Submitted
Last Updated July 19, 2018
Work of the Future
STORM Technologies
Team Leader
Mirella Kirsten Galang
Basic Information
Our tagline:
Seeking to enhance employee lives by enabling employees to choose much more relevant benefits through a comprehensive benefits marketplace
Our pitch:
Around 20% of total employee costs in the Philippines goes to benefits.
The problem is, companies mostly follow a one-size-fits all package, offering no internal differentiation: employees are forced to accept benefits they neither want nor need. This is a big problem considering that for the first time in history, there are now 5 (very different) generations in the workplace.
This problem is exacerbated because there is also very little external differentiation in the market: benefit packages from one company to another, across industries, are very similar. As a country, the Philippines spends around $24 Billion annually on benefits. This is big money down the drain because the system helps neither employer nor employee.
STORM solves this problem through its FLEX technology, a benefits platform which allows employees to trade their current benefits to points, which they can then use on a benefits marketplace. From having fixed 3-4 benefits, they can now choose from 15,000. A family man can buy more insurance or even toys for the kids. Those with aging parents can buy medicine or a TV. A health buff can buy gym membership and some running shoes.
The employee is much happier with the increased ability to take care of herself and her family. The employer is happier because employees are more satisfied and productive.
STORM also very recently launched ALLCARE, a decentralized blockchain platform that makes company benefits like healthcare, insurance, training, and other perks accessible to ALL workers: the fast-growing gig economy freelancers, professionals, entrepreneurs, and others.
The problem is, companies mostly follow a one-size-fits all package, offering no internal differentiation: employees are forced to accept benefits they neither want nor need. This is a big problem considering that for the first time in history, there are now 5 (very different) generations in the workplace.
This problem is exacerbated because there is also very little external differentiation in the market: benefit packages from one company to another, across industries, are very similar. As a country, the Philippines spends around $24 Billion annually on benefits. This is big money down the drain because the system helps neither employer nor employee.
STORM solves this problem through its FLEX technology, a benefits platform which allows employees to trade their current benefits to points, which they can then use on a benefits marketplace. From having fixed 3-4 benefits, they can now choose from 15,000. A family man can buy more insurance or even toys for the kids. Those with aging parents can buy medicine or a TV. A health buff can buy gym membership and some running shoes.
The employee is much happier with the increased ability to take care of herself and her family. The employer is happier because employees are more satisfied and productive.
STORM also very recently launched ALLCARE, a decentralized blockchain platform that makes company benefits like healthcare, insurance, training, and other perks accessible to ALL workers: the fast-growing gig economy freelancers, professionals, entrepreneurs, and others.
Where our solution team is headquartered or located:
Pasig City, Philippines
The dimensions of the Challenge our solution addresses:
- Other (Please Explain Below)
- The Flex and Gig Economy
About Your Solution
What makes our solution innovative:
Our competitors:
1) HR consulting firms: do flexible benefits using a traditional model wherein employees can spend their own money first and then submit receipts for reimbursement. Adept in HR theories and business processes but lack technology focus
2) E-Commerce firms: mostly use a B2C retail model which would have a wide assortment on their marketplace but lack HR or benefits expertise
Designed as both an HR firm and a technology firm, STORM has the technology advantage versus the HR firms and has a functional HR domain expertise advantage over the marketplace firms
1) HR consulting firms: do flexible benefits using a traditional model wherein employees can spend their own money first and then submit receipts for reimbursement. Adept in HR theories and business processes but lack technology focus
2) E-Commerce firms: mostly use a B2C retail model which would have a wide assortment on their marketplace but lack HR or benefits expertise
Designed as both an HR firm and a technology firm, STORM has the technology advantage versus the HR firms and has a functional HR domain expertise advantage over the marketplace firms
How technology is integral to our solution:
STORM integrates technology, insights from data, and an extensive and exclusive marketplace to empower all types of workers to maximize the benefits they earn.
From 2013 to date, since the implementation of STORM's B2B2C e-commerce model, STORM has grown its clients by 500%, its customers by 2500%, and its revenue by over 1000%.
Our most recent endeavor, ALLCARE, seeks to bridge self-employed benefit seekers and benefits providers through a decentralized and trusted platform. This we feel is an elegant use of blockchain technology.
From 2013 to date, since the implementation of STORM's B2B2C e-commerce model, STORM has grown its clients by 500%, its customers by 2500%, and its revenue by over 1000%.
Our most recent endeavor, ALLCARE, seeks to bridge self-employed benefit seekers and benefits providers through a decentralized and trusted platform. This we feel is an elegant use of blockchain technology.
Our solution goals over the next 12 months:
This year, STORM aims to further strengthen its market dominance in the Philippines. Our top 3 goals are 1) to increase our user and client base, 2) to increase utilization and revenue, and 3) to increase client satisfaction. The metrics we are looking at are:
a) Traction Data: (Users, Client Companies, Utilization, Revenue)
b) Net Promoter Score.
Basically, STORM wants to improve product utility for more people.
a) Traction Data: (Users, Client Companies, Utilization, Revenue)
b) Net Promoter Score.
Basically, STORM wants to improve product utility for more people.
Our vision over the next three to five years to grow and scale our solution to affect the lives of more people:
Uplift more lives by expanding across South East Asia. By 2021, we're aiming to empower 440,000 employees in 188 companies across the region through flexible benefits and to extend affordable benefits access to workers globally through a decentralized benefits platform. We are already seeing massive adoption of our program across 150,000 employees in diverse industries. We are seeing happier employees and employers. Our vision is to be used by every company in the world, facilitating better lives through the provision of better benefits.
Our website
https://www.storm.tech
The regions where we will be operating in the next 12 months:
- East and Southeast Asia
How we will reach and retain our customers or beneficiaries:
Our clients come from a wide range of industries such as business process outsourcing, hospitality, financial services, etc while our customers are employees coming from all ranks in the company.
Rank and file employees who earn minimum wage or just a little above it will be equipped with the power to choose benefits which are relevant to them, and we enable them to maximize the income they worked hard for.
Rank and file employees who earn minimum wage or just a little above it will be equipped with the power to choose benefits which are relevant to them, and we enable them to maximize the income they worked hard for.
How many people we are currently serving with our solution:
STORM provides flexible benefits for 150,000 employees across the Philippines' largest firms. According to 2017 customer surveys, 81% of employees using Flex appreciate the full range of their benefits.
Employees at one company complained about having unused benefits that they're forced to forfeit. After a full year of implementing Flex, 52% of Sun Life employees agreed that Flex is one of the reasons they stay in the company, 86% said they appreciate the full range of their benefits, and 77% of employees who came in with Flex already in place said that it's a major factor in their employment decision.
Employees at one company complained about having unused benefits that they're forced to forfeit. After a full year of implementing Flex, 52% of Sun Life employees agreed that Flex is one of the reasons they stay in the company, 86% said they appreciate the full range of their benefits, and 77% of employees who came in with Flex already in place said that it's a major factor in their employment decision.
About Your Team
How our solution team is organized:
- For-Profit
Explaining our organization:
STORM started in 2012 and is headquartered in Metro Manila. We are operational nationwide in the Philippines. STORM's current headcount is at 100.
The skills our solution team has that will enable us to attract the different resources needed to succeed and make an impact:
STORM was started by Peter Cauton, who is most probably the foremost expert in flexible benefits in the country. He is currently the CEO and Chairman of the Board of STORM. Paolo De la Fuente was Peter's technical co-founder and is now the CFO of the firm.
Both founders were frustrated with the state of benefits in the industry and wanted to solve this problem.
Both founders were frustrated with the state of benefits in the industry and wanted to solve this problem.
Our revenue model:
STORM is a unique provider of flexible benefits in the region. All other providers, such as Mercer and Willis Towers Watson provide a system which uses receipt reimbursement and expensive monthly subscription fees.
STORM has innovated by providing the only benefits marketplace in the country. STORM's marketplace allows it to execute a unique business model: it earns margins through every benefit sold on the store. This allows STORM to also drastically lessen any monthly subscription fees, thus making it not only the most effective solution in the market, but also the most cost-effective one.
With 150,000 members across a growing list of the top employers in the country, STORM leverages its increasing negotiating power by providing increasingly lower prices on its benefits store, thus increasing user value for its base.
STORM leverages on both its technology expertise and HR expertise in creating a unique brand which separates itself from the competition: STORM is more modern than traditional HR Consulting firms, but also knows much more HR / People Operations than a typical E-commerce firm.
STORM has innovated by providing the only benefits marketplace in the country. STORM's marketplace allows it to execute a unique business model: it earns margins through every benefit sold on the store. This allows STORM to also drastically lessen any monthly subscription fees, thus making it not only the most effective solution in the market, but also the most cost-effective one.
With 150,000 members across a growing list of the top employers in the country, STORM leverages its increasing negotiating power by providing increasingly lower prices on its benefits store, thus increasing user value for its base.
STORM leverages on both its technology expertise and HR expertise in creating a unique brand which separates itself from the competition: STORM is more modern than traditional HR Consulting firms, but also knows much more HR / People Operations than a typical E-commerce firm.
Partnership Potential
Why we are applying to Solve:
Economic support:
STORM believes that talent wins, and spends appropriately: most of STORM's budget goes to finding, hiring, and developing the very best people we can find.
Partnerships:
Use Solve's support to find and attract the very best people in
a) new markets we want to get into
b) great technologists
c) great accounts people
STORM believes that talent wins, and spends appropriately: most of STORM's budget goes to finding, hiring, and developing the very best people we can find.
Partnerships:
Use Solve's support to find and attract the very best people in
a) new markets we want to get into
b) great technologists
c) great accounts people
The key barriers for our solution:
Employee Retention: growing concern especially with globalization and STORM gaining publicity. Miitigating this risk by investing a lot in our company culture, and through equity grants.
Funding: while growing, funding is a concern because the Philippines isn't a big market for late-stage startup funding. Mitigating this risk by joining high profile global networks such as Endeavor and establishing ties with investors in the US and in Singapore
Copycats: In the Philippines, success always always breeds competition. STORM has protected itself by investing in patents, and by creating moats through network effects
Funding: while growing, funding is a concern because the Philippines isn't a big market for late-stage startup funding. Mitigating this risk by joining high profile global networks such as Endeavor and establishing ties with investors in the US and in Singapore
Copycats: In the Philippines, success always always breeds competition. STORM has protected itself by investing in patents, and by creating moats through network effects
The types of connections and partnerships we would be most interested in if we became Solvers:
- Other (Please Explain Below)
Solution Team:
Mirella Kirsten Galang