Wednesday August 03, 2022
WebEngage raises $20 million, eyes IPO in three years
(L-R) Ankit Utreja, CTO and Co-Founder, WebEngage with Avlesh Singh, CEO & Co-Founder, WebEngage.
Staff Reporter, Rlixa
WebEngage, a full-stack retention operating system and one of the most resilient B2B SaaS startups, on Wednesday announced that it raised $20 million in Series B led by Singularity Growth Opportunities Fund and SWC Global, with participation from existing investors India Quotient, Blume Ventures, and IAN Fund. The round also saw participation from a few family offices, including Unmaj Corporation, NB Ventures, Shashwat Nakrani (Co-founder of BharatPe), and Gopal Srinivasan (Chairman, TVS Capital), among others.
WebEngage showcased outstanding frugality and resilience in its 11-year journey filled with ups and downs, burning only ~$6 million in capital to reach a $20 million revenue run rate â€” an enviable position to be in. Peers in SaaS spend about 3â€“5x more to achieve the same scale. The company is adding over 60 new clients every quarter, in addition to working with 600+ clients, including new-economy and internet-first businesses, and propelling the digital transformation journey for enterprise clients.
Commenting on the funding, Avlesh Singh, Co-founder & CEO, WebEngage, said, â€œWe are absolutely delighted to have Singularity Growth Opportunities Fund and SWC Global as our new partners and are blessed to have existing partners double down on their confidence in us. The ride has just begun, and we have the tickets to the front row seats for anyone who wants to join our journey of â€˜Simplifying Retention for the World.â€™â€
Commenting on the engagement with WebEngage, Apurva Patel, Managing Partner of Singularity Growth Opportunities Fund, said, â€œWebEngageâ€™s comprehensive customer engagement platform truly empowers companies to listen to their customers better, deeply understand their behaviour by smartly segmenting customers, and act on that knowledge in a way that is personal. What fascinated us about Avlesh and his team is their ability to gain traction with not only digital businesses but also with large traditional enterprises. We were also very impressed with customer feedback on the companyâ€™s superior customer service and support, and believe this to be their key competitive advantage. Singularity Growth is thrilled to be part of WebEngageâ€™s growth journey in both India and overseas.â€
The capital will be deployed to maintain the high growth trajectory WebEngage has been on: Growing 100% YoY and scaling operations across India, MENA, and SEA regions. The companyâ€™s team strength has increased 2.5x since 2020, with strategic high-profile hires across Marketing, Sales, Product, Engineering, and Support functions. Recent customer wins like Adani Group in India and IKEA in Saudi Arabia have validated enterprise acceptance of WebEngageâ€™s offerings.
â€œWe have always believed that the best teams build the best product and, in the long run, itâ€™s the best product that wins. This is our 4th investment in WebEngage and we will continue to back them as far as we can. WebEngage also demonstrates our belief that companies that win SaaS in India can go global and repeat their performance,â€ said Anand Lunia, Founding Partner at India Quotient, on their investment.