Founded in 2009, Keeper Security has created a secure, easy-to-use, password manager and data vault for users of the Internet via smartphones, tablets, and computers. The software protects and manages your log-in information and passwords for bank accounts, brokerage accounts, credit card accounts, social media portals, e-mail, etc. and safeguards any other sensitive online information that you want kept private and secure.
PRODUCT/SERVICE: Keeper Security offers three products: Keeper Free, Keeper Backup, and Keeper for Groups. Keeper Free, the freemium version, is a password manager that offers local storage only. It captures log-in information and passwords, organizes and stores them in a secure, easy-to-access vault, and generates strong passwords. Keeper Backup, a paid premium version, offers additional features such as unlimited secure cloud storage, backup, syncing across all devices, password sharing, and web accessibility from anywhere in the world. Keeper for Groups is a multi-user version with auto-sync and sharing across an unlimited number of devices. It includes an intuitive admin console which allows you to easily manage a group’s users and devices. All three versions work on smartphones (IOS and Android), computers (PC’s and Apple), tablets, and popular browsers such as Chrome, Firefox, and Safari.
VALUE PROPOSITION: Keeper Security offers the following value propositions: 1. Organizes and provides easy access to all passwords and private information. 2. Automatically fills in and remembers passwords for all your sites. You don’t waste valuable time searching for or resetting your password. 3. Keeper’s instant password generator suggests strong passwords. 4. Keeper’s Cloud Security Vault provides unlimited storage and backup protection. 5. Secure sharing of records with office teams, work groups, family & friends, etc. 6. Military-grade, 256-bit AES encryption and two-factor authentication prevent hackers from breaking into accounts and stealing valuable information, money, etc. 7. Syncs seamlessly across smartphones, computers, and tablets. 8. Available on all major operating systems and browsers.
MARKET SIZE: The market size is virtually unlimited as there are billions of smartphones, computers, tablets, and other computer devices in the world.
REVENUE MODEL: Keeper Free is a freemium product and Keeper Backup is a paid premium version. You receive a free 30-day trial of Keeper Backup when you sign up for Keeper Free. Keeper Backup costs $9.99 annually per device and $59.99/year for an unlimited number of devices. The average user has two devices although “power users” may have as many as 20 devices. Keeper for Groups charges $59.99/year and covers up to 5 users for an unlimited number of devices. Each additional user pays $14.99 per year.
MANAGEMENT TEAM: Darren Guccione, co-founder/CEO, and Craig Lurey, co-founder/CTO, have already collaborated on several successful ventures. They are the founders of Callpod and inventors of the award-winning Chargepod, Phoenix, Dragon, and other innovative, scalable products. Currently, they have 32 members on their team and are seeking to hire a COO, software developers, data analysts, and sales professionals.
COMPETITIVE ADVANTAGE: Keeper Security has the following competitive advantages: 1. Intellectual property to protect their software. 2. A clean, simple user interface that is easy to use and requires no training. 3. The most secure, password manager on the market. 4. The most secure platform for sharing confidential information and documents with individuals or groups at home, work, or elsewhere. 5. Instantly syncs across all computer devices and works on every major operating system. Major competitors include Dashlane, LastPass, MSecure, 1Password, Roboform, and SafeWallet.
PROOF OF CONCEPT: Keeper Security owns the world’s most downloaded password security application for storing, accessing, and safeguarding passwords and personal information. Their productivity app is top-rated on iTunes with over 50,000 five-star reviews.
CUSTOMERS/USERS: Keeper Security’s software is published in 16 languages, sold in over 80 countries, and downloaded on millions of mobile devices, tablets, and computers. On average, they receive a new user every 11 seconds and a sale every two minutes. The conversion rate from a free to paid subscription is over 10%. The number of paying customers has increased by more than 4000% in the last three years. All sales have been 100% viral through major app stores and via the Keeper Security website with no structured marketing or advertising campaign. Currently, Keeper Security manages over 300 million private records for its users. Revenue is expected to grow by more than 300% in 2014.
STRATEGIC PARTNERS: Keeper Security has strategic partnerships with Amazon, Apple, Google, Microsoft, and RIM/Blackberry.
FUNDING: Darren Guccione, co-founder/CEO, contributed $250K of seed capital. Keeper Security turned profitable in its first year of operation and financed the growth of the company internally until now. They plan to execute a Series A round in the early part of 2014. Funds will be used for product development, IP, sales, marketing, and recruiting.
SUMMARY: Keeper Security has acquired millions of users worldwide and generated significant revenue with no formal marketing campaign. The addition of venture capital in the early part of next year will, in all likelihood, act as a major catalyst and launch the company into orbit. ❒
[Photo of Craig Lurey and Darren Guccione of Keeper Security by David Carman. © Blackline Review]