COVID-19 Update
Subscribe

Act-On Secures $42M In Funding To Fuel Sales And Marketing Efforts

Act-On-TransparentAct-On Software has secured $42 million in funding, bringing the company’s total venture capital financing to $74 million since it was founded in 2008. This round of funding, led by Technology Crossover Ventures (TCV), will be used to grow the business on a number of fronts, including sales, product development and brand recognition.

"The new capital will be used to increase our sales capacity and our marketing efforts, as well as to expand our product team,” said Act-On CEO Raghu Raghavan in an interview with Demand Gen Report. “We will continue to grow our international presence, first in the UK and European Union, and then in Australia and New Zealand later this year."

Raghavan noted that currently more than 10% of Act-On’s revenue comes from international sales, while about 2% or 3% of the company's sales and marketing spend is on international activities. "Why would we not further invest in this market?"

TCV has an established track record with successful investment outcomes in the marketing software segment with companies such as ExactTarget, noted Jon Russo, Founder and CEO of B2B Fusion Group. “Act-On needs this additional late-stage funding to stay competitive in a consolidating industry of smaller companies that are either being acquired by public companies or going public themselves.”

Raghavan added: “We have grown rapidly to over 2,000 customers now, but there are at least 200,000 companies in North America alone that are in our sweet spot. We are very pleased to have the backing of a long-term investor like TCV as we seek to take full advantage of this enormous opportunity.”

David Yuan, general partner at TCV, will also become a member of Act-On’s board of directors.

“Marketing automation represents an enormous greenfield market, and we’re excited by Act-On’s emerging leadership,” said Yuan. “We’ve been following Act-On for the past couple of years and look forward to working with the team to build a category leader.”