1/ Data businesses are generally misunderstood. DaaS has different metrics than SaaS.

While there has been a lot written about SaaS businesses (how they operate, what metrics to watch, etc.), there has been surprisingly little written about data businesses.

— Auren Hoffman (@auren) June 18, 2019

3/ Data is ultimately a winner-takes-most market.

As a data company starts to dominate its niche, it can lower its price and gain more market share and use those resources to invest more in the data … thereby gaining more market share (and the cycle continues).

— Auren Hoffman (@auren) June 18, 2019

5/ DaaS is just about assembling verifiable facts. It is all about Veracity and TRUTH.

Good framework is truth vs. religion. pic.twitter.com/T1pMomSZhn

— Auren Hoffman (@auren) June 18, 2019

7/ DaaS margins look horrible at $10M ARR and look amazing at $100M ARR because the cost of data goes in COGS.

“incremental margins eventually become extremely attractive at successful data businesses” – Michael Meltz, EVP of @Experian

— Auren Hoffman (@auren) June 18, 2019

9/ DaaS is growing. Just 5 yrs ago, only ~20 of the 11,000 hedge funds were using alternative data. Today it is still only about 100 funds. In five years it will be over 500 funds.

And every other industry is buying data at the same rate as hedge funds.

— Auren Hoffman (@auren) June 18, 2019

11/ Read more about Everything you want to know about running DaaS companies (Data-As-A-Service Bible) at the @SafeGraph blog:https://t.co/tgrn8CVskL

— Auren Hoffman (@auren) June 18, 2019