Venture Capital News: Segment Raises $15M Series A
SAN FRANCISCO, CA, First customer data hub, today announced it has raised $15 million in Series A funding led by Accel Partners.
Segment, the first customer data hub, today announced it has raised $15 million in Series A funding led by Accel Partners with participation from existing investors Kleiner Perkins Caufield & Byers and e.ventures. A Y Combinator company, Segment has secured $17.6 million in total funding to date. With the new round, Segment plans to aggressively expand its team and platform in the next year.
Segment makes it easy for businesses to use customer data for intelligent analytics, marketing and product development. The company's powerful data hub captures and structures customer data in a universal format that any third-party app can accept. Segment saves developers months spent integrating and maintaining these vendors with a single platform that collects, translates and routes customer data with the flip of a switch.
Segment gives marketers unprecedented speed and flexibility to assemble the best software stacks, simplifying technical integrations and replaying historical data into new tools. Segment sends a consistent, canonical set of data to each vendor and internal system, eliminating discrepancies and giving companies more confidence to make data-driven decisions.
In the past year, Segment has seen significant growth, doubling the number of apps on its platform to 117, and increasing its data volume by ten. Thousands of companies use Segment as their customer data hub including Live Nation, Rdio and Bonobos. With the new funding, Segment plans to rapidly build new integrations and grow its team from 25 to 50 in the next year.
As a part of the round, Accel partner Vas Natarajan has joined Segment's board of directors. Accel has invested in a number of other successful developer services and data platforms such as Braintree, Tune Analytics, Atlassian, Cloudera and Couchbase.
'Customer data is an essential asset for companies to build better products,' said Peter Reinhardt, CEO and co-founder of Segment. 'Unfortunately, businesses waste a huge amount of time extracting this customer data from various silos and pushing it out to their third-party analytics, marketing and product tools. With Segment, companies can collect customer data through a single hub, then flip a switch to translate and route the data wherever they need it.'
'We're in an era of intelligent marketing, where marketers are one of the biggest consumers of data,' said Vas Natarajan of Accel Partners. 'But today, it falls on developers and data teams to collect and manage that raw data at scale. Segment is building the data hub to power all sorts of business logic for not just marketers, but product and engineering leaders as well.'
'We identified Segment's impressive potential with our seed investment last year and continue to back the team and vision,' said Ted Schlein, general partner at KPCB. 'Segment is capitalizing on the market's voracious appetite for a new way to manage and route customer data.'
To learn more about Segment, read the founders' blog post or visit segment.com today.
Segment is on a mission to make using customer data a joy. The first customer data hub, Segment collects data in one place, then transforms and routes it wherever you want: to more than 100 third-party analytics and marketing tools, to internal systems, and to a hosted SQL database. Thousands of companies including Bonobos, Rdio, BaubleBar, RunKeeper and Fool.com rely on Segment. To learn what all the hubbub is about, visit https://segment.com today.
About Accel Partners
Founded in 1983 and based in Palo Alto, CA, Accel Partners has a long history of partnering with outstanding entrepreneurs and management teams to build world-class businesses. Accel has helped entrepreneurs build more than 300 successful technology companies, many of which have defined their categories, including AdMob, AirWatch, Atlassian, Braintree, Campaign Monitor, Cloudera, Couchbase, Dropbox, Etsy, Facebook, Fusion-IO, Groupon, Hootsuite, Kayak, Lookout, MoPub, Nimble Storage, Opower, OzForex, QlikTech, Qualtrics, Real Networks, Riverbed, Rovio, SeatGeek, Spotify, Squarespace, SuperCell, Trulia and VSCO.
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