Hightouch Closes $40M Series B to Make Data Actionable; Increases Valuation to $450M
Nov 17, 2021, 09:34 ET
SAN FRANCISCO, Nov. 17, 2021 /PRNewswire/ -- Hightouch, a fast-growing software company that pioneered the concept of Reverse ETL, today announced it has raised $40 million in Series B financing at a $450M valuation led by ICONIQ Growth (early backers of Snowflake) with participation from Amplify, Bain, YC, and Afore, increasing its total funding to $54.2 million. Angel investors joining this round include: Barr Moses (founder of Monte Carlo), Gene Lee (founder of Ramp), Maxime Beauchemin (the original creator of Airflow), and Alex Pall (The Chainsmokers).
This comes just months after announcing their Series A due to rapid customer acquisition, a new product (Hightouch Audiences), and the tailwinds of companies adopting cloud data warehouses and the modern data stack.
The growth of the market and stellar customer interviews led investors to pre-empt the company's Series B. Since the Series A announcement, Hightouch has increased revenue by more than twofold and grown the team from four employees at the beginning of the year to thirty today.
Hightouch has hundreds of customers, including Fortune 500 companies. This year, Hightouch has partnered with B2C brands like Betterment, EyeByeDirect, Imperfect Foods, Autotrader, and Nando's, as well as B2B companies like Plaid, Ramp, CircleCI, Lucidchart, and SurveyMonkey.
"Our vision is to make data accessible and useful to everyone within a company," said Kashish Gupta, co-founder of Hightouch. "This new round of funding allows us to invest heavily in our product to add features that data engineers love, as well as UIs that make Hightouch accessible to different verticals of business users, starting with marketers and expanding into sales, customer success, and support."
Every business team - sales, marketing, support, success - needs customer data in the software they use to talk to customers, like CRMs, email tools, ad tools, and billing tools. Hightouch is the easiest way to sync that data between systems without engineering help.
Between the Series A and now, Hightouch overhauled their core product to make it enterprise ready by adding access control, SSO, version control, and the ability to handle the throughput of millions of rows of data that their Fortune 500 customers send every day.
Hightouch has also partnered with Snowflake, solidifying a foothold as the go-to product for data activation from the data warehouse. They have also developed key partnerships with companies like Amplitude and Outreach that have endorsed Hightouch as the de facto way to transfer data into their applications, either for initial implementation or enhancement of customer data. These are in addition to existing partnerships with modern data stack leaders like dbt, Fivetran, and Snowplow.
In the past few months, Hightouch released their second product, Hightouch Audiences, which lets anyone define what data they need in their tools, regardless of whether they know SQL or not. With Hightouch Audiences, marketers can self-serve data for their campaigns. Public companies like Autotrader, the largest car marketplace in the UK, use Audiences to send data to ad networks and email tools for hyper-personalization, faster experimentation, and increased customer conversion.
"We have so much valuable data in our data warehouse. Before using Hightouch, getting that data into other tools was painful and time-consuming. With Hightouch, we can put data to use so quickly and easily," said Tim Jenkins, senior director of strategy and analytics at Lucidchart. "Hightouch has opened up all kinds of use cases, such as sending real-time notifications of new opportunities to Slack, sending custom audience lists to ad platforms such as Adwords and Bing to enable targeted advertising, and sending product activity data into Marketo for personalized email campaigns—and we're just scratching the surface!"
As pioneers of the Reverse ETL space, Hightouch will use their latest round of funding to double-down on their investment in product and engineering. The money will be used to expand the surface area of who the product serves, and further improve the core developer experience. Their goal is to build out a sizable team that is capable of delivering Hightouch to as many companies as possible.
Founded by early employees of Segment, Hightouch is the world's leading Reverse ETL platform, which syncs data from data warehouses to various SaaS tools. Hightouch was founded on the notion that every business team—sales, marketing, support, success—needs relevant, accurate, and real-time customer data in the software they use to talk to customers including CRM, email, and support platforms. With data warehouses as the hub for customer data, Hightouch has pioneered the concept of reverse ETL, which is the easiest way to get data out of data warehouses and into those customer-facing operational systems. Hightouch is based in San Francisco and backed by leading investors such as ICONIQ Growth, Amplify Partners, Bain Capital Ventures, Y-Combinator, and Afore Capital. For more information, visit www.hightouch.io.
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