Lumari

What do they actually do

Lumari builds AI “digital workers” that automate routine procurement, sourcing, supplier collaboration, and accounts‑payable tasks. Teams describe a workflow in plain English, Lumari connects to their email, ERP, and spreadsheets, and then runs the multi‑step process automatically or with human approvals as needed Lumari site, YC profile.

The product is sold via an enterprise, demo‑first motion with white‑glove onboarding. A central Command Center lets teams set permissions and approval gates and monitor agents handling concrete tasks like a unified supplier inbox, PO tracking and ETA nudges, change management, RFQ management, 3‑way match, invoice reconciliation, and exception handling Lumari site, YC profile.

Who are their target customer(s)

• Procurement operations manager: Spends hours chasing PO acknowledgements and ETAs across email, portals, and spreadsheets, slowing confirmations and tying up the team. Lumari targets these with a unified supplier inbox, PO tracking, and nudges.
• Strategic sourcing manager: Runs RFQs and vendor comparisons manually, consolidating responses in spreadsheets and email threads that lengthen cycles and make bid status unclear.
• Accounts payable / finance operations: Deals with 3‑way match failures, invoice reconciliation, and blocked invoices that cause delays, disputes, and manual investigations.
• Supplier collaboration coordinator: Tracks frequent changes to dates, quantities, or pricing across many suppliers and systems; missed updates lead to short shipments and costly changes.
• Head of procurement / transformation lead: Struggles to scale automation without engineering help, enterprise controls, and audit trails; pilots stall before production.

How would they acquire their first 10, 50, and 100 customers

• First 10: Run paid, white‑glove 4–8 week pilots for mid‑market procurement/finance teams sourced via warm intros and targeted outbound, focused on one KPI (e.g., PO acknowledgements or 3‑way match), with hands‑on integration and training to show production value quickly Lumari site, YC.
• First 50: Turn early wins into case studies and reference customers; run account‑based outreach by vertical and ERP footprint, plus presence at procurement conferences and on LinkedIn/webinars; launch a small SI/consulting partner program and prebuilt agent templates to shorten onboarding Lumari site, LinkedIn.
• First 100: Hire AEs, implementation engineers, and CSMs to scale a repeatable pilot→production playbook with standard pricing, SLAs, permissions/audit, and onboarding; expand channel partnerships and incentivize referrals and multi‑site rollouts with volume pricing and verticalized ROI materials Lumari site.

What is the rough total addressable market

Top-down context:

Analyst estimates put procurement/S2P software in the ~USD 6–8B range in 2024, with AP automation at ~USD 3B; broader SCM software is much larger but only partly relevant Procurement software, S2P, AP automation, SCM software.

Bottom-up calculation:

If Lumari initially targets ~10,000 mid‑market and enterprise procurement/AP teams with an average annual contract of $60k–$120k for agent‑led automation, that implies an initial reachable TAM of roughly $0.6–$1.2B, expandable as use cases and geographies broaden.

Assumptions:

• ~10,000 target organizations have active procurement/AP teams and the necessary systems/integration appetite over the next few years.
• Average annual contract value ranges $60k–$120k for cross‑workflow automation with enterprise guardrails.
• Focus is on North America and Europe first, expanding to other regions as integrations and compliance mature.

Who are some of their notable competitors

• SAP Ariba: Large enterprise suite for sourcing, procurement, and supplier management (source‑to‑pay) with deep ERP ties; often the incumbent in global enterprises.
• Coupa: Broad business spend management platform covering sourcing, procurement, invoicing, and supplier management used by many mid‑market and enterprise buyers.
• JAGGAER: Source‑to‑pay suite with strengths in supplier management and industry‑specific workflows, common in complex enterprises.
• Ivalua: Configurable procurement platform across sourcing, procurement, and invoicing; chosen by enterprises needing flexible S2P deployments.
• Zip: Procurement intake and orchestration used to streamline approvals and purchasing; adjacent to Lumari’s automation scope and often evaluated by the same teams.