Welcome!

News Feed Item

Preact Launches First Customer Success Service That Uses Leading-Edge Behavioral Science and Big Data to Help Software Companies Maximize Customer Lifetime Value

Trinity Ventures Leads $4.6M Series A Financing

SAN FRANCISCO, CA -- (Marketwired) -- 04/18/14 -- Preact, the cloud-based, automatic customer success service, today officially announced the launch of the first service that helps subscription software companies maximize the lifetime value of their customers using leading-edge behavioral science, machine learning, and big-data analytics.

The company also announced that it closed $4.6 million in Series A funding led by Trinity Ventures. Karan Mehandru, General Partner at Trinity Ventures, joined the Board of Directors. Prior investors Atlas Ventures, Karlin Ventures, Bee Partners, and Lion Wells Capital also participated. Funds will be used to grow the product team and expand sales and marketing efforts.

Preact helps subscription software companies maximize customer lifetime value by reducing churn, acquiring more paying customers, and driving upsells. Preact automatically predicts and highlights the individual users and accounts that are likely to churn and/or upgrade. The company integrates its data into common workflow applications including Gmail, Marketo, Salesforce, Zendesk, Desk.com, and others. It currently works with more than 40 customers, including Adomic, Bitium, Doctorbase, EatClub, Education.com, Lettuce, Propertybase, and RJMetrics.

"Today, it's far more profitable for software companies to keep customers than find new ones, which is why growing recurring revenues is the most cost-effective way to drive long-term value," said Michael Geller, CEO. "We're seeing rapidly accelerating demand from sales and customer success teams who need accurate analysis of the health and activity of their customers so they can act proactively to save or upsell them."

"Preact is a critical part of the foundation underlying our Customer Success team; it's already made our entire team at least 25% more productive," said Robert J. Moore, CEO of RJMetrics, a Preact customer. "By quickly highlighting the precise customers in need of the most immediate attention, Preact is having a significantly positive effect on our retention and upsell rates."

Gartner estimated that more than $250 billion will be spent on public cloud services in 2017, and Forrester estimated the U.S. eCommerce industry will be as large as $370 billion in 2017.

"Preact takes customer success analytics to an entirely new level. Instead of relying on static rules and guesswork, Preact uses proprietary data science to automatically measure the health of every user and account on a granular level," said Karan Mehandru, General Partner, Trinity Ventures. "This combination of extreme ease of use, advanced data science, and actionability enables businesses to keep tabs on their customers, reduce churn, and increase per-customer revenues. We're thrilled to partner with Preact by funding the next phase of their growth."

"Trinity's expertise in helping SaaS companies execute will be invaluable to us throughout our next phase of growth," said Christopher Gooley, co-founder of Preact. "We are excited to work with Trinity Ventures as we bring modern analytics to customer success leaders."

Preact also announced that Prakash Ramamurthy, Senior Vice President of Oracle's cloud management business, and Chuck Dietrich, former CEO of SlideRocket and GM at Salesforce.com, joined the Board of Directors.

"Preact's use of deep, automatic data science is the next step in customer management," said Mr. Dietrich. "Preact tells customers how to ensure strong adoption, conversion, and engagement on a per-user basis. Every subscription software business will have to use Preact to ensure long-term success, and Preact has already become a critical foundation of a number of subscription software businesses, and they've only just begun."

ABOUT PREACT:
Preact is a cloud-based, automatic customer success service that helps subscription software companies maximize customer lifetime value by reducing churn, acquiring new customers, and driving upsells. Preact provides health metrics tailored to each user and account by tracking detailed session-level usage of web usage, mobile applications, and server activity. Preact predicts and informs which customers are likely to churn, renew, or upgrade by modeling usage and behavior patterns using big data analytics, leading-edge behavioral science, and machine learning. In addition, Preact provides deep, real-time visibility into product usage to dramatically improve customer support and product quality. Preact integrates its data into common workflow applications including Gmail, Marketo, Salesforce, Zendesk, Desk.com, and others. Founded in 2012, Preact is based in San Francisco and funded by Trinity Ventures and other leading venture capital firms. Learn more at www.preact.com.

ABOUT TRINITY:
Trinity Ventures is a top tier venture capital firm combining business insight, practical expertise and a personal touch to help startups win big. For over eleven funds, Trinity has helped passionate entrepreneurs with breakthrough ideas transform markets and lives. Trinity's investment team takes a collaborative approach and believes in personal engagement, mutual respect and goal alignment to deliver outsized returns to entrepreneurs and investors. The firm invests in early stage technology companies with emphases on Cloud, Digital Media, Social Commerce and Entertainment, and Software as a Service. Learn more at www.trinityventures.com.

Image Available: http://www2.marketwire.com/mw/frame_mw?attachid=2571552

Add to Digg Bookmark with del.icio.us Add to Newsvine

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
In a recent survey, Sumo Logic surveyed 1,500 customers who employ cloud services such as Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP). According to the survey, a quarter of the respondents have already deployed Docker containers and nearly as many (23 percent) are employing the AWS Lambda serverless computing framework. It’s clear: serverless is here to stay. The adoption does come with some needed changes, within both application development and operations. Tha...
In his session at 21st Cloud Expo, Michael Burley, a Senior Business Development Executive in IT Services at NetApp, described how NetApp designed a three-year program of work to migrate 25PB of a major telco's enterprise data to a new STaaS platform, and then secured a long-term contract to manage and operate the platform. This significant program blended the best of NetApp’s solutions and services capabilities to enable this telco’s successful adoption of private cloud storage and launching ...
In his general session at 21st Cloud Expo, Greg Dumas, Calligo’s Vice President and G.M. of US operations, discussed the new Global Data Protection Regulation and how Calligo can help business stay compliant in digitally globalized world. Greg Dumas is Calligo's Vice President and G.M. of US operations. Calligo is an established service provider that provides an innovative platform for trusted cloud solutions. Calligo’s customers are typically most concerned about GDPR compliance, application p...
The past few years have brought a sea change in the way applications are architected, developed, and consumed—increasing both the complexity of testing and the business impact of software failures. How can software testing professionals keep pace with modern application delivery, given the trends that impact both architectures (cloud, microservices, and APIs) and processes (DevOps, agile, and continuous delivery)? This is where continuous testing comes in. D
The 22nd International Cloud Expo | 1st DXWorld Expo has announced that its Call for Papers is open. Cloud Expo | DXWorld Expo, to be held June 5-7, 2018, at the Javits Center in New York, NY, brings together Cloud Computing, Digital Transformation, Big Data, Internet of Things, DevOps, Machine Learning and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding busin...
Smart cities have the potential to change our lives at so many levels for citizens: less pollution, reduced parking obstacles, better health, education and more energy savings. Real-time data streaming and the Internet of Things (IoT) possess the power to turn this vision into a reality. However, most organizations today are building their data infrastructure to focus solely on addressing immediate business needs vs. a platform capable of quickly adapting emerging technologies to address future ...
SYS-CON Events announced today that Synametrics Technologies will exhibit at SYS-CON's 22nd International Cloud Expo®, which will take place on June 5-7, 2018, at the Javits Center in New York, NY. Synametrics Technologies is a privately held company based in Plainsboro, New Jersey that has been providing solutions for the developer community since 1997. Based on the success of its initial product offerings such as WinSQL, Xeams, SynaMan and Syncrify, Synametrics continues to create and hone in...
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.
Nordstrom is transforming the way that they do business and the cloud is the key to enabling speed and hyper personalized customer experiences. In his session at 21st Cloud Expo, Ken Schow, VP of Engineering at Nordstrom, discussed some of the key learnings and common pitfalls of large enterprises moving to the cloud. This includes strategies around choosing a cloud provider(s), architecture, and lessons learned. In addition, he covered some of the best practices for structured team migration an...
No hype cycles or predictions of a gazillion things here. IoT is here. You get it. You know your business and have great ideas for a business transformation strategy. What comes next? Time to make it happen. In his session at @ThingsExpo, Jay Mason, an Associate Partner of Analytics, IoT & Cybersecurity at M&S Consulting, presented a step-by-step plan to develop your technology implementation strategy. He also discussed the evaluation of communication standards and IoT messaging protocols, data...
With tough new regulations coming to Europe on data privacy in May 2018, Calligo will explain why in reality the effect is global and transforms how you consider critical data. EU GDPR fundamentally rewrites the rules for cloud, Big Data and IoT. In his session at 21st Cloud Expo, Adam Ryan, Vice President and General Manager EMEA at Calligo, examined the regulations and provided insight on how it affects technology, challenges the established rules and will usher in new levels of diligence arou...
Most technology leaders, contemporary and from the hardware era, are reshaping their businesses to do software. They hope to capture value from emerging technologies such as IoT, SDN, and AI. Ultimately, irrespective of the vertical, it is about deriving value from independent software applications participating in an ecosystem as one comprehensive solution. In his session at @ThingsExpo, Kausik Sridhar, founder and CTO of Pulzze Systems, discussed how given the magnitude of today's application ...
The “Digital Era” is forcing us to engage with new methods to build, operate and maintain applications. This transformation also implies an evolution to more and more intelligent applications to better engage with the customers, while creating significant market differentiators. In both cases, the cloud has become a key enabler to embrace this digital revolution. So, moving to the cloud is no longer the question; the new questions are HOW and WHEN. To make this equation even more complex, most ...
As you move to the cloud, your network should be efficient, secure, and easy to manage. An enterprise adopting a hybrid or public cloud needs systems and tools that provide: Agility: ability to deliver applications and services faster, even in complex hybrid environments Easier manageability: enable reliable connectivity with complete oversight as the data center network evolves Greater efficiency: eliminate wasted effort while reducing errors and optimize asset utilization Security: imple...
Mobile device usage has increased exponentially during the past several years, as consumers rely on handhelds for everything from news and weather to banking and purchases. What can we expect in the next few years? The way in which we interact with our devices will fundamentally change, as businesses leverage Artificial Intelligence. We already see this taking shape as businesses leverage AI for cost savings and customer responsiveness. This trend will continue, as AI is used for more sophistica...