Simble clinches first significant data analytics platform contract
Simble Solutions (ASX:SIS) has inked a pivotal sales contract and strategic partnership with UK-based utility broker, UCR Consultants (UCR).
The three year deal with UCR is Simble’s first significant contract for its data analytics platform, SimbleSense Lite.
UCR itself specialises in utility cost reduction for business and private customers, and manages over 40,000 customer accounts and more than 60,000 meters across the UK.
SimbleSense Lite, meanwhile, is a software-only entry level SaaS product with low-cost deployment and rapid market penetration potential, without the need for on-site hardware installation.
UCR will deploy SimbleSense Lite to a minimum of 10,000 meters with the potential to expand to up to 60,000 meters. Each customer has an average of approximately 1.5 meters per site.
The minimum contracted SaaS revenues of this deal amount to approximately A$680,000 over the contract term and will increase to A$3.9 million if the internal target is achieved.
Offered in an affordable SaaS subscription model, the cost is absorbed by the utility provider or broker.
SimbleSense Lite is a cost-effective way for providers to increase customer retention and acquisition and build loyalty with their brand. Users that require real-time visibility and control on energy consumption will upgrade to the Simble Energy Platform, a bundled software and hardware solution with Internet of Things (IoT) capabilities.
UCR and Simble will also assess future monetisation opportunities, and there’s potential for Simble to generate additional SaaS revenues from upsells and deployment phases. Notably, the anticipated contract value doesn’t include revenue streams from upgrades.
Fadi Geha, CEO of Simble, commented on this contract: “We believe UCR’s footprint in the UK utilities market reflects both our target market and desired method to market. UCR has captured a large user base that trusts their provider and we have now become part of this ecosystem.
“This partnership will bring mutual benefits to both parties: Simble will gain fast and cost-effective access to our target market, while our energy efficiency focused software solutions provide UCR with a source of differentiation over competitors, thus facilitating customer acquisition and retention in a crowded marketplace.”
Darrell Brookes, Managing Director of UCR, commented: "We are expanding our service offering with a focus on technology and innovation and are very excited to offer Simble's data analytics platform to our commercial clients. It is simply not enough anymore to just offer the cheapest deal as customers want more value and transparency from their utility broker. We look forward to engage with our clients and are confident that Simble's technology will add significant value to our growing customer base.”
Geha added: “This deal is the outcome of investment we have made in our sales engine and the fruition of key partnerships as we leverage our first mover advantage in the UK – a market significantly larger than Australia. We continue to grow our footprint, both in the commercial and residential space, taking three products simultaneously to market – SimbleSense Lite, SimbleSense (the Simble Energy Platform) and Virtual Analytics.
“The agreement brings us one step closer to our vision to grow this business globally with meters under management in the multi-millions.”
Today’s announcement follows news earlier this week that Simble, alongside Cambridge Architectural Research Limited, has been awarded a £383,000 (A$680,000) UK government grant from the Department for Business, Energy & Industrial Strategy (BEIS) as part of a funding scheme to support energy efficiency projects in UK homes.