Dropbox, founded by Drew Houston, is a cloud–storage provider that offers both free and paid virtual storage for anyone who wants to sign up. A little research into the data–storage niche shows us that data storage problems and solutions have been around for years and are just increasing. Numerous concepts are driving individuals and businesses to virtual storage, including:
1. The hard–to–manage growth of big data.
2. A constant need to share documents and ideas with virtual teams and groups.
3. Greater consumer understanding regarding the need to back up documents in a safe environment.
4. A sustainability drive to reduce paper in both the home and business.
Dropbox supports return customers by offering options for expanding storage space; everyone gets a few gigs free, and customers pay for more storage as they need it. The brand encourages customer–based promotion through easy–to–use forms and an incentive plan–when you refer someone to Dropbox, you and the person who signs up get a 500MB increase in storage capacity for free. According to Dropbox founder Drew Houston, the referral program increased signups by as much as 60 percent.
Dropbox has demonstrated its staying power even in the face of competition from strong competitors. In fact, after Dropbox launched, Apple launched iCloud. According to reports, Houston, who believed in his company so much that he had turned down a nine–figure buyout offer from Steve Jobs, had a moment of concern over the iCloud launch. Because Dropbox offered a solution that is simple and accessible on almost any device, however, his worries were short–lived.
When Drew Houston started using principles from The Lean Startup, the company increased its user count by a factor of 4x in just a little over a year. Dropbox attributes this to product improvements identified during customer tests.
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