Q3 CEO Letter: Comprehensive change work lays the foundation for a strong future

Share

The third quarter of the year has been marked by major changes for Syncro. The change journey began during the summer, when the new board outlined a new strategy for the company. When the process began, I led this change as chairman of the board, and since the
beginning of October, as CEO, together with the management team, I have been working to implement these changes.

Our solid change work is the first step towards becoming a globally scalable and profitable company.

Together with the entrepreneurs behind the acquired subsidiaries, Syncro’s management
has developed a new vision and a new brand that laid the foundation for our new scalable
strategy. During this intensive quarter, we have also re-launched both CUBE and Collabs,
recruited new cutting-edge expertise to leading roles, built new structures and optimized
our organization, which will make us significantly more efficient going forward. Our
efficiencies provide annual cost savings of around SEK 20 million in 2023.


The economic situation in the world creates challenges for many companies that generally
tend to review, and in some cases completely cut, their media budgets during a recession. In
addition to that, many companies tend to streamline their organizations and lay off staff
during recessions. In this difficult market climate, Syncro is very well positioned. Our focus is
on influencer marketing, which, despite the recession, is expected to grow by 47 percent
globally in 2023, and on the freelance market, which is increasing exponentially as staff are
made redundant at a rapid pace. Syncro benefits both from the market situation and from
these trends.


We have put great resources into developing Collabs, our “Google for influencer marketing”,
which is a unique AI-based technology that underpins Syncro’s entire strategy for 2023. The
technology is unique, even in a global context, and challenges the industry with its
transparency. We have linked several new business models to our ground-breaking
technology.


The big news is that we are launching Collabs Freemium at the beginning of 2023. We have
built a globally scalable infrastructure for influencer marketing that is redefining the
landscape within one of the fastest-growing types of media on the market. Releasing Collabs
in a freemium model means that we will be able to take large market shares in a short time
across several markets.


Our revenue will be generated from the flow, movements and transactions in the platform
instead of from traditional license fees. The technology enables a completely new dimension
for our scalability, which in itself will be able to generate new income for other companies in
the group. Through this freemium model, we will be able to drive large numbers of new
customers to both CUBE and Gigger in order to synchronize our business models. We will tell
you more about this shortly.


I look forward with great confidence. After an extensive restructuring of our organization,
our processes and our market offering, we are ready to take the next step towards our vision

of becoming a globally scalable and profitable company. I am proud of the high level of
competence Syncro manages to attract and look forward to returning to you.


Ebbe Damm,
CEO Syncro

Join our investor community

Sign up to our newsletter and get our latest news continuously. For a everyday insight follow us on social media

Explore more

In a significant move underscoring its international expansion strategy, Collabs announces partnerships with ten agencies across four European countries. This expansion reflects the platform’s commitment to organic growth and the broad appeal of its influencer marketing technology.

Collabs meddelar att bolaget tecknat partnerskap med tio byråer i fyra europeiska länder, ett viktigt steg i bolagets internationella expansion. Avtalen reflekterar Collabs fokus på organisk tillväxt och det breda intresset för bolagets influencer marketing-teknik.