build or buy? moving your email to the cloud

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Build vs. Buy Carly Brantz Director Of Marketing Brian O’Neill Product Manager 12/13/2012

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Email is deeply woven into the fabric of most organizations, and finding the right solution that supports the entire organization can be challenging, confusing, and frustrating. Join Carly Brantz and Brian O’Neill on December 13th at 2PM EST as they discuss the decision of moving email to the cloud along with special guest StumbleUpon.

TRANSCRIPT

Page 1: Build or Buy? Moving Your Email to the Cloud

Build vs. Buy

Carly Brantz Director Of Marketing

Brian O’Neill Product Manager

12/13/2012

Page 2: Build or Buy? Moving Your Email to the Cloud

Housekeeping ReadyTalk Conference Tools Console • View in Full Screen modeQuestions for Carly, Brian and StumbleUpon• Ask questions by using the CHAT function  • When the presentation begins, you will see the

chat box as a floating window to use at any time• We will answer as many questions as possible

and those that we don’t get to in a follow up blogFollow up• You will get an email with a link to the recording

and a copy of all slides

Page 3: Build or Buy? Moving Your Email to the Cloud

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Carly [email protected]@carlybrantz

Brian O’[email protected]@emailpm

WHO WE ARE Today’s Speakers

Tali LeffNimish Parmar

Page 4: Build or Buy? Moving Your Email to the Cloud

Company Overview

• Founded July 2009

• TechStars graduate(Boulder, CO)

• 110 employees across 4 offices– HQ: Boulder, CO– R&D: Anaheim, CA /

Romania

$27M venture capital raisedSeries B closed Jan 2012

Angel investors include:• Scott Petry (Founder, Postini)• Matt Mullenweg (Founder, Wordpress)

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Page 5: Build or Buy? Moving Your Email to the Cloud

Delivering Email at Scale

Serving 60,000+ customers

Sending over 6 billion emailsper month

Transactional and marketing email solutions

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Page 6: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

This is a metaphor

Page 7: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

Your Mail Server

Easy, right?

Page 8: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

AOL

Yahoo

Goog

Live

.edu

Etc…

ISPs

Spam Folder

Your Mail Server

Still easy, right?

Page 9: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

AOL

Yahoo

Goog

Live

.edu

Etc…

ISPs

Spam Folder

Your Mail Server

uh…

Page 10: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

AOL

Yahoo

Goog

Live

.edu

Etc…

ISPs

Spam Folder

Your Mail Server

wait…

SORBS

BSB

CBL

PSBL

SPAMCOP

Etc…

BlackLists

Page 11: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

AOL

Yahoo

Goog

Live

.edu

Etc…

ISPs

Spam Folder

Your Mail Server

email…

SORBS

BSB

CBL

PSBL

SPAMCOP

Etc…

BlackListsQuick Note: These lines do not represent actual agreements between domains and blacklist providers…

Page 12: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

AOL

Yahoo

Goog

Live

.edu

Etc…

ISPs

Spam Folder

Your Mail Server

stahp!

SORBS

BSB

CBL

PSBL

SPAMCOP

Etc…

BlackLists

Goog

Bright Mail

Mail Trust

SpamAssassi

n

MSGLabs

Etc…

Spam Filters

Page 13: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

Blacklists• Multiple Providers• Ever changing and many require action

Many SPAM Filters• Distinct Rules and Limits

1,000’s of Email Service Providers

1,000,000’s of Domain

Page 14: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

Email Security is Serious • Phishing and Spear phishing

attacks up 56% in 2012• Companies are targeted

directly.• Virus and other mal-ware

distribution

Email is ALWAYS on High-Alert!

A metaphor courtesy of Martin Clothing

Page 15: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

Email Must Be Responsive• Throttling must respond to

server messages• Hosts, ISPs, and other

vendors make changes that require your app to adjust its tendencies

So many metaphors!

Page 16: Build or Buy? Moving Your Email to the Cloud

The Challenges of Email

In-House Email Costs!• Email Delivery Experts

are a requirement to achieve delivery at scale.

• Scaling is expensive and requires planning

• Any delivery impact is a direct and indirect cost.

This lady knows what I’m talking about.

Page 17: Build or Buy? Moving Your Email to the Cloud

The Costs

In-House Scaling• Hardware

– Rackspace– Hosting– Installation– Planning This is all very expensive.

Page 18: Build or Buy? Moving Your Email to the Cloud

The Costs

In-House Scaling• Software

– Licenses – Upgrades– Installations– Integrations– Testing

Page 19: Build or Buy? Moving Your Email to the Cloud

The Costs

Additional Considerations• Staff

– Upgrades, Installations, Maintenance

• Email Deliverability– Loss of revenue– Resources for firefighting– 20% goes undelivered

I’m expensive.

Page 20: Build or Buy? Moving Your Email to the Cloud

Why the (Quote)Cloud(Unquote)

Reduced Cost• 52%

Reduced Time To Market• 41%

Operational Efficiencies• 39%

What business factors drive the move to the cloud.

Source: http://www.capgemini.com/

Page 21: Build or Buy? Moving Your Email to the Cloud

Cloud Based Benefits

• Reasons to make a cloud move– Agility– Infrastructure Cost Reduction– Reduced IT Management Resources– Increased Capacity– Increased Productivity

Page 22: Build or Buy? Moving Your Email to the Cloud

Cloud Based Benefits

How far have you gotten in cloud adoption?5% 14% 64% 17%Embarking Early

AdoptionMaturing Near

Maturity

• 92% of IT Executives say cloud adoption is good for business• 67% of IT Executives say cloud helps IT deliver better systems for less money• 62% of IT Executives say SaaS apps give business

Page 23: Build or Buy? Moving Your Email to the Cloud

StumbleUpon Emails

Page 24: Build or Buy? Moving Your Email to the Cloud

Overview: About StumbleUpon

• 25M+ Registered Users• 25% of Stumbles on mobile• 7 hours/month spent Stumbling

Page 25: Build or Buy? Moving Your Email to the Cloud

Overview: Key Email Numbers

• 30 different types of email• 20M+ weekly rec emails sent/month• 25M+ emails sent per month• 2M+ clicks per month

Page 26: Build or Buy? Moving Your Email to the Cloud

Email’s Role in StumbleUpon

Why email is important:

Types of emails:

• It’s our #1 communication channel to users• It’s a way for us to communicate, engage & educate• It’s a way to reach out to inactive users

• Ongoing & automated• One-time sends• Testing groups

Page 27: Build or Buy? Moving Your Email to the Cloud

Types of Emails

Page 28: Build or Buy? Moving Your Email to the Cloud

SendGrid APIs

Full event API integration

Use HBase as the primary datastore

Data validation and reference

Page 29: Build or Buy? Moving Your Email to the Cloud

Why Outsource?

1. Deliverability Issues

• We were doing everything in house• Didn’t have relationships or experience in general with ISPs, and had a lot of deliverability issues• Decided on a 3rd party solution to handle deliverability load and provide best practices• Our end goal: make sure our emails get delivered to our users’ inboxes.

Page 30: Build or Buy? Moving Your Email to the Cloud

Why Outsource

2. Usability

3. Budget & Style

•Wanted to manage email creation and management in-house• Needed flexibility• Didn’t need a full suite solution

• Budget conscious• Didn’t need to outsource everything• Wanted to stay focused and data driven

Page 31: Build or Buy? Moving Your Email to the Cloud

Making the Right Choice• Determine the true cost of

maintaining your own email infrastructure.

• Outline your requirements and research reputable providers

• Compare your on-premise costs with that of a Cloud provider.

• Get customer feedback. 31

Page 32: Build or Buy? Moving Your Email to the Cloud

Why SendGrid?

Our infrastructure is ready to scale and meet the demand at any moment, thereby eliminating your email headaches so that you can focus on your core product and meet the email demands of

your business.