MoEngage, the insights-led customer engagement platform, today announced that it has raised $77 Million in Series E funding. This round is led by Goldman Sachs Asset Management and B Capital, with participation from the company's existing investors Steadview Capital, Multiples Alternate Asset Management, Eight Roads Ventures, and Matrix Partners India. This is the third round of funding raised by the company in the last 12 months, with $32.5 million raised in July and $30 million in December 2021.
MoEngage will use the additional funds to deepen its geographic footprint in the U.S., Europe, Asia, and Middle East markets and expand in new markets like Latin America and Australia. The funds will also be used to explore strategic acquisitions that can help extend its platform capabilities and provide more value to customers.
AI-driven customer engagement technology is the next big frontier in martech. Some experts have predicted that the customer engagement solutions market will grow to $32.2 billion in the next five years alone. Digital native consumers not only expect highly personalized interactions with brands across every channel, but research shows they will abandon brands that can't deliver it. Meanwhile, ever-evolving data privacy regulations have forced marketers to seek alternatives to trusted tools such as cookies and iOS-based data collection. These two opposing trends create a significant opportunity for MoEngage to further scale and add more functionality to its solution.
MoEngage's insights-led customer engagement platform empowers marketers and product owners with AI-driven insights to create cross-channel experiences that their customers love. With real-time customer data and predictive insights, brands can easily offer tailored communications and recommendations that resonate on an individual basis across the customer journey.
"Connecting with our customers in a meaningful way is a key part of our success as a business. MoEngage helps us gain actionable insights at our fingertips so we can create the most relevant experiences for our customers and scale our personalized outreach across channels," said Deepak Thakral, Vice President of Consumer Commerce at McAfee.
"At JibJab, everything we do is driven by customer engagement. We aim to provide our customers with personalized content that they can use for the ideal occasion," said Marc Geraldez, Product Manager at JibJab Apps. "Understanding what our customers care about and offering them the right experience at the right time is a critical part of our growth and retention strategy, and that's where MoEngage is invaluable. MoEngage gives us the customer insights we need to make smarter decisions and personalize our communications to increase user engagement and conversions."
In the last 12 months, MoEngage has grown its annualized recurring revenue (ARR) by 105%, added 500 new customers, and doubled its headcount to surpass 650 employees across its offices in the U.S., UK, Germany, UAE, India, Indonesia, Singapore, Vietnam, Malaysia, Philippines, and Thailand. The company has a very healthy annualized net revenue retention of over 135% and was named a "Strong Performer" in the Q3 2021, Forrester Wave report for Cross-Channel Campaign Management.
"To respond to the increased demand, we ramped up our investments in R&D and U.S. sales, customer success support, and partnership functions in the last 24 months," said Raviteja Dodda, Co-founder and CEO at MoEngage. "With this newest round of funding, MoEngage will have the ability to expand what we've been building, enter new markets, and add even more innovation to our platform. We're proud to add Goldman Sachs Asset Management and B Capital to our outstanding team of investors and look forward to our next phase of unprecedented growth."
Rajat Sood, a Managing Director at Goldman Sachs Asset Management, said: "We anticipate the continued expansion of the marketing automation and analytics industry. As companies seek to better engage customers across digital channels, MoEngage's leading technology platform provides marketers with insightful, real-time data, enabling them to orchestrate and run effective campaigns to build and retain customer relationships to enhance customer lifetime value. We look forward to leveraging our global resources and network to support the ambitions and continued growth of the company."
"We are excited to welcome MoEngage to our growing portfolio of cross-border SaaS investments. MoEngage is an AI-first platform helping companies retain customers and give insights on user journeys across channels. It helps companies engage and retain over 1 billion users on the platform globally. We are thrilled to partner with Ravi, Yashwanth, and the entire MoEngage team as they build an insights-led customer engagement platform across the world," said Kabir Narang, Founding General Partner at B Capital Group.
MoEngage is an insights-led customer engagement platform, trusted by more than 1,200 global consumer brands such as Ally Financial, McAfee, Flipkart, Domino's, Nestle, Deutsche Telekom, Travelodge, and more. MoEngage empowers marketers and product owners with insights into customer behavior and the ability to act on those insights to engage customers across the web, mobile, email, social, and messaging channels. Consumer brands across 35 countries use MoEngage to power digital experiences for over 1 billion customers every month. With offices in ten countries, MoEngage is backed by Goldman Sachs Asset Management, B Capital, Steadview Capital, Multiples Private Equity, Eight Roads, F-Prime Capital, Matrix Partners, Ventureast, and Helion Ventures.
MoEngage has been named as a "Strong Performer" in the Q3 2021 Forrester Wave report for Cross-Channel Campaign Management and as a "Leader" in the 2020 Gartner Magic Quadrant for Mobile Marketing Platforms. It was named one of America's Best Startup Employers 2022 by Forbes, and one of the Top 25 Highest Rated Private Cloud Computing Companies To Work For by Battery Ventures in 2021. To learn more, visit www.moengage.com.
About Goldman Sachs Asset Management Growth Equity
Bringing together traditional and alternative investments, Goldman Sachs Asset Management provides clients around the world with a dedicated partnership and focus on long-term performance. As the primary investing area within Goldman Sachs (NYSE: GS), we deliver investment and advisory services for the world's leading institutions, financial advisors and individuals, drawing from our deeply connected global network and tailored expert insights, across every region and market—overseeing more than $2 trillion in assets under supervision worldwide as of March 31, 2022. Goldman Sachs Asset Management invests in the full spectrum of alternatives, including private equity, growth equity, private credit, real estate and infrastructure. Since 2003 the Growth Equity business within Goldman Sachs Asset Management comprising more than 75 individuals has invested over $13 billion in companies led by visionary founders and CEOs. We focus exclusively on investments in growth stage and technology-driven companies spanning multiple industries, including enterprise technology, financial technology, consumer and healthcare. Follow us on LinkedIn.
About B Capital
B Capital is a multi-stage global investment firm that partners with extraordinary entrepreneurs to shape the future through technology. With over $3.5 billion in assets under management across multiple funds, we focus on seed to late-stage growth investments, primarily in the enterprise, financial technology and healthcare sectors. Founded in 2015, B Capital leverages an integrated team across eight locations in the US and Asia, as well as a strategic partnership with BCG, to provide the value-added support entrepreneurs need to scale fast and efficiently, expand into new markets and build exceptional companies.