Meet John Willie: Three-time Tech Founder, AI Expert, and Venture Investor" "Laurana & Rexalto's AI Dynamic Pricing Engine Revolutionizing Car Rental and Mobility Industries

Raising $1.5 million for Rexalto, a startup that has engineered an AI dynamic pricing engine to optimize car rental and mobility company revenue, with 20 paying customers and 6 reseller solutions already in place.

  • 1. The speaker, John Willie, is an investor interested in venture-scale opportunities with potential for a 100x return in 5-7-10 years.
  • 2. He is attending Pitch Tech, where startups in tech domains present their ideas to VCs.
  • 3. Laurana, co-founder and CEO of Rexalto, introduces her company's AI dynamic pricing engine.
  • 4. Rexalto previously co-founded one of the largest European car sharing companies with 75 million annual revenue.
  • 5. Current challenges in the car rental industry include increasing vehicle prices, uncertain residual values, and growing electric vehicles.
  • 6. These factors require car rental and mobility companies to focus on making money from operations and increasing fleet utilization.
  • 7. Rexalto's AI dynamic pricing engine sets the right price at any given time, balancing supply and demand using historical data, market data, competitors' prices, and other factors.
  • 8. The system not only sets prices for customers but also integrates with fleet management systems or OTAAS for real-time adjustments.
  • 9. Rexalto focuses on North America, Europe, and the Middle East, working with small companies and large enterprises in the car rental and mobility industries.
  • 10. The company's AI models learn from past performance to make better predictions and improve quality over time.
  • 11. Rexalto charges per car, per month for their dynamic pricing engine.
  • 12. They offer AB testing with big customers, comparing revenue increase between different locations.
  • 13. Worst results from AB testing showed a 5% revenue increase, while the best result was a six-fold increase for a luxury car rental company.
  • 14. Rexalto's dynamic pricing engine helps companies avoid human error and automate pricing processes.
  • 15. The system does not change prices based on individual customers but uses coefficients to price for different customer clusters.
  • 16. Laurana mentions that their website doesn't clearly communicate what they do, and the pitch helps clarify their offerings.
  • 17. John Willie shares his background as a three-time founder with multiple exits and an engineer since age five.
  • 18. He emphasizes the importance of demonstrating traction and having a clear problem-solution fit in pitches.
  • 19. The discussion highlights the need for clear, concise messaging that focuses on the value proposition and evidence of success.
  • 20. Both speakers agree on the potential challenges of implementing dynamic pricing due to customer backlash and brand risk.

Source: EO via YouTube

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