San Clemente-based software startup DealerSocket Inc. got a nod as one of the nation’s fastest growing companies.
DealerSocket, which makes customer management software for auto dealers, ranked No. 37 on the Deloitte & Touche 2007 Technology Fast 500 list, up from No. 43 in 2006.
The company makes software that tracks all of the interactions an auto dealership has with its customers.
“It helps them sell more cars, service cars more profitably, raise their customer satisfaction scores and reduce their marketing expenses with a better use of customer data,” Chief Executive Jonathan Ord said.
The software focuses on collecting information about customers looking to buy cars or get them serviced at dealerships.
The software automatically reserves loaner cars if a customer’s vehicle is in the shop. It also estimates how long the job will take, sends out marketing to try to get customers to return for maintenance and gets feedback from customers via e-mail surveys.
Ord, 37, started the self-funded company with cofounder Brad Perry in 2002.
Privately held DealerSocket expects to do about $20 million in sales this year, he said.
The company has some 80 dealers as customers in Southern California, including Crevier BMW in Santa Ana, Audi Mission Viejo and Power Toyota of Irvine.
Despite the downturn in auto sales as customers reel in their spending, DealerSocket still is doing good business, Ord said.
“We’ve had our best month and quarter in our history,” he said. “We’ve seen a huge buying spree from dealers because they are seeing that they can save money and use their limited marketing dollars in an efficient way.”
DealerSocket has 80 workers here and another 20 salespeople across the county.
Competitors include Dayton, Ohio-based Reynolds and Reynolds Co. and Roseland, N.J.-based Automatic Data Processing Inc.
Some companies have inquired about buying DealerSocket, according to Ord.
“We get sniffs from Microsoft, Oracle and other guys trying to get into the space,” he said.
The company isn’t for sale now, he said.
“We are still in our infancy and we know that it’s all a timing game,” he said. “When we eventually have a transaction, we’ll do it to better our employees and customers.”
UST’s Positioning
Aliso Viejo’s UST Global Inc., a technology services outsourcing company, promoted another executive to ready its upper ranks for a possible initial public offering next year.
UST Global promoted Krishna Sudheendra to chief financial officer. His previous post was as director of finance.
Sudheendra is set to get the company’s house in order before going public, including getting into compliance with Sarbanes-Oxley, adopting corporate governance norms, implementing accounting standards and rolling out an employee stock option program.
He’s also set to help scout potential acquisitions.
Earlier this year, four members of the company’s team were promoted to executive roles. That includes Chief Executive Sajan Pillai, who previously was president and chief operating officer.
Satendra “Dan” Gupta, who was chief executive for four years, stayed on as chairman.
Sudheendra has more than 15 years in financial management and has spent most of his career in services outsourcing.
He began his career doing auditing and consulting with New York-based Ernst & Young LLP. He then helped set up and manage outsourcing development centers for General Electric Co.
Synoptek’s Idaho Buy
Santa Ana’s Synoptek Inc., a business and technology consulting company, recently bought a company in Boise, Idaho.
Privately held Synoptek bought Network Group Inc. for undisclosed terms. It provides many of the same services as Synoptek, including project management, Web site and software development and technology outsourcing.
Network Group is set “to deliver services to our California customers and to support expansion into other West Coast markets,” Chief Executive Tim Britt said. “We plan to add a significant number of personnel over the next two or three years in Boise.”
Synoptek does outsourcing business with government agencies, including the cities of Lake Forest, Seal Beach, Fullerton, San Juan Capistrano, Westminster and others.
The company, which has some 30 workers here, has two lines of business. One is traditional business consulting for large companies in retail, consumer products, financial services and healthcare.
The other is tech outsourcing with business consulting services geared toward companies with 50 to 500 workers. It’s set to see about $6 million in sales this year.
