Freshworks Inc. today announced that it has signed definitive agreements for a $150 million Series H round of funding at a post-financing valuation of $3.5 billion. The round was led by existing investors Sequoia Capital, CapitalG, and Freshworks’ first investor Accel.
In a statement, the B2B SaaS unicorn said that it will use the funding to further Freshworks’ worldwide expansion as well as accelerate investments in its integrated SaaS platform.
As part of this effort, the startup also announced its Customer-for-Life Cloud, which establishes a common data platform across all of its customer engagement products. This will unify important customer information from marketing, sales, support, and customer success to enhance a customer’s journey.
The financing is expected to close by the end of this year and is subject to customary closing conditions, including US antitrust regulatory clearance.
“The CRM landscape is littered with solutions that are high on hype and low on results,” said Mohit Bhatnagar, Managing Director, Sequoia Capital India LLP.
He added that Freshworks is unique in delivering software that works for end-users across the organisation, whether in marketing, sales, support, or customer success. This is why, Mohit said, Sequoia’s teams across India and the US have each decided to double down on the startup as it expands its footprint across the world.
"The opportunity has never been greater to align an entire organisation and create a unified customer experience that better understands and meets their ever-changing needs,” he added.
Freshworks claims that Customer-for-Life Cloud will help business teams across organisations be better informed about their customers and proactively act to increase customer satisfaction and lifetime value from the first touch to latest interaction. It enables customers to access a 360-degree view of their data across sales, marketing, support, and success.
This will accelerate and improve a business’ ability to efficiently respond to customer inquiries and take advantage of additional sales opportunities. Teams across an enterprise will be able to move beyond simple customer ratings to actionable recommendations based on customer success data — increasing account-wide satisfaction, retention, and upsell opportunities.
“Since Freshworks’ founding, we have been at the forefront of democratising software for the entire organisation – and we’re continuing that tradition by using the most advanced cloud technologies to ensure that software delivers for the entire organisation and puts the ‘customer’ back into CRM,” says Girish Mathrubootham, Freshworks CEO and Founder.
“Customer-for-Life Cloud enables businesses to sharpen their customer understanding to better predict and enable success, displacing dismal legacy SaaS solutions that have over-promised and underdelivered with eye-popping regularity,” he added.
(Edited by Saheli Sen Gupta)