1. HackerNoon: What is your company in 2–5 words?
Aaron Lee: We offer AI-driven call & chat answering to SMB.
2. Why is now the time for your company to exist?
Providing real time 24/7 customer engagement, lead qualification and conversion has been the biggest pain point for SMB as they don’t have the time nor the resources to do it. Traditional call answering services can only handle simple tasks like take a message and gather contact information. With advancements in technology, particularly AI and automation, Smith.ai evolved to leverage AI to answer calls and chat with human-in-the-loop for escalation, expanding services to integrate with CRMs, provide scheduling assistance, payment collection, and deliver enhanced customer support tailored for businesses of all sizes, especially SMBs.
3. What do you love about your team, and why are you the ones to solve this problem?
AI is fast moving but at the current stage, we don’t believe it can handle 100% of the calls and chats as human conversation is nuanced and complicated. Humans can easily detect caller’s emotion but it’s challenging if AI only looks at the transcription, e.g. “That’s great” could be either positive or sarcastic. We believe having a group of highly trained agents + highly tuned AI based on each individual business (think about it as Voice GPT for your business) is the best way to achieve the business outcomes: converting callers to customers. My background is in software engineering, computer graphics with GPU and was the former CTO of The Home Depot which allowed me to work with SMB on a daily basis for years. Our team is unique as we have AI expertise, deep domain knowledge, as well as huge appreciation to the pain points that SMB are facing.
4. If you weren’t building your startup, what would you be doing?
I am very excited about entrepreneurship, helping other startups succeed, and have been angel investing for a long time as a side hobby. I probably would be more active in early stage investments if I wasn’t building my startup.
5. At the moment, how do you measure success? What are your metrics?
We track customer engagement (number inbound/outbound calls or chats) as one of the core KPIs. Another metric we track is Quality, we treat any internal/external complaint/mistake/expectation mismatch as a concern, basically anything that is not satisfactory to our team or clients would be counted as one and we have been able to maintain a 99.7% correctness for a very long time. This metric has a direct correlation to our churn which is extremely low, which drives the flywheel of great reviews
6. In a few sentences, what do you offer to whom?
Smith.ai provides AI-driven virtual receptionist services, including call and chat answering, tailored for small and medium-sized businesses (SMBs). Our offerings encompass 24/7 live virtual receptionists, AI voice assistants, outreach campaigns, and AI-powered web chat, all designed to enhance customer engagement and support. We serve a wide range of industries, including law firms, home services, marketing agencies, medical and wellness, and many more.
7. What’s most exciting about your traction to date?
The most exciting thing about Smith.ai is we have answered tens of millions of calls and chats with extremely high accuracy and satisfaction (99.7%). The most important thing is we help our SMB clients grow by converting callers to customers with the latest AI technologies which is impossible if they were to implement on their own.
8. Where do you think your growth will be next year?
Given the uncertainty in inflation and macroeconomics, we believe the trend of doing more with less by leveraging AI and outsourcing will remain front and center for our clients. The fact that we can drive instant satisfaction and revenue growth at a much lower cost would be a huge tailwind for our exponential growth next year.
9. Tell us about your first paying customer and revenue expectations over the next year.
We started the company back in October 2015 and I am excited to say that the majority of them are still with us today and have increased their spend with us 10X. We recently launched our AI-first Voice Assistant and it’s a total game changer. One client said “whoever put this together is a bloody genius.” - this is the magical moment when the product is so good that wows our clients. We believe we will have a significant jump in revenue next year as we continue to deploy this technology to 30M SMB in the US.
10. What’s your biggest threat?
Our biggest threat is really execution. The market is huge and demand is clear. We have clients asking us for new features on a daily basis and it’s up to us to push the envelope of AI with humans fast enough to meet their needs. Our assessment of the current AI capabilities is that they may struggle with nuanced and complex conversations, especially in emotional or context-heavy interactions. We believe our hybrid human-AI approach is the best in order to bridge the gap. For appointment booking or sales conversion, we believe human touch offers the best business outcome.
This startup founder interview template is based on HackerNoon Founder & CEO David Smooke’s ten questions for startup founders.
Would you like to take a stab at answering some of these questions? The link for the template is HERE.