Backed by four different venture groups, including Stanford Management Company, Act-on Software next week will announce the company’s fourth and biggest investment to date, bringing in more Silicon Valley venture capital to kindle it’s eventual IPO which is expected in the next 24 months. Based in Beaverton, Oregon, which develops marketing automation software, CEO Raghu Raghavan said the total investment from this Series D round is larger than the $14 Million which it has raised in the last two rounds. The new capital comes from a strong period of growth in which Act-On has grown from 10 employees in 2010 to 128 employees today. Achievements in the 2nd quarter of 2012 we’re startling racking up 277 new clients. In June, they released Act-On Insight an important capablity that let’s marekters benchmark themselves against competitors. Here is more detail about Act-On’s 2nd quarter results.
The momentum will take Act-On public by 2015, if not sooner given the rate of acceleration in the space. Karan Mehandru, a principal at Menlo Park, CA based Trinity Ventures, which led Act-On’s 10 million venture round in June 2011 said there is no reason why the company can’t go public in two plus years. Act-On’s cloud based integrated marketing platform is rapidly becoming the foundation of several successful marketing departments, predominantly in the B2B space. The B2B marketing automation space is expected to hit 525 million this year according to Raab Associates. The explosive growth in B2B marketing automation is dominated by only few top tier ESPs, currently. It’s exciting to see that Act-On is a part of this elite group. I just spoke with newly appointed David Fowler who is their Chief Deliverability and Compliance Officer. David brings over 20 years of experience of senior leadership in the marketing industry including the last nine years strictly focused on the issues associated with email deliverability and privacy compliance. David mentioned that plans are in place to have an international presence shortly in Europe within the next six months.
The Act-On Integrated Marketing Platform can be implemented in a matter of hours and contrary to general industry practices, all contracts regardless of size are month-to-month, with prices starting at $500. Act-On, founded in 2008, is considered a ]ate entrant into the space, but has made up for lost time. Act-On employs 40 at its Beaverton headquarlers, another 70 at its primary sales and support office near Sacramento, CA and another five at a satellite office in Silicon Valley.
This article was inspired by David Fowler, Director of Deliverabiliy and Compliance at Act-On.
Disclaimer: Act-On is a client of Port25 Solutions, Inc.