The rising SaaS ecosystem in CEE with Monica Zara @How to Web

saas.unbound is a podcast for and about founders who are working on scaling inspiring products that people love, brought to you by https://saas.group/, a serial acquirer of B2B SaaS companies.

In episode #7 of season 5, Anna Nadeina talks with Monica Zara, Head of Conference at How To Web, Romania.

Monica’s journey into the world of SaaS and tech began with her natural curiosity. With a background in Power Engineering, she stumbled upon a book about product roadmaps that sparked her interest in product management. This chance discovery led her to organize hackathons for students and startups, gradually intertwining her path with How to Web. After initiating contact with the conference founder, she found herself part of the team, where she quickly rose to lead the conference following a successful edition post-COVID in 2022.

How to Web Conference: An Overview

How to Web is a melting pot of innovation, hosting around 3,000 participants from diverse backgrounds. The conference is structured around four key marketplaces, each designed to foster specific connections and opportunities:

• Startup Investment Marketplace: This area serves as a focal point for startups seeking investment and resources, connecting them with potential investors from across Europe.
• Learning and Development Marketplace: Aimed at making education accessible, this marketplace addresses the needs of tech talent in Romania and Eastern Europe, focusing on business development and growth strategies.
• Business Development Marketplace: Here, companies can connect with service providers that help them scale and grow, from cloud services to accounting.
• Brand Visibility Marketplace: This space allows startups to launch their brands and gain visibility in a competitive market.

The State of SaaS in Romania

Over the past two decades, Romania’s SaaS ecosystem has transformed dramatically. From a handful of founders two decades ago to a thriving community of over 500 startups today, the growth is undeniable. Notably, the amount of fundraising has increased significantly, with the latest reports showing an investment surge of 5 to 10 times compared to previous years. While the pace may not match Silicon Valley, the region is rapidly gaining recognition as a hotspot for investment and innovation.

Fundraising vs. Bootstrapping in Eastern Europe

In discussing fundraising, Monica highlights a cultural shift where many founders are now seeking investment to scale their businesses. While many startups in the region have traditionally bootstrapped, there’s a growing trend towards seeking external financing to accelerate growth. This shift is partly due to the tech skills present in the region, allowing founders to develop their products before seeking investment.

Interestingly, Monica notes that some founders still apply for funding while maintaining their day jobs, indicating a cautious approach to entrepreneurship. This duality reflects a cultural mindset where financial security is prioritized even as aspirations for full-time entrepreneurship grow.

Challenges Faced by Founders

Common challenges for founders include fundraising, acquiring clients, and adjusting business models. While these hurdles are universal, Monica emphasizes the importance of community and mentorship. Founders are increasingly seeking connections with peers who have navigated similar paths, fostering a collaborative environment where shared experiences can lead to growth and learning.

Curating Conference Content

The curation of content for How to Web is a meticulous process. Monica collaborates with a diverse team of builders and industry experts to ensure that the topics addressed are relevant and timely. Feedback from participants is collected not just from ticket sales but also from direct conversations with those actively building products in the tech space. This hands-on approach helps tailor the conference agenda to the current challenges faced by the community.

Recap and Final Thoughts

As the SaaS ecosystem in CEE continues to flourish, events like How to Web play a pivotal role in connecting founders, investors, and industry experts. The emphasis on community, learning, and collaboration is vital for the region’s growth. With an increasing number of startups seeking investment and a diverse pool of talent, the future looks bright for SaaS in Central and Eastern Europe.

Biggest Wins and Failures

Monica reflects on her journey, highlighting the importance of building a strong team as her biggest win. However, she also candidly shares a significant failure during her first edition of the conference, where technical issues during check-in caused chaos. This experience became a valuable learning opportunity, emphasizing the need for thorough preparation and adaptability in event organization.

Monica’s Personal Hacks and Closing Remarks

Monica’s approach to managing stress and challenges involves daily reflection on her learnings and experiences. She embraces failures as opportunities for growth and maintains a balance between her professional and personal life through music. Her passion for heavy metal serves as an energizing force, helping her stay focused and motivated in the fast-paced world of tech.