The Evolution of Internal Communications: Introducing Spokn

The podcasting landscape continues to be a dynamic and thriving area within media. This growth is fueled by its inherent openness, diversity, and the simplicity with which content can be created, attracting a wide range of hosts and covering virtually every conceivable topic.

However, a stark contrast often emerges when transitioning from personal audio consumption to internal company communications. Traditional corporate communications frequently feel outdated and ineffective, lacking the engagement needed to truly resonate with a workforce increasingly comprised of millennials and Generation Z.

Spokn: A New Approach to Workplace Communication

Spokn aims to transform company-wide communication into a compelling experience. The platform isn’t solely intended for leadership broadcasts; it’s designed to empower every employee to share their knowledge and experiences within the organization.

Through its application, businesses can distribute customized podcast feeds encompassing daily updates, weekly Q&A sessions, and professional development resources, all within a secure, internal environment.

Securing Seed Funding

This innovative concept has garnered significant investor interest. Spokn, a participant in Y Combinator’s Winter 2021 cohort, successfully closed a $4 million seed funding round just prior to Demo Day.

The round was spearheaded by Ann Bordetsky, a partner at NEA, who recently joined the firm after serving as COO of Rival. This investment marks her inaugural venture with NEA.

The Founding Story

Spokn was established by Fawzy Abu Seif, Mariel Davis, and Mohammad Galal Eldeen. Abu Seif and Davis initially connected at an Egyptian jazz club in November 2017, shortly after Abu Seif’s departure from his previous role.

Their relationship blossomed both personally – they married in the fall of 2019 – and professionally, leading to the incorporation of Spokn in April 2018 with the addition of Galal Eldeen.

Product Development and Iteration

Spokn’s product underwent three distinct phases of development. Initially, the team explored creating audio versions of existing content from prominent publishers like The New York Times.

The goal was to provide publishers with a new revenue stream and expand their audience reach. However, securing publisher commitment proved challenging. Davis explained, “The consumer app wasn’t performing well, so we analyzed our data to identify what was working.”

They discovered that podcasts focused on professional development were significantly more popular, prompting a shift in strategy towards enterprise training solutions. Abu Seif stated the new focus was “empowering companies with the same tools we had as a consumer company.”

Davis’s prior experience building a skills training social enterprise network in the Middle East, where she managed internal communications, highlighted the ineffectiveness of traditional methods like email, especially within distributed teams. This insight further solidified the new direction for Spokn.

The founders relocated to New York City from Egypt in early March 2020, coinciding with the widespread onset of the COVID-19 pandemic. Abu Seif humorously noted, “We multiplied our living expenses by 8-10x while continuing the same Zoom calls we could have made from there.”

Expanding Beyond Training

The company eventually recognized the potential to broaden its scope beyond training and encompass broader internal communications. Abu Seif emphasized that “asynchronous audio is far more personal than email.”

The latest iteration of the product, launched in November 2020, included features like push notifications, a dedicated streaming app, personalization options, and analytics to track employee engagement.

Targeted Communication and Accessibility

A key feature of Spokn is the ability to control podcast access based on specific employee groups, such as executives, managers, sales teams, or any other defined segment. Davis noted, “We receive a lot of inquiries from companies attempting to create solutions using disparate tools.”

Abu Seif added, “We are empowering companies to engage with their employees in the same way marketers engage with consumers.”

Early Adoption and Customer Base

Despite its recent launch, Spokn has quickly gained traction among businesses, including Podium, ShipBob, Cedar, Mixpanel, ServiceNow, and Superhuman. Podium’s CEO, for instance, regularly produces podcasts through Spokn and has even installed a dedicated podcast studio to facilitate content creation.

Addressing the Shortcomings of Traditional Internal Comms

Implementing podcasting within companies addresses several limitations of conventional internal communication methods. It fosters a deeper connection than email can achieve.

Audio can feel more intimate than even video, and it offers the flexibility of background listening. Furthermore, its asynchronous nature allows employees in different time zones to access important information at their convenience.

It also helps mitigate the fatigue associated with constant screen time. Bordetsky of NEA commented, “We need intuitive and asynchronous communication tools like Spokn to build connection and community in the workplace.” She believes that “flexible, distributed work is here to stay, and employee communication is central to building a modern, virtual-first employee experience.”

Focus on Recruitment, Retention, and Community

Spokn’s buyers include heads of people and sales teams, with a growing focus on recruitment and retention. Davis stated, “Companies are increasingly concerned about retaining their top talent.”

Some organizations are even sharing podcasts with prospective employees before their first day to provide a glimpse into the company culture.

While currently utilized primarily by leaders, Spokn aims to extend its reach to all employees, encouraging peer-to-peer communication and fostering a sense of community in hybrid work environments.

The Importance of Storytelling

Davis acknowledges that companies can easily misuse podcasting, just as they have with other communication channels. She now dedicates her time to guiding them on effective storytelling and connecting with their employees.

“We work to identify the right storytellers within the company,” she explained.

Investor Details

In addition to NEA, the seed round included investments from Reach Capital, Funders Club, Liquid2, Share Capital, SOMA Capital, Scribble VC, and Hack VC.