Tracxn Research — Customer Service Software Landscape, November 2016

Customer Service Software – November 2016
Tracxn
World’s Largest Startup Research Platform
2

Contents
Topic Page No.
Scope of Report 04
Entrepreneur Activity 06
Investment Trend 11
Who is Investing 19
Exit Outlook - IPO, Acquisitions 23
Sub Sector Analysis 27
Interesting Companies 42
Useful Links 63
Company List 66
Team 245

Sector Overview
Scope of report
This report covers companies which provide software and platform enabled customer services during and after the purchase of
products or services for both B2C and B2B organizations. Support channels include phone call, live chat(web and in-app), live
text, email, social, visual collaboration. It also include companies which provide self service software which includes customer
centric communities(web and social) and knowledge management tools for customer service reps and external customers.
It also cover companies which provides software to capture customer feedback across all interaction channels to improve
customer experience and brand loyalty.
This report does not cover companies which provides:
• Collaboration solutions for internal employee collaboration and networking.
• Social media management and monitoring used for marketing and PR activities.
• Infrastructure for call centers, or VOIP providers, business phone systems, telephony applications.
• Call center software for sales, marketing and telesales activities.
• Website and mobile based marketing solutions for customer engagement
The scope of this report includes equity as well as debt funding received by the companies.

Scope of Report
Entrepreneur Activity
Investment Trend
Who is Investing
Exit Outlook - IPO, Acquisitions
Sub Sector Analysis
Interesting Companies
Useful Links
Company List
Team
5

72
81
146 145
191
233
94
0
50
100
150
200
250
2010 2011 2012 2013 2014 2015 2016
NumberofCompanies
6
YoY – Number of companies founded
Freshdesk Intercom TruRating CafeX Communications Gladly Takt Rulai
NewBrand WalkMe CollabIP Udesk Drift Kustomer deepPixel

Large Upcoming Sectors
No. of Companies
Founded
Average
Age
No. of Companies
Funded
Business Model
Total
Funding
Example
50 Sep-2014 11 Help Desk > Instant Messengers $22M smooch.io
Smooch
(2015, Montreal East)
41 Jul-2013 14 Help Desk > Mobile App Enablers $66M helpshift.com
Helpshift
(2011, Pune)
29 May-2013 13 Feedback Analytics > Mobile First App $16M dropthought.com
DropThought
(2011, Santa Clara)
47 Jun-2012 20 Help Desk > Live Text $75M relaynetwork.com
Relay Network
(2010, Radnor)
41 Jun-2012 14
Feedback Analytics > Survey Tools +
Market Research > Customer Metrics
$8M customergauge.com
CustomerGauge
(2007, Chicago)
31 May-2012 14
Feedback Analytics > Customer
Experience Management > Social >
Customer Reviews
$13M reviewtrackers.com
ReviewTrackers
(2012, Chicago)
188 Nov-2011 45 Help Desk > Live Chat $287M intercom.io
Intercom
(2011, California)
46 Sep-2011 8 Help Desk > Live Chat > Virtual Agents $25M nextit.com
Next IT
(2002, Spokane)

Niche Upcoming Sectors
No. of Companies
Founded
Average
Age
No. of Companies
Funded
Business Model
Total
Funding
Example
18 Jul-2015 5
Help Desk > Instant Messengers >
Virtual Agents
$10M
Assist
(2015, San Francisco)
2 Jan-2015 1 Call Center > Front End > Slack
Yodel.io
(2015, Vienna)
5 Sep-2014 3 Help Desk > Live Text > Virtual Agents $13M
Digital Genius
(2013, London)
20 May-2014 5
Help Desk > Live Chat > Mobile First
App
$15M
Pypestream
(2015, New York City)
1 Jan-2014 1
Help Desk > Visual
Communication(WebRTC) > Analytics
$3M
callstats.io
(2014, Espoo)
17 Jun-2013 8 Call Center > Front End $25M
Talkdesk
2 Jun-2013 1
Complaints Resolution > Virtual
Agents
$1M
CogniCor
(2011, Barcelona)
9 Jan-2013 3 Help Desk > Agent Productivity $4M
Synap
(2015, Chicago)

Niche Upcoming Sectors
No. of Companies
Founded
Average
Age
No. of Companies
Funded
Business Model
Total
Funding
Example
16 Jan-2013 7 Self Service > Walkthroughs $97M
WalkMe
(2011, Tel Aviv)
14 Sep-2012 5 Help Desk > Virtual Agents $7M
Sobot
(2013, Beijing)
12 Jul-2012 7 Call Center > Visual IVR $4M
CallVU
(2012, Tel Aviv)
2 Jun-2012 2 Call Center > Analytics > API $13M
VoiceBase
(2010, Novato)
2 Jun-2012 1 Help Desk > Crowdsourced Experts $12M
Directly
(2011, Palo Alto)
9 Jan-2012 5
Call Center > Workforce Optimization
> Gamification
$29M
Bunchball
(2005, Redwood City)
4 Sep-2011 4
Help Desk > Live Chat > Crowdsourced
Experts
$42M
Needle
(2010, Salt Lake City)
10 Jul-2011 6 Call Center > Mobile First App $15M
Aircall
(2014, Paris)

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
10

YoY – Number of Rounds and Total Funding
Note: The funding includes debt rounds also.
$245M
$174M
$297M
$381M
$445M
$719M
$883M
$709M
$871M
35 40
45
69
92
109
129 127
111
0
28
56
84
112
140
0
200
400
600
800
1000
2008 2009 2010 2011 2012 2013 2014 2015 2016
NumberofRounds
FundingAmount(inMillions)
Funding Amount Number of Rounds

YoY – Number of Rounds by Stage
26
47 47
57 57
45
23
19
27
41 44
45
9
7
19
12
11
9
0
24
48
72
96
120
2011 2012 2013 2014 2015 2016
NumberofRounds
Seed Early Late

YoY – Funding by Stage
$15M
$30M $19M
$49M $48M $39M
$188M $189M
$292M
$355M
$252M
$360M
$97M
$188M
$382M
$360M
$391M
$339M
0
180
360
540
720
900
2011 2012 2013 2014 2015 2016
TotalFundingAmount(inMillions)
Seed Early Late

Average Ticket Size – Early Stage
$0.8M $0.9M $0.6M $1.1M $1.2M $1.3M
$3.0M
$11.9M
$4.2M $4.0M
$6.1M
$7.9M
$13.5M
$8.1M
$43.2M
$18.1M
$9.3M $10.3M
0.0
8.0
16.0
24.0
32.0
40.0
48.0
2011 2012 2013 2014 2015 2016
FundingAmount(inMillions)
Seed Series A Series B

Top investments in last one year
Company
Funding
Amount
Round
Name
Date Investors
fuze.com
Fuze
(Cambridge, 2006)
$112M Series D Feb-2016 Summit Partners; Bessemer Venture Partners; TCV
nuance.com
Nuance
(Burlington, 1992)
$85M Post IPO Aug-2016 Undisclosed
interactions.com
Interactions
(Franklin, 2004)
$56M Series D Aug-2016 Revolution; NewSpring Capital; Comcast Ventures; Sigma Partners; SoftBank
intercom.io
Intercom
(California, 2011)
$50M Series D Apr-2016 Index Ventures; Iconiq Capital; Bessemer Venture Partners; Social Capital
walkme.com
WalkMe
(Tel Aviv, 2011)
$50M Series E Mar-2016 Undisclosed
sproutsocial.com
Sprout Social
(Chicago, 2009)
$42M Series C Feb-2016 NEA; Goldman Sachs
coveo.com
Coveo
(Quebec City, 2005)
$35M Series D Nov-2015
iqventureadvisors.com; Tandem Expansion Fund; Business Development Bank of
Canada; Fonds de solidarite FTQ; Telesystem
newvoicemedia.com
NewVoiceMedia
(Basingstoke, 2000)
$30M Series F Jan-2016
Business Growth Fund; Bessemer Venture Partners; TCV; Highland Capital Partners;
salesforceventures.com

Top investments in last one year
Company
Funding
Amount
Round
Name
Date Investors
takt.com
Takt
(San Francisco, 2015)
$30M Series A Jul-2016 BCG Digital Ventures; Starbucks
gladly.com
Gladly
$27M Series A Jun-2016 Greylock Partners; NEA
cyara.com
Cyara
(Hawthorn, 2006)
$25M Series A Mar-2016 PeakSpan Capital; Greenspring Associates
helpshift.com
Helpshift
(Pune, 2011)
$23M Series B Jun-2016
Microsoft Ventures; Intel Capital; Nexus Venture Partners; True Ventures; Visionnaire
Ventures; Salesforce
udesk.cn
Udesk
(Beijing, 2013)
$14M Series B Jul-2016 Legend Capital
bloomfire.com
Bloomfire
(Austin, 2010)
$13M Series B May-2016 Austin Ventures
relaynetwork.com
Relay Network
(Radnor, 2010)
$13M Series B Jun-2016 IBX - Blue Cross; First Round Capital; NewSpring Capital
trurating.com
truRating
(London, 2012)
$13M Series A Aug-2016 Sandaire

Funnel view of Sector
Percent of
Previous
37%
45%
40%
60%
129
54
92
229
510
1393
0 320 640 960 1280 1600
M&A & IPO
Late
Series B
Series A
Funded
Founded
Number of Companies

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
18

Most Active Investors in Sector
17
13
11
10
9
7 7
6 6 6
0
4
7
11
14
18
500 Startups Techstars Accel Partners Y Combinator Kima Ventures Plug & Play Western
Technology
Intel Capital NEA Salesforce
TotalNumberofRounds
Intercom ChatID Hootsuite Interana iAdvize Kustomer NewVoiceMedia Helpshift Lithium NewVoiceMedia
Talkdesk Apptentive Qualtrics AirHelp Modria BunchBall EchoPass Corporation Voxify Sprout Social Helpshift

Where are Top Investors investing

Top Investor by Stage of Entry

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
22

Top IPOs
IPO Date Company Overview
Funding
Amount
Ticker
May-2014 zendesk.com
Zendesk
Customer Service Support Helpdesk
Redpoint Ventures, Goldman Sachs, Index Ventures, Benchmark Capital, Charles
River Ventures, Institutional Venture Partners, GGV Capital, Silicon Valley Bank,
Matrix Partners, Point Nine Capital
$85.5M
ZEN
Dec-2000 livechatinc.com
Nuance
(Burlington, 1992)
Communication Platform for Business
Intel, Mayfield, Rembrandt Venture Partners, Goldman Sachs, Morgenthaler, US
Venture Partners, Motorola, Asset Management Ventures, Alloy Ventures, Canvas
Ventures, Attractor Ventures, F-Prime Capital Partners
$101M
NUAN
Apr-2014 five9.com
Five9 Inc.
(San Ramon, 2001)
Cloud based contact center software
Adams Street Partners, Artiman, Sapphire Ventures, Partech Ventures, Hummer
Winblad Venture Partners, Mosaic Capital Partners, ATEL Capital Group, Hummer
Winblad Venture Partners, Sapphire Ventures
$84M
FIVN
Sep-2012 incontact.com
inContact
(Midvale, 1997)
Cloud Based Contact Centre Software
$79M
SAAS
Feb-1997 nexj.com
8x8
(San Jose, 1987)
Cloud based Business Communications Platform
$31M EGHT
May-2002 mattersight.com
Verint
(Herzliya, 1994)
Security intelligence, anti-fraud, risk & compliance and customer engagement
optimization Undisclosed VRNT
Jan-2004 rightnow.com
RightNow Technologies
(Bozeman, 1997)
Customer Experience Suite
Summit Partners Undisclosed
RNOW

Top IPOs

Major Acquisitions in last one year

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
26

October 2016Tracxn BlueBox : Customer Service Software
1350+ companies in the sector, ~$1.6B invested in 2015/2016

Top Business Models by Funding
$2.1B
$1.3B
$1.0B
$727M
$217M
$135M
$35M
0
500
1000
1500
2000
2500
Call Center Help Desk Feedback Analytics Self Service Interaction Analytics Suite Complaints Resolution
TotalFundingAmount(inMillions)
# Cos. 296 578 289 141 45 23 16
Avg. Age Aug-06 Jan-12 Aug-10 Aug-09 Aug-09 Apr-94 May-11
Fuze Hootsuite Medallia Lithium Attensity Aspect Airhelp
Interactions Intercom Qualtrics WalkMe Causata Vocalcom Modria

Call Center – Business Model Description

Call Center – Entrepreneur Activity and
Investment Trend

Call Center – Most Funded Companies

Help Desk – Business Model Description

Help Desk – Entrepreneur Activity and Investment
Trend

Help Desk – Most Funded Companies

Feedback Analytics – Business Model Description

Feedback Analytics – Entrepreneur Activity and
Investment Trend

Feedback Analytics – Most Funded Companies

Self Service – Business Model Description

Self Service – Entrepreneur Activity and
Investment Trend

Self Service – Most Funded Companies

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
41

Interesting Unfunded Companies
Company Overview
Business
Model
confirmit.com
Confirmit
(1996, Oslo)
Customer and employee feedback and market research solutions Feedback Analytics > Survey Tools +
Market Research
talania.com
Talania
(2016, Christchurch)
Chat based intelligent assistant solutions Help Desk > Instant Messengers > Virtual
Agents
unifiedfactory.com
Unified Factory
(2014, Warsaw)
Customer Service Automation
Call Center > Virtual Agents
devicebits.com
DeviceBits
(2015, Columbus)
AI based Self-learning platform of Interactive videos and tutorials
Self Service > Knowledge Management
rep.ai
Rep.ai
Platform providing text-based automation services for e-commerce
Help Desk > Instant Messengers
zoominsoftware.com
Zoomin Software
Product content publishing and analytics platform for improving customer
experience Self Service > Knowledge Management
buddi.ai
Buddi.ai
(2016, Tel Aviv)
Deep learning based automated support solutions
Self Service > Knowledge Management
frame.ai
Frame.ai
Collaborative intelligence platform for messaging
Help Desk > Virtual Agents
Curated list of companies by the sector analyst are defined as Interesting

Interesting Seed Companies

Interesting Series A Companies

Interesting Series B Companies

Interesting Late Stage Companies

Top Funded Deadpooled Companies

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
62

Useful Links
Slide Title Content Platform Link
List of All Companies in readable format Companies Link
List of All Unicorns Companies Link
List of All Soonicorns Companies Link
List of All Minicorns Companies Link
List of Public Companies Exit Outlook - IPO, Acquisitions Link
Acquisitions in last one year Exit Outlook - IPO, Acquisitions Link
List of All Deadpooled Companies Companies Link

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
65

Customer Service Software – Company List
Call Center Help Desk
Feedback
Analytics
Self Service
Interaction
Analytics
Suite
Complaints
Resolution
510 FUNDED COMPANIES AND 883 UNFUNDED COMPANIES
COVERS THE FOLLOWING SECTORS

Call Center (1/38)
Company Overview Business Model Total Funding
Robohold
(2014, Ramat Gan)
Automated call center connecting platform
Agent Productivity
AloTech
(2007, Chicago)
Cloud call center solutions
Agent Productivity
nVoq
(2000, Boulder)
Cloud based Speech Recognition Solutions
Agent Productivity $38.96M
NexJ
(2003, Toronto)
CRM for Financial, Insurance and Healthcare Industry
Agent Productivity $22.9M
CustomerMatrix
Cognitive computing platform for CRM team
HSBC Group, Aster Capital, True Global Ventures, Newfund Agent Productivity $19.5M
CloudCall
(2011, Leicester)
Cloud based CTI for CRM applications
Barclays Agent Productivity $7.41M
OpenMethods
(2010, Los Angeles)
SaaS solutions for contact centers for telephony & CRM integration
Kayne Anderson Capital Advisors, Newroad Capital Partners Agent Productivity $5M
Go to BM List >> Help Desk

Call Center (2/38)
Drumbi Corporation
(2010, Irvine)
Contextual Information to agents about callers
500 Startups Agent Productivity $500k
Next Caller
Advanced Caller ID for Businesses
Y Combinator, Fenox Venture Capital, Avala Management, CRCM
Venture Capital
Agent Productivity $2.5k
Cradle
(2016, Auckland)
Communication tools for businesses
Agent Productivity
sipgate.io
(2014, Dusseldorf)
Call handling API
Agent Productivity
InGenius
(1986, Canada)
Computer Telephony Integration
Agent Productivity
CallScripter
(2001, Ipswich)
Call center scripting solution
Agent Productivity
CoralTree Systems
(2004, Hampshire)
Agent Productivity
interact.io
(2012, Berlin)
Platform for Phone and CRM integrations
Seedcamp, White Star Capital Agent Productivity

Call Center (3/38)
CCP
(2015, Ahmedabad)
Call Center Management Software
Agent Productivity
NexxPhase
(2009, Atlanta)
Customer Engagement Platform
Agent Productivity
CallMiner
(2002, Fort Myers)
Conversational Analytics Software Solutions
Sigma Partners, In-Q-Tel, NewSpring Capital, Florida Growth Fund,
Sigma Prime Ventures, Intersouth Partners, Inflexion Partners, Inflexion
Private Equity
Analytics $69.61M
Nexidia
(2000, Atlanta)
Multichannel Contact Center Interaction Analytics Software
Morgan Stanley, Harbourvest Partners, Paladin Capital Group, Sandbox
Industries, BCBSVP, H.I.G. Capital, Cordova Ventures, Boston Millennia
Partners
Analytics $51.48M
Interana
(2012, Menlo Park)
Behavioural Analytics for event Data
Y Combinator, Index Ventures, Amplify Partners, SV Angel, AME Cloud
Ventures, Battery Ventures, Data Collective, Fuel Capital
Analytics $28.2M
Mattersight
(2006, Chicago)
SaaS based Enterprise Analytics Solutions
Sutter Hill Ventures, Partners for Growth, Investor Growth Capital,
PeakSpan Capital
Analytics $24M
Fluency Voice Technology
(2001, Phoenix)
On-premise and hosted Speech recognition solutions for call centers
Kennet, Nedamco Capital Analytics $16.35M

Call Center (4/38)

Call Center (5/38)

Call Center (6/38)

Call Center (7/38)

Call Center (8/38)

Call Center (9/38)

Call Center (10/38)

Call Center (11/38)

Call Center (12/38)

Call Center (13/38)

Call Center (14/38)

Call Center (15/38)

Call Center (16/38)

Call Center (17/38)

Call Center (18/38)

Call Center (19/38)

Call Center (20/38)

Call Center (21/38)

Call Center (22/38)

Call Center (23/38)

Call Center (24/38)

Call Center (25/38)

Call Center (26/38)

Call Center (27/38)

Call Center (28/38)

Call Center (29/38)

Call Center (30/38)

Call Center (31/38)

Call Center (32/38)

Call Center (33/38)

Call Center (34/38)

Call Center (35/38)

Call Center (36/38)

Call Center (37/38)

Call Center (38/38)

Help Desk (1/73)
Call Center << Go to BM List >> Feedback Analytics

Help Desk (2/73)

Help Desk (3/73)

Help Desk (4/73)

Help Desk (5/73)

Help Desk (6/73)

Help Desk (7/73)

Help Desk (8/73)

Help Desk (9/73)

Help Desk (10/73)

Help Desk (11/73)

Help Desk (12/73)

Help Desk (13/73)

Help Desk (14/73)

Help Desk (15/73)

Help Desk (16/73)

Help Desk (17/73)

Help Desk (18/73)

Help Desk (19/73)

Help Desk (20/73)

Help Desk (21/73)

Help Desk (22/73)

Help Desk (23/73)

Help Desk (24/73)

Help Desk (25/73)

Help Desk (26/73)

Help Desk (27/73)

Help Desk (28/73)

Help Desk (29/73)

Help Desk (30/73)

Help Desk (31/73)

Help Desk (32/73)

Help Desk (33/73)

Help Desk (34/73)

Help Desk (35/73)

Help Desk (36/73)

Help Desk (37/73)

Help Desk (38/73)

Help Desk (39/73)

Help Desk (40/73)

Help Desk (41/73)

Help Desk (42/73)

Help Desk (43/73)

Help Desk (44/73)

Help Desk (45/73)

Help Desk (46/73)

Help Desk (47/73)

Help Desk (48/73)

Help Desk (49/73)

Help Desk (50/73)

Help Desk (51/73)

Help Desk (52/73)

Help Desk (53/73)

Help Desk (54/73)

Help Desk (55/73)

Help Desk (56/73)

Help Desk (57/73)

Help Desk (58/73)

Help Desk (59/73)

Help Desk (60/73)

Help Desk (61/73)

Help Desk (62/73)

Help Desk (63/73)

Help Desk (64/73)

Help Desk (65/73)

Help Desk (66/73)

Help Desk (67/73)

Help Desk (68/73)

Help Desk (69/73)

Help Desk (70/73)

Help Desk (71/73)

Help Desk (72/73)

Help Desk (73/73)

Feedback Analytics (1/37)
Help Desk << Go to BM List >> Self Service

Self Service (1/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (2/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (3/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (4/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (5/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (6/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (7/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (8/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (9/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Self Service (10/18)
Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Feedback
Analytics
<< Go to BM List >>
Interaction
Analytics

Interaction Analytics (1/6)
Self Service << Go to BM List >> Suite

Suite (1/3)
Interaction
Analytics
<< Go to BM List >>
Complaints
Resolution

Suite (2/3)
Interaction
Analytics
<< Go to BM List >>
Complaints
Resolution

Suite (3/3)
Interaction
Analytics
<< Go to BM List >>
Complaints
Resolution

Complaints Resolution (1/2)
Suite << Go to BM List >>

Complaints Resolution (2/2)
Suite << Go to BM List >>

Scope of Report
Investment Trend
Who is Investing
Sub Sector Analysis
Useful Links
Company List
Team
244

Team
245
Deepanshu Gupta
Senior Analyst – Enterprise Apps

Tracxn Research — Customer Service Software Landscape, November 2016

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Tracxn Research — Customer Service Software Landscape, November 2016