Hightouch, a pioneering startup in the marketing technology space, has announced an impressive $80 million Series C funding round led by Sapphire Ventures. Co-founded by Tejas Manohar, Kashish Gupta, and Josh Curl in 2019, the company has swiftly ascended to a $1.2 billion valuation. The latest funding round nearly doubles its valuation from the previous year. Hightouch’s innovative tools, particularly its AI Decisioning product, have positioned it as a leader in transforming how businesses utilize data for sales and marketing.
Founded by former Segment colleagues, Manohar, Curl, and Gupta, Hightouch introduced its first groundbreaking product, a customer data platform (CDP), in 2020. This CDP marked a significant shift by focusing on leveraging data warehouses with machine learning technologies instead of traditional app-based data analysis. This novel approach made it easier for sales, marketing, and customer service teams to synchronize data across various platforms.
The company's subsequent product, AI Decisioning, further cemented Hightouch's reputation for innovation. AI Decisioning acts as an agentic AI that can be prompted with specific goals to run multiple experiments and suggest optimal campaigns. Tejas Manohar highlights the technology's capability to “run thousands of experiments to figure out the best experience to deliver.” This cutting-edge solution has attracted a range of prestigious clients, including Spotify, PetSmart, Tripadvisor, and Grammarly.
Hightouch's platform is designed to cater to both non-technical users and data scientists, providing seamless data synchronization from warehouses to over 250 tools, including major CRM and marketing platforms. The company's strategic development has not only helped them secure high-profile clients but also expand its business through AI-driven innovation.
The recent funding round brings Hightouch's total funding to $158 million. Prior to this, the company had raised a seed round in 2020 from Y Combinator and others, followed by a $40 million round led by ICONIQ Growth and a $38 million round in 2023. This significant financial backing will be utilized to further develop Hightouch's technology, focus on business development, and expand their team through strategic hiring.
Co-CEOs Manohar and Gupta attribute their decision to raise the current round to their belief in the capital-efficient nature of Hightouch's technology.
“That’s what motivated us to say, All right, let’s have this conversation, and let’s raise the round,” – Kashish Gupta
Industry experts recognize Hightouch’s strategic approach to utilizing cloud data warehouses as a key differentiator.
“They realised that cloud data warehouses are the new customer data platforms,” – Rajeev Dham
The company's forward-thinking approach and commitment to leveraging AI have helped it secure a solid position in the competitive marketing technology landscape.
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