US-based survey and customer feedback software, SurveySparrow has raised $1.4 Mn in seed funding from Prime Venture Partners. The SaaS (software-as-a-service) startup will use the funds for product development and extensive hiring across engineering, product development, and marketing.
“Whether its consumers, employees or marketers, we believe a highly engaging survey platform will be the cornerstone to measure and improve the brand experience.” said Amit Somani, managing partner of Prime Venture Partners.
SurveySparrow was founded in October 2017 by Shihab Muhammed and Subin Sebastian. The company has offices in both Kochi and Palo Alto. The company differentiates itself from other survey platforms by offering a chat-like user interface (UI) for surveys. SurveySparrow claims this spin on the survey’s UI hikes the chances of survey completion by 40%.
The tool also allows organisations to manage customer experience surveys, employee pulse surveys and market feedback surveys on its platform. In addition to surveys, the company also offers two other products including net promoter score (NPS) and the audience for market research.
The company works on a subscription-based model, businesses can register on the platform at a starting price of $19 per month.
Since its launch, SurveySparrow has conducted over 20K surveys with over 8K customers spread across 108 countries for multinational partners such as DiDi, PaySafe, FedEx, Deloitte Digital, SAP, and Siemens. The startup is now set to clock more than 20K customers by the end of 2019.
“We are bullish on customer experience becoming a crucial decision point in choosing the right service, with the world moves towards a subscription service economy. We believe customer experience will be the biggest factor influencing buying decisions,” said Shihab Muhammed, cofounder, SurveySparrow.
SaaS Industry Overview
According to a report by Google and Accel Partners, the Indian SaaS market is predicted to become a $10 Bn revenue industry by the year of 2025. The report also added that global SaaS industry can be predicted to become $132 Bn revenue industry by the year of 2020, in which India is likely to contribute nearly 8% of the global SaaS revenue by 2025.
Further talking about the global online survey software market, SurveySparrow team said the market is valued at $4.06 Bn. Other startups offering online survey tools in India include SurveyMonkey, Touchmetric and SoGoSurvey.
In September 2018, customer experience management software Cloudcherry had raised $9 Mn in an extended Series A funding round led by Pelion Venture Partners. Subsequently, a Bengaluru-based SaaS platform Hiver (previously Grexit) raised a $4 Mn fund from Kalaari, and Kae Capital in October 2018.
More recently in February 2019, software arm of Ebix Inc acquired a 80% stake in the Delhi-based SaaS travel platform, Zillious Solutions.