The Munich-based startup knooing was founded in August 2013 by Carsten Hochschon, a microelectronics engineer, and supports users in their search for the perfect IT partner via a digital platform. The interdisciplinary team—consisting of IT specialists, business consultants, scientists, business economists, and psychologists—finds the right solutions for the complex IT requirements of medium-sized and large companies.
The fact that knooing operates in a highly competitive market is the founder Carsten Hochschon and his team. Nevertheless, the company remains confident:
“At knooing, we are convinced that as a neutral intermediary, with the help of algorithms and human expertise, we can mediate better [than the competition],”
Hochschon says. Selecting the right IT partner is crucial for whether an IT project can be successfully implemented or ultimately fails. Hochschon sees this as knooing's core competency, as users often struggle to find the right partner.
“IT – Made in Germany” sells itself below value
"There are many hidden champions in the industry who have great ideas and solutions. In terms of development, German IT companies are in no way inferior to American ones. However, there are weaknesses in sales and marketing, and they often sell themselves short."
That's why the platform has set out to promote "IT – Made in Germany" and help it gain a better reputation. However, there are a few hurdles to overcome. For example, it is a major challenge to
“to give the ‘analog’ human factor in digital transformation at least as much weight as technical innovation”,
says Carsten Hochschon. According to the knooing founder, the patience of an entrepreneur is also severely tested. Especially when it comes to surviving lengthy decision-making processes on both the user and provider sides. To meet all requirements, the young Munich-based company needs several ingredients for success. Carsten Hochschon considers the following particularly important:
- Flexibility and agility
- The knooing community
- Passion and motivation
Billion-dollar market to be conquered
And what does the business model look like? At knooing, providers pay a fixed fee (access fee) to be represented on the platform, and another transaction fee if an order is placed. knooing consultants help interested parties define the planned project, and then a semi-automated comparison is made with the database to determine which provider is suitable. Knooing supports the business relationship after the contract is signed and acts as a mediator in disputes.
And what do the bare numbers say? Hochschon says:
"Of course, for a young company, things don't always grow to the sky, but we were able to close the 2016 financial year with sales of around 750,000 euros, and we expect sales to increase to over one million euros in the current financial year."
And that's just the beginning for knooing. After all, they're operating in a multi-billion dollar market that, as Hochschon notes, hasn't yet been digitally tapped.
“All the advantages of a vibrant metropolis”
The knooing team is convinced that this will work particularly well from Munich. In addition to the obvious advantages of the high standard of living, they consider Munich to be the optimal location for their company:
"Munich is one of the most beautiful cities in the world and offers a unique mix of people and cultures. [The city] combines all the advantages of a vibrant metropolis with motivated people and a beautiful surrounding area, while also being an economically strong location with interesting companies, many global players, and an innovative startup scene."
