How we 2x'd margins and helped an information services business scale nation-wide

The client: a labour constrained info services company

An information services business specializing in reporting on business activity within a major US industry. The company employs 6 full-time staff and 12 part-time contractors, generating just over $1M in annual revenue.

The problem: reliance on manual labour

The client wanted to grow their business to cover all US states, but their reliance on manual data collection made it difficult to scale as it required hiring more contractors to increase coverage. They already spent over $350k on contractors annually, and were hesitant to erode cash flows further in pursuit of generating additional revenue.

The solution: automate data collection and processing

Automated Data Collection: We built an automated data collection system to cover all industry activity nationwide, processing over 20,000 sources of data on a daily basis. This system ensured that the business could gather relevant news and updates from a vast array of sources without increasing labor costs.

AI-Powered Data Processing: We developed an AI agent to classify each record collected by activity type and business category, then extract key details. This reduced the need for manual sorting and categorization, speeding up the data processing workflow.

Custom Platform for Researchers: We designed a custom web application where researchers could verify and process the AI-generated data. This platform allowed researchers to focus on information verification and streamlined the workflow, increasing output while keeping contracting spend flat.

The result: revenue growth while keeping costs flat

Reduced Workload: The automation of data collection and processing decreased the researcher workload by 63%. This significant reduction in manual labor allowed researchers to focus on higher-value tasks, such as data analysis and interpretation.

Nationwide Expansion: The automated system enabled the business to expand its coverage to all US states without incurring additional labor costs. This immediate nationwide expansion allowed the company to capture a larger market share and increase revenue.

Increased Margins: The efficiency gains combined with increased revenue led to a margin expansion from 20% to 38%. This increase in profitability provided the business with the financial stability needed to sustain growth and invest in further technological advancements.