News and Announcements
iCompLii Investor Update: Results of Initial Trials, New Sales and Marketing System, Competition & Rights Issue
- Published July 05, 2016 4:16PM UTC
- Publisher Wholesale Investor
- Categories Company Updates
Results of Initial Trials
At the beginning of 2016, we carried out a very successful three month trial period. During that time, we did a small amount of marketing via our websites and social media channels to encourage the audience to create an iCompLii profile. In just 3 months we had over 16,000 individual profiles created.
In that initial trial we monitored various aspects of the onboarding process, and the progression of people signing up to create a profile. Through monitoring we have found and taken steps to build on the positive trends, and quickly update to improve the process even further. We also uncovered a few minor deficiencies whilst carrying out the quality checks, which were quickly rectified.
With each new business that signs up we are fine tuning the advertised features and benefits, and in turn the value proposition for our target clients. We have been able to tailor sales strategies and more importantly, continually improve what companies react most favourably to in their sales pipelines. We have now released the first customised landing pages for companies, allowing these companies to build their own talent communities. This has been a successful value add to our business clients already using the compliance tool.
We have now connected several hundred workers to employers and know that several dozen of these connections have resulted in part time and permanent placements. This success has placed us nicely in front of the media. iCompLii has been showcased in several newspapers and we were invited to a radio interview for the great work we are doing to help people back into the workforce, whilst lowering the cost of organisations doing business.
New Competition
Traditional recruitment and cloud based HR tools is a very busy space. For most of our journey in the recruitment space there has been very little evidence of any direct competition, but we knew it couldn’t be too far away.
In Q3 of 2015 iCompLii started marketing to begin building the iCompLii brand, and since that time several other competitors have also stuck their heads out of the sand. The interesting thing to note here is that each competitor is doing only an aspect of what iCompLii is doing, but none have put it together in a single suite. None of these competitors are creating a truly portable profile, which is where the biggest value is to a business, reducing administration and compliance burdens.
Personnel Management Sector Update
In recent months we have witnessed some exciting and successful events in our sector –
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LiveHire has successfully listed on the ASX with a $10m capital raise and a $40m valuation
(LiveHire’s platform is similar to just one part of the iCompLii platform, the talent pools.)
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TikForce successfully raised $4.5m in a reverse takeover of Palace Resources, with a valuation a little over $10m (TikForce has a platform similar to iCompLii’s compliance section)
And the big one –
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Microsoft has acquired LinkedIn for a bit over $26 billion.
The success of TikForce and LiveHire suggest that the public market is ready for platforms like iCompLii; validation that iCompLii is on the right track. Whilst both LiveHire and TikForce are reporting they are in revenue, they are at a very similar stage to iCompLii with enough clients to prove concept only.
The acquisition of LinkedIn is one of many acquisitions in the social media and user database sector, and it is exciting because it shows that larger companies are hungry for user information. To our knowledge, iCompLii holds far more sophisticated and structured data than many of the other companies being acquired.
New Sales and Marketing System
On the 1st of July we rollout the trial of the new sales and marketing system, which is a hybrid of traditional sales system and multi level marketing. This new iCompLii sales and marketing system will return an average of 38% of all sales revenue back to the compensation plan, which also means that iCompLii has a fixed cost of acquisition, and retains 62% of sales revenue.
Another positive is that, via independent consultants, iCompLii can reach workers and candidates faster, meaning that the new sales and marketing system is covering both sides of the market place. We are also expecting a greatly reduced commercialisation cost through the hybrid sales and marketing plan.
Not everybody was reachable in late May when we were gauging interest and opinions of the new sales and marketing plan. So, if you were one of the people that has not been given more detailed information, your iCompLii contact will get in touch during July to find out if you are interested in receiving commissions for referring candidates and businesses to iCompLii.
Technology
iCompLii has finalised the first stage of our iOS native app and has been lodged with apple, and should be available in next month or two for download, the App is free to download and will be a value add to the iCompLii community. The Android app is now in development and will be ready for testing in a few week
These native phone apps are going to lower the barrier to entry for and non-technical people, and already have the following capabilties
- Point and shoot simplicity with the camera to get documents into iCompLii
- Messaging capability built in where you can message your connected friends and communicate with iCompLii for assistance,
- The app keeps your basic details at you finger tips, like;
- iCompLii ID
- Connect Pin ( you need this toenable connecting to businesses )
- TFN
- Super details
- USI
iCompLii has entered talks with with both encryption technology companies, Block chain and AI technology to machine read all credentials loaded into the system, These talks are progressing well and in some cases we have already come to agreements that just require formalisation
Rights Issue
We are now initiating the next stage of fund raising. As you know, the Board had proposed to open a $1.5m dollar Series A raise earlier in the year. Due to a successful application of R&D funding for financial year ending 2015, and acceptance of our project for additional R&D funding in the current financial year, the Board of iCompLii has decided to do a much smaller raise.
The current fund raise is open as of today 28th of June 2016, where we intend to raise $510,000 through the sale of 3,000,000 new shares via an offer that is a Rights Issue. The Rights Issue entitles each of the existing shareholders the opportunity to purchase an additional 1 share for each 15.8 shares you currently own, at a price of 17c per share.
The purpose of a Rights Issue is to give first option to existing shareholders so that post fundraising, your current holding in the company is not diluted. New and existing shareholders will be given the opportunity to purchase shares that are not taken up in the Rights Issue. If we receive a great deal of interest in the Rights Issue, the Board will consider whether or not to issue additional shares at the Rights Issue price to meet over subscriptions.