Pendo today announced it has raised $25 million in Series C financing led by Meritech Capital Partners. The round includes additional participation from existing investors Battery Ventures, Contour Venture Partners, Core Capital Partners, IDEAFund Partners, Salesforce Ventures and Spark Capital. In addition, Meritech Capital Partners’ General Partner Rob Ward will join Pendo’s board of directors. Pendo has raised $56 million to date — $45 million in the last six months.
Pendo is a platform that helps companies deliver exceptional customer experiences in their products. In 2016, Pendo’s revenues more than quadrupled and its customer base grew to hundreds of leading software companies including Citrix, Coupa, Gainsight, Henry Schein, Infor and Optimizely. Pendo now tracks over 20 billion user actions and improves the product experience of over 22 million users every month.
The new funding will be used to scale Pendo’s engineering team as well as make strategic investments to accelerate growth. Additionally, Pendo is announcing new offices in New York and San Francisco to better serve its customer base.
“In the past decade we’ve seen software disrupt and transform industries and job roles over and over again. Today, all successful companies need to be in the software business, and all of them need to care about their product experience,” said Meritech General Partner Rob Ward. “At Meritech we seek category-defining companies, and Pendo is well on its way to becoming a market leader as evidenced by its fast growth and incredibly enthusiastic customers.”
“Our software has to serve a number of different roles in each practice,” said Bradley LaFave, Product Marketing Manager at WebPT, an electronic medical record (EMR) platform for the physical therapy industry. “As a SaaS product, we have to deliver enough value for a customer to not only purchase, but to renew their subscriptions over and over again. This is where Pendo comes in. Pendo helps us truly understand and improve the experience we deliver to each of the different roles in our product. It should be an essential part of every company’s technology infrastructure.”
“Experience is no longer a nice-to-have for software products, we see an enormous opportunity to help companies improve their product experiences,” said Todd Olson, Chief Executive Officer at Pendo. “We are excited to partner with Meritech Capital Partners who will enable us to invest more aggressively and realize our potential.”
Pendo was founded in 2013 by former product managers that have experienced the joys and challenges of creating great products at companies like Cisco, Google, Rally, and Red Hat, among others. With a powerful analytics and guidance platform designed to help companies understand and influence how users interact with their software applications, Pendo is on a mission to improve society’s experiences with software. For more information, visit: http://www.pendo.io.
About Meritech Capital Partners
Meritech Capital Partners is a leading provider of growth stage venture capital to category-defining private technology companies, and has been one of the top performing venture firms of the past two decades. With over $3 billion under management, Meritech primarily leads investments into companies with proven and differentiated technology, rapidly-growing revenue and experienced management teams. Meritech investments in industry-leading companies include Alteryx, Anaplan, Box, Cloudera, Coupa, Datadog, Facebook, Fortinet, Fusion-io, Greenplum, Hybris, Looker, Mulesoft, Netezza, NetSuite, Proofpoint, PopCap, Riverbed, Roblox, Snap, Tableau and Zulily. Meritech is located in Palo Alto, CA and can be found at http://www.meritechcapital.com.
Salesforce is the fastest growing top five enterprise software company and the #1 CRM provider globally. Salesforce Ventures—the company’s corporate investment group—invests in the next generation of enterprise technology that extends the power of the Salesforce Intelligent Customer Success Platform, helping companies connect with their customers in entirely new ways. Portfolio companies receive funding as well as access to the world’s largest cloud ecosystem and the guidance of Salesforce’s innovators and executives. With Salesforce Ventures, portfolio companies can also leverage Salesforce's expertise in corporate philanthropy by joining Pledge 1% to make giving back part of their business model. Salesforce Ventures has invested in more than 200 enterprise cloud startups in 14 different countries since 2009. For more information, please visit http://www.salesforce.com/ventures