the company.
3. Facing uncertainty in selecting the most suitable subscription products to fulfill specific needs.

On the seller side, they observed intense competition across all categories of subscriptions, leading to substantial increases in user acquisition costs. In response to these challenges, the founders recognized the need to streamline and harmonize the subscription economy by establishing a centralized platform for both buyers and sellers.

Drawing inspiration from successful marketplaces like Amazon, eBay, Etsy, and Upwork, the founders envisioned creating a similar marketplace tailored specifically for subscriptions. Although initially focused on subscription management, the founders pivoted their approach based on user feedback, realizing the market gap for a comprehensive solution encompassing discovery, purchasing, and management experiences for SaaS products.

In 2019, NachoNacho commenced its journey with a vision to primarily address subscription management. However, with valuable user feedback, they swiftly adapted their strategy to cater to the broader needs of the market. This evolution culminated in a successful seed round of fundraising, securing $3 million in early 2022. This capital injection enabled NachoNacho to expand its team and scale its operations to further innovate and grow within the subscription economy.

NachoNacho - Vision and Mission

NachoNacho building the world's first and largest true marketplace for subscriptions to harmonize the subscription economy and foster its further growth. It uses the latest fintech tools to create powerful user experiences for all stakeholders in the marketplace.

NachoNacho - Name and Logo

NachoNacho means “Dance, Dance” in Hindi. A lot of people ask us about it, since the term isn’t well-known in the US, it mostly catches and draws attention that way. For people in the know, in India especially, they might recall a famous Bollywood movie. For NachoNacho, it connects with its vision to be constantly moving while creating a fun, positive community environment for both the SaaS vendor and SaaS buyer experience.

NachoNacho - Product/Services

NachoNacho is a single destination for businesses to manage and buy SaaS products. Users connect their payment source to their NachoNacho account and create one virtual VISA card per subscription. They migrate all their existing subscriptions to NachoNacho by simply changing the virtual card being used in each subscription account. They also buy new subscriptions by creating a new virtual card per subscription.

As a central hub for businesses to manage and buy new subscriptions, NachoNacho acts as an efficient matchmaker between buyers and sellers. NachoNacho can predict the needs of buyers based on their purchase behaviour and recommend products most suitable to them.

NachoNacho utilizes a variety of AI and Fintech tools to better enable users to identify new software they should be using, analyze wasted software spend, then manage all of their subscriptions and spend company-wide in one platform. In the early days, the platform was primarily focused on consumer subscription sprawl (e.g. Netflix and other consumer subscriptions), but more demand was seen in the B2B SaaS subscription space, which led to the pivot in 2019-2020.

NachoNacho - Business and Revenue Model

Their business model mostly depends on the referral CPA they get for driving business to its vendors. This way they’re aligned with the best interests of their partners to help sell their products, again harkening back to the win-win mentality that they have in their Marketing and Partnerships teams.

NachoNacho - Launching Company Strategies

A lot of the first users came through personal relationships. The core team, and especially the Founders, have a lot of preexisting relationships and a good reputation amongst businesses. This alone was able to draw in the early customer base, after that it became all about word-of-mouth, especially among SaaS vendors hungry for new opportunities to acquire new customers at a lower CAC.

Word-Of-Mouth Advertising: Connecting Consumers

Word-of-mouth advertising is the most important and valuable form of marketing that cannot be neglected in the e-commerce era. Read the full article to know more about word-of-mouth advertising.

StartupTalkyAditi Chawda

NachoNacho - Customer Growth and Retention Strategies

As a Marketplace for SaaS and Services, it partners with every vendor that comes onto its platform. These collaborations are designed to be win-win-win to build their brand awareness, the awareness of other vendors in its community, and for NachoNacho as the best place to buy SaaS and Services online. NachoNacho currently does not spend any money on Marketing, everything is a sweat equity investment in team member hours, content collaborations with partners, and SEO. NachoNacho sees its Marketplace as a community, which grows by doing mutual collaborations that help promote their partner’s businesses and create awareness for its vision to harmonize the subscription and B2B services economy.

NachoNacho - Challenges Faced

One of the major challenges they faced was the adoption of their powerful Fintech tool, which they call NachoCards. These empower users to access premium discounts on SaaS products, but more importantly, track and control all of their subscriptions spend company-wide. One of the challenges was getting users to understand how they’re used as a Fintech tool, as opposed to just any other credit card, to do this they created a freemium approach to the Marketplace which enables users to quickly access software perks and discounts, learn about the importance of SaaS management and solving the Subscription Sprawl problem, then upgrade to access that feature on their own timeline.

What they’ve come to find is that once their business users understand how NachoCards work (as a Fintech tool, as opposed to a traditional credit card), they love using them for each and every subscription - one card per employee per vendor, just the way the platform was designed in order to maximize their ability to track and control subscription spend. As a startup they’re constantly faced with new challenges and opportunities to enhance the user experience for the platform, but as they gain more partnerships, the value of the Marketplace continues to grow for its users as they’ve essentially become a one-stop-shop to find all of the popular SaaS products at a great price and with the ability to access powerful Fintech and AI tools that enable finding their next SaaS tool easier than ever and, more importantly, solving the subscription sprawl problem with their easy-to-use SaaS management features.

NachoNacho - Growth

They operate globally mostly remotely, but have shared office space in New York City and San Francisco. They cannot publicly disclose profitability or revenue due to internal company policy. They have over 25,000 businesses signed up and ~ 1000 vendors signed up for the platform on both the SaaS and Services side. They’re rated consistently 4.5 stars and above on review aggregator websites such as G2, Trust Radius, Capterra, and more.

NachoNacho - Marketing Strategy

They do a lot of co-marketing initiatives which include webinars that generate social media sound clips from SaaS leaders. They’ll also do content collaborations which include blog posts, social media announcements, and videos with its partners that involve co-announcing the new partnership. They believe that a “rising tide raises all boats” and that the growth for their platform as well as the revenue opportunity and brand awareness for its partners is inextricably intertwined. They seek to grow mutually through win-win-win collaborations.

NachoNacho - Recognition and Achievements

As of the current date, NachoNacho has not received any awards. Nonetheless, the company receives consistent acknowledgement from its vendor partners, which include some of the leading SaaS brands in the industry such as Gusto, Zoom, Oracle, and many others. NachoNacho has curated an impressive roster of over 700 of the most popular software brands, and this list continues to expand daily as the company adds new partners to its platform. This robust network of reputable vendors underscores the company's position as a trusted and valued partner within the SaaS ecosystem.

NachoNacho - Funding

NachoNacho - Key Tools and Software

Here are some top tools that NachoNacho use:

• Github - development project management 
• Hubspot - CRM 
• Superset - Data and analytics 
• Google Analytics - Data and analytics 
• Instantly.ai - Email Marketing 
• Postmark - Transactional emails

NachoNacho - Competitors

The top NachoNacho competitors are:

• Appsumo: More of a Marketplace competitor, but focused primarily on early-stage startups. Vendor: An enterprise-focused SaaS procurement and management platform. 
• Zluri: Spend and subscription management platform (no Marketplace) 
• Torri: SaaS Management platform built with a focus on IT managers

NachoNacho - Future Plans

They will be constantly evolving their Marketplace offering, especially since recently they added a Services Marketplace. They expect their Marketplace offerings to grow dramatically in 2024. They’re also improving its subscription discovery service as they allow SaaS buyers to provide more profile data and paired with SaaS usage and purchasing behavior from similar profiles, they are more accurately able to suggest the right software tools for SaaS buyers.

FAQs

Who are the founders of NachoNacho?

Sanjay Goel and Alan Szternberg are the founders of NachoNacho.

What is NachoNacho?

NachoNacho is a B2B SaaS + services marketplace powered by Fintech and AI and it manages all your SaaS and business expenses in one place using virtual credit cards.

What is a NachoCard?

NachoCards are virtual Visa cards that are created on a per-subscription basis within your NachoNacho account.