Return to Virginia Business - June 2002

The key to Internet companies making a profit is simple, says Current Analysis CEO and President Jeff Swartz: Don't look at yourself as an Internet company.

"Concentrate on creating value and look at Internet and technology only as a way to deliver value," he says. "Really understand the need you're looking to fill, focus on it and try to find a way to fulfill it better than anyone else."

And that's just what the Sterling-based company has done, becoming one of the premier competitive response solutions providers in the world. The 5-year-old, 105-employee company brought in revenues of $11.9 million last year, representing some 250 businesses such as Cisco, Oracle, Microsoft, AT&T, SBC, Lucent, 3Com and Nortel, in addition to smaller companies and start-ups.

Current Analysis provides up-to-the-minute, customized analysis each day with easy access, quick-read information such as comprehensive views of the competition, side-by-side company and product comparisons and tactical tips on exploiting new opportunities, improving sales positioning and targeting customers.

Top companies pay as much as $2 million a year for Current Analysis' incisive expertise in areas ranging from telecom, e-business, data warehousing, Internet commerce, wireless services and network management to broadband, carrier and optical infrastructure. Current Analysis' analysts track public announcements, press activities, vendor briefings and interviews to glean information, utilizing close relationships within the specific industry to provide the best short-term tactics for clients.

"As an example, in our business intelligence or data warehousing division, our vice president spent years at Oracle in a product management function," says Swartz. "So our analysts know the technology, understand the challenges of rolling out products in an intensely competitive market. They have great insight."

That insight allowed Current Analysis to flourish as Internet companies all around sank last year. The company's ability to integrate its offerings into any client's platform was one key but so was Current Analysis' adaptability as a service provider.
While the company lost some start-up clients and mid-level businesses in the Internet business bust, Current Analysis retained 100 percent of its "Tier one" clients and picked up work among many mid-level clients by offering marketing service outsourcing for companies hit hard by personnel cuts.

"One of the reasons we grew last year despite the terrible downturn in the telecom market was that we were providing value in sales organizations," adds Swartz. "Despite layoffs, companies are still generating considerable revenue, and they're still in a very competitive market. We've been able to bring value and effectiveness to the sales process for them." And that's how you become a profitable Internet company.

- Mike Ashley