Funds will be used to further fuel product innovation for Zenoti’s industry-redefining cloud-based software solutions leveraged by beauty and wellness businesses worldwide, to expand market share and continue to recruit top talent.
Bellevue, WA ( May 1, 2019) - Zenoti, the leading enterprise cloud platform for the beauty and wellness industry, announced today that it has closed a $50 million Series C funding round led by Tiger Global Management with participation from Norwest Venture Partners and Accel. Already the leading software choice for salon and spa chains, Zenoti has thousands of customers spanning 44 countries. This investment positions Zenoti to accelerate the pace of innovation to reshape the industry, to expand into both existing and new geographies and to continue hiring top talent. With today’s funding, Zenoti has raised a total of $71 million.
"The beauty and wellness markets are large and growing. Zenoti is improving productivity for many salon and spa operators, and we are excited to partner with Sudheer and his team as they continue innovating,” said Scott Shleifer, Partner at Tiger Global.
RESHAPING THE BEAUTY AND WELLNESS INDUSTRY
Zenoti’s solution enables the beauty and wellness industry, slow to progress technologically in the past decades, to harness the most current technology advances whether for customer engagement, employee engagement or internal operational benefits. With 60 percent of the Zenoti employee base in R&D, the company will remain laser focused on creating best-in-class solutions for the industry, all in a single platform. The latest funding will allow Zenoti to accelerate product innovations that reshape how business owners address their biggest challenges:
Engaging and retaining customers: Zenoti’s technology leverages A.I., predictive analytics and mobile solutions to better attract, engage and retain customers. The customer benefits range from the elimination of long front desk lines, to omni-channel booking and contactless payments for seamless check-outs, to the first AI-driven marketing automation designed exclusively for salons and spas yielding highly personalized, relevant and timely emails for guests. Zenoti’s Smart Marketing has already proven to increase salon and spa revenues by five to ten percent week over week.
Improved operational efficiency: Zenoti supports every aspect of the complex operational tasks needed to efficiently run salons and spas. The current solution includes a rich suite of capabilities that support front desk operations with mobile payments, A.I. driven booking capabilities and communication tools while back office operations are supported with reporting and analytics, inventory management, marketing, and employee management capabilities. Zenoti’s all-in-one platform connects workflows, enabling seamless operations across the business.
“Tiger Global’s investment in Zenoti is the validation of all the hard work the team has put in so far and the zeal to make Zenoti the backbone of the beauty and wellness industry. We are pleased to be in the company of other category-defining portfolio companies in Tiger Global portfolio and thankful for the ardent support by Norwest and Accel throughout our journey. With tremendous momentum of more than 100% growth in the past year and on target to achieve 130% growth in 2019, we’re excited to be leading the transition of this industry to the cloud,” said Sudheer Koneru, CEO at Zenoti. “We’re energized that this funding will allow us to keep technology innovation at the forefront for our industry.”
The company is proud to serve the unmet needs of the industry and support successful brands including Waxing the City, Massage Heights, Mario Tricoci, Prose Boutiques, Sono Bello and Rudy's Barbershop, and to have recently expanded into the resort space adding MGM Resorts and Taj Hotels to its customer mix.
Zenoti provides an all-in-one, enterprise cloud-based software solution for the beauty and wellness industry including salons,spas and med spas. The Zenoti platform is engineered for reliability and scale, harnessing the power of enterprise-level technology for thousands of businesses of all sizes in over 40 countries.
Zenoti is redefining the industry’s customer experience and improving operational efficiency while simultaneously improving customer retention and spending. Zenoti allows users to seamlessly manage every aspect of the business in a comprehensive mobile solution: appointment bookings, POS, CRM, employee management, inventory management, marketing automation, analytics and more.
To learn more about Zenoti, visit https://www.zenoti.com/.
About Tiger Global Management
Tiger Global Management, LLC is an investment firm that deploys capital globally. The firm's fundamentally oriented investments focus primarily on the global Internet, software, financial technology, consumer and industrial sectors. The private equity strategy has a ten-year investment horizon and targets growth-oriented private companies. Such investments have included Spotify, JD.com, Harry's, Warby Parker, Peloton, Facebook, LinkedIn, Yandex, Mail.ru Group, Despegar, Ola and Flipkart. The public equity efforts emphasize deep due diligence on individual companies and long-term secular themes. Tiger Global Management, LLC was founded in 2001 and is based in New York with affiliate offices in Hong Kong, Singapore, Bangalore and Melbourne.
About Norwest Venture Partners
Norwest Venture Partners is a global venture capital and growth equity investment firm that manages more than $6 billion in capital. The firm targets early to late stage venture and growth equity investments across a wide range of sectors including: technology, information services, business services, financial services, consumer products/services and healthcare. Headquartered in Palo Alto, Calif., Norwest has offices in San Francisco and New York, and subsidiaries in Mumbai and Bengaluru, India and Herzelia, Israel. The firm has funded more than 575 companies since inception. For more information, please visit http://www.nvp.com. Follow Norwest on Twitter @NorwestVP.
Accel is a leading venture capital firm that partners with exceptional founders with unique insights, from inception through all phases of private company growth. Atlassian, Braintree, Cloudera, Crowdstrike, DJI, DocuSign, Dropbox, Etsy, Facebook, Flipkart, Freshworks, Jet, Pillpack, Qualtrics, Slack, Spotify, Supercell, Tenable, Venmo and Vox Media are among the companies the firm has backed over the past 35+ years. The firm seeks to understand entrepreneurs as individuals, appreciate their originality and play to their strengths. Because greatness doesn't have a stereotype. For more, visit www.accel.com www.facebook.com/accel or www.twitter.com/accel