The commerce experience management platform, Salsify, has recently announced closing a $200M Series E financing led by TPG, a leading global alternative asset management firm. This investment justifies the narrative that the foundation of every digital commerce experience remains to be the product data powering the journey of discovery, research, and buying for today’s consumers.
The round oversaw investments from Permira’s Growth Opportunities Fund, Neuberger Berman Funds, and Cap Table Coalition, bringing Salsify’s valuation to $2B. This new funding follows Salsify’s 2020 $155M Series E round led by Warburg Pincus in September 2020, bringing the total funding to over $450 million.
What the funding will do for Salsify
Salsify intends to deliver on its expansive vision to serve as the standard system of record and work for those digital commerce experiences, with product data at its core, globally. By delivering an open Salsify Commerce Experience Management Platform, a global network of systems integrators and tech partners will have the ability to build capabilities that support automation, flexibility, and consistency across a product’s entire lifecycle, from product ideation through purchase.
The company also plans on expanding and deepening its open and dynamic retailer network so that brands and retailers can continuously collaborate to deliver optimized commerce experiences that drive results. Salsify will continue with its global expansion beyond its existing presence in the US, France, UK, Portugal, and Australia. Furthermore, in its commitment to team growth and diversity, Salsify hopes to be a career-making company, ensuring its workers and workplace fulfilment in this dynamic tech sector.
TPG’s investment in Salsify will also see Arun Agarwal, Managing Director at TPG, become a Board Observer.
What does Salsify do?
Salsify is described as a product experience management platform that helps brands offer the product experiences that customers want, anywhere they opt to shop online. It achieves this by providing a product content management and a digital assets management (DAM) tool that helps users to customize product pages and drive sales.
Contrary to conventional PIM merchants, Salsify provides a flexible method for data modelling, enabling brands to pull product data anytime and anywhere. Brand manufacturers can import and form any type of content from any source. Salsify analyses whether the content is created according to the sales criteria of the channels that the company publishes through. Data is securely transferred and with complete transparency. Clients can also prepare a digital product catalogue, which is automatically updated and enables users to download their required content.
Among the greatest pros of Salsify would be the ability to create channels that greatly help simplify the process of syndicating content to different websites and internal systems. Additionally, the ability to create very granular properties that allow an agile content management system with excellent faceted search ensures clean high levels of data cleanliness. The result is what many are calling an indispensable product management system.
“As consumer behaviour shifts increasingly towards digital and omnichannel, there has been an evolution in the way that brands think about their technology strategy and how they evolve their tech stack,” remarked Arun Agarwal, Managing Director at TPG. “Through its integrated platform, Salsify is optimizing the shopping experience for brands, retailers, and distributors, powering consumer interactions and enabling consistency, simplicity, and agility.”
Working with top brands
Salsify was co-Founded by Jason Purcell, its CEO, Jeremy Redburn, its Chief Data Officer, and Rob Gonzalez, its CMO. The company operates out of Boston, Massachusetts in the US.
Following its 2020 Series E, Salsify has delivered constant growth both from existing customers and through global expansion. In 2021, Salsify generated over $110M in annual recurring revenue, over a 50% increase from 2020. The company now serves close to1,200 customers across the globe, with directly attributable growth to the value that brands, retailers, and distributors receive from Salsify.
Salsify has consistently achieved net dollar retention rates in excess of 115% in consecutive years, the best-in-class for enterprise SaaS businesses and thus reflective of the confidence of its customers. Forrester, IDC, and Ventana have all listed Salsify as a leader in product information management, with independent research reports ranking Salsify the highest in the industry in Net Promoter Score (NPS). Salsify serves notable brands like L’Oreal, Coca-Cola, Bosch, HP, Walmart and Constellation Brands, just to name a few.