Turning a Continuous Improvement Mindset Into Successful KPIs

When growing and scaling sales teams, stasis can set in even quicker than a sales leader might realize. That’s why Marty Sanders, head of American sales at cybersecurity leader Vectra, prioritizes continuous improvement as a strategy and goal for every member of his organization.

During this episode of Growth Hacks, the trio discuss how Marty hires sales leaders that are hyper focused on growth, and how Vectra supports their employees with a culture that allows them to excel. Marty also walks us through how his new hires generated 50% of revenue in just six months…and how they cut their sales cycle by more than half along the way.

Here’s what you will learn:

  • Why Vectra treats recruitment with the same focus they do dealmaking and sales
  • How to recruit and hire talent that has an improvement-focused mindset
  • The strategy behind implementing a culture of continuous improvement
  • How Vectra shortened its sales cycle while growing revenue generated by new hires

To hear more on this, settle back and press play.

Please find the transcript below, which has been edited.

Kunal Mehta: In today’s episode, we have a special guest, Marty Sanders. Now a little bit about Marty.

He started his career at EMC, where he eventually led a division from a hundred million in revenue to a billion in three years. After that amazing run, he became CEO of a Tony Robbins company that focused on doubling sales in 24 months or less. He went on to work for one of our venture advisors here at TCV, Mark Smith, at a fast-growing company called Rubrik.  Now he’s at the helm of America Sales at Vectra, who is a leader in cybersecurity and a TCV-backed company. And I’m sure you’re going to share some incredible best practices. Welcome, Marty Sanders.

Marty Sanders: Thanks, Kunal. So great to be here.

Katja Gagen: Awesome. Marty, where does this podcast find you today?

Marty Sanders: Got off the plane a couple hours ago from Chicago and I’m looking around and I think I’m back in my home in Scottsdale, Arizona.

Kunal Mehta: Well, Marty, I got to tell you my first day at TCV, I walked off at jetway and I was greeted by these incredible superheroes. And I remember thinking, this is just incredible branding. I loved it. I loved how they had a superhero for cloud, network, data center, but then I realized it was Vectra, a TCV-backed company, and they’ve kind of cracked the code on simplifying cybersecurity. Maybe you can give us your quick pitch on Vectra.

Marty Sanders: Absolutely. I do get excited every day here at Vectra because we’re fighting bad guys. We’re helping companies prevent the serious damages that come from cyber-crime. What Vectra does is we provide peace of mind that your mission-critical assets are protected from cyber-crimes, like ransomware and supply chain. And we do it by detecting adversaries and responding to adversaries at speed. Thanks to our superior AI and ML platform.

Katja Gagen: That’s interesting Marty. So, what is most important prevention or adapting as quickly as possible? And since we hear about ransomware and security breaches every day in the news, has demand gone through the roof for Vectra’s solutions?

Marty Sanders: Thankfully they have, but you know, sadly it’s because crime is getting very, very bad. And one of the challenges that companies have today is they’re spending way too much on trying to prevent and stop and block threats that can’t be blocked. So, the new wave companies who are doing a great job defending themselves against ransomware and supply chain are focused on detection and responding to adversarial threats versus prevention. Because eventually somebody is going to get in. So, it’s all about identifying them and getting them out as soon as possible.

There’s about a 300% uptick in ransomware I saw in the Washington Post recently. We are seeing a significant uptick in early indicators of ransomware amongst our current customers. But the good news is we are seeing the early indicators of ransomware with our current customers, thus being able to identify and respond to that. That’s why our customers are out of the headlines.

Katja Gagen: Right. And obviously cybersecurity is a really hot topic and being ahead of the game is key to fight the bad guys, so to speak, right? How do you find good talent in an industry that is in short supply? And what are your secrets for hiring and for ramping people quickly?

Marty Sanders: There’s a lot to unpack there, Katja, and I will tell you it’s tough and it’s never been tougher. But we’re having great success, despite all those headwinds. And part of it is a culture and treating recruiting with the same level of focus that you treat any large transaction or large deal in the forecast.

And it starts at the top, making sure that I carve out time to do recruiting and leveraging my network and tools on LinkedIn. Then it goes down a level to my managers. So, when I’m inspecting their business, it’s not just a forecast and pipeline review. It’s also a review of their recruiting activities.

So that’s really important to us, that we treat recruiting like we treat multi-million-dollar deals. The second thing that we’ve done is we’re a lot more efficient in our recruiting and we’re getting a lot better predictable results by using a personality DNA test from company called OMG. What we’re able to do is very quickly after we identify a candidate — do a 10-minute interview — we ask them to take this test and, you know, if they fail the test, we don’t move on. It gives us back a lot of time because it’s customized for us, and it’s able to take into consideration the skills and the wills that makes sense for the candidate and it makes sense for us here at Vectra and we don’t have any exceptions. You pass the test, or we don’t move on.

Kunal Mehta: Marty, I love, just the science that you apply in terms of hiring. We spend so much time training sales reps on qualification. Whether it’s through MEDDPICC or MEDDIC or whatever, you’re using the same approach on hiring. Maybe you can give us a little bit more color about how you apply that process to hiring?

Marty Sanders: Absolutely, because now we’ve done a good job at sourcing candidates, and we get somebody that passes the test. There’s still a lot of work to do so in closing the sale because it is a sale, and we use MEDDIC as part of our hiring process. Understanding, what is the metric that the candidates are looking for, which is typically income or upward mobility, you know, who’s the economic buyer? Many times, I’ll be on with a candidate, and I’ll say, Katja, do you discuss this opportunity with your significant other or spouse? And she may say yes. And I’ll say, would it be helpful if I got on the phone with your spouse and talked a little bit about the opportunity, to make sure I’ve answered all questions? Just making that offer goes a long way in the recruitment of a candidate.

Kunal Mehta: And what’s the result at Vectra through this process?

Marty Sanders: Well, I adopted it as soon as I joined the company about seven and a half months ago, and the last two quarters, in what used to be considered a long sales cycle, over 50% of our revenue is coming from folks that have been hired in the last six months.

Katja Gagen: Well, thanks, Marty. I also want to drill a little bit into the sales cycle. A lot of our companies in the portfolio have very long sales cycles and then they hire these industry superstars with a big Rolodex, and they pay non-recoverable draws. What’s your take on that?

Marty Sanders: My take is this is a problem that many companies are facing, where we hire the person with the expensive Rolex and the nice suit, and they make all these big promises and nine months go by and you really don’t have the right scorecard to see if they’re doing a good job or not.  So, I address it in a couple of ways.

Number one is what can we do to shorten that long sale cycle? And I’m obsessed with that. And making sure when I use the sales, like a DNA test or personality profile, does this person have the ability to do transactions? Even though you’re not a transactional business, just having that transactional ability really goes a long way in shortening sales cycles.

Number two is building a scorecard to measure if they’re doing a good job and then three, and most importantly, tying that draw to the KPIs on that scorecard. I will not give a draw just for the sake of giving a draw, that you get money just for showing up. We’re going to make sure we tie that draw to MBOs that are great leading indicators that we’re building pipeline. But even activities like identifying stakeholders, meeting the stakeholders, getting the senior leadership like me or my CEO in front of the customer. Identifying use cases, modeling a TCO, developing unsolicited proposals. And most importantly, have you identified pain in any part of an organization? Just making sure we’re paying that draw and tying it to hitting these KPIs.

Kunal Mehta: Marty, I think those verifiable outcomes that you’re talking about and tying the draw payment to that is incredibly refreshing to hear. I know you have this great way to onboard, ramp, even identify talent, but you also have an incredible way to think about just continuous improvement as folks come in. Maybe you can talk to that a little bit and how you’ve compressed things like sales cycle.

Marty Sanders: Continuous improvement has to be throughout an entire organization, and everybody has to be obsessed with that. Probably my biggest obsession right now, is shortening the sales cycle. When I came to Vectra, our sales cycle in America was 241 days, and now we’re down to 111.

Last quarter we had five new customer transactions, brand new net, new customers that closed in less than 30 days. So, we’re certainly trending in the right direction. And the pillars to get that done is — a big part of it is culture and not allowing that limiting belief that all of our sales cycles are nine to 12 months.

One of the things that you have to do again, going back to the sales DNA, is making sure you hire people that do not have that limiting belief and agree with me that we can shorten that sales cycle. Number two is making sure all your sellers can articulate the value prop in 90 seconds or less. You can get that in less than 90 seconds; you can build a 90-day sales cycle.

Next is building a culture of compression where every Friday is treated like month end, every month end is treated like quarter end, and every quarter end is treated like year-end. By the way, this is tough. It can wear people out, but you have to maintain it. But because it’s tough, you have to do two things. Again, hiring people who are built for that.

And then number two, really being aggressive in recognition and making sure that you’re checking in on your people, that they can continue to maintain that pace.

Kunal Mehta: That level and that mindset is incredibly important. And I remember Marty, when we first met, you talked about no goose eggs ever. Maybe you can just explain to our listeners how that mindset is so critical in your own organization.

Marty Sanders: A great example is, you know, a sales rep who doesn’t clearly have a deal to commit, you know, from a forecasting perspective. And they’ll say their commit is zero. You cannot allow anybody to put a goose egg in their commit.

They must put something. Something has to be in there because if you allow them to have a zero forecast, you’re basically giving them a mulligan. You’re giving them the subconscious right to fail. By getting them to commit to something, anything, even if it’s $50K, that commitment now is tied to a moral obligation, and they are morally obligated to get to that commit. So, it’s very important that none of your managers can ever accept somebody committing to zero.

Katja Gagen: So, it’s a lot about having growth in mind, but also being very focused. That leads me to lifetime learning, Marty, and I know you’re passionate about learning. So, tell us, who do you learn from and who has had the biggest impact on your career?

Marty Sanders: I could literally chat for a week answering that question, as there’s been so many people that have influenced me and helped me. But my go-to book, the book that I ask all my managers to read, the book that I read on an annual basis is Dr. Robert Cialdini’s Influence, and his new book called Pre-Suasion. It’s all about using tools like neurolinguistic programming and the seven most powerful words and subconscious laws of influence to get people, to do what you want them to do. To lead them, to make the right decision. And the premise is: there’s no such thing as free will.

Kunal Mehta: Well, I love any books that have to do with influence and persuasion. Maybe you can talk about how that impacted you and your personal life.

Marty Sanders: The beauty of Cialdini’s work is the impact it has had on my personal life. And I’ll go back to a sales campaign, talk about long sales cycles, this is a sales campaign I started about 15 years ago. I had seen John Chambers do a presentation about the need for more engineers and said, “if you have small children at home, do what you can to get them to be engineers”. And I went home that day with a moral obligation to make sure my daughters became engineers. So, I looked at my four- and six-year-old in the eye and said, “you guys are going to be engineers one day.” And they laughed. They giggled, they went back to dance class and her piano lessons, not knowing that over the course of the next 15 years, I adopted every piece of learning from Cialdini that I could apply to influence my girls, to become engineers. And up until the day they were doing their college applications, they still didn’t realize what major they were going to do, but yet they somehow wrote down mechanical engineers.

And as I look back today, I’m very proud of my two successful daughters who are going to be big, big players in women in STEM.

Kunal Mehta: Marty — they’re going to know about it now, this lifelong campaign.

Marty Sanders: Cat’s out of the bag.

Katja Gagen: And so, taking this to the influence and persuasion in selling, what’s your number one tip that you can tell with our listeners?

Marty Sanders: I would probably start with, are you using the proper pre-framing techniques before you message to a customer? Here’s one of my favorites. And this came out of a result of doing presentations and I thought I was doing a great job, but they weren’t taking the actions that I wanted them to take at the end of the call.

And a lot of us have great calls with no actions. So, I’ll start a call and I’ll go, “Hey, Kunal, thanks so much for having me today. I’m really excited to be here. What I can tell you Vectra is very data-driven, and we actually take a look at the results of every time we do a presentation like today. And what I can share with you Kunal, is at the end of this presentation, the data says, that 75% of people who go through this take action at the end. Now that action may vary. The action may be a deeper dive, talk to a reference and some cases they just want to accelerate the move to a procurement, but 75% of the people who see what I’m going to share with you, take action.”

And at the end of my presentation, I’m not going to have happy talk. I’m going to say “based on what we just went through Kunal share with me your next action. I’m not asking you; I’m telling you to share with me your next action.

Katja Gagen: That’s really great advice, Marty. I love that and our listeners will love it too. So now as we’re getting to the end, we’ll finish with a quick lightning round. So, tell me what book is on your nightstand?

Marty Sanders: Awesome book by my friend, Randy Seidl. Your Go-To Sales Adviser.

Kunal Mehta: And I just wanted to know maybe the company you admire the most and why?

Marty Sanders: It has to be EMC. EMC sales DNA is sprinkled all over Silicon Valley and companies like ServiceNow, Snowflake, Cohesity, Rubrik, and now Vectra.

Katja Gagen: What’s the one thing you wish you had known earlier in your career?

Marty Sanders: People matter. Hire right? Sleep at night.

Katja Gagen: And Marty you’ve seen good and bad sales calls. What’s the best cold call opening line? What’s the worst?

Marty Sanders: Well, the best cold call opening line that worked for me when I was a young lad was: “Hey Katja. This is Marty from Vectra. We do a lot of business with other venture capital companies, and research says that it takes me nine calls to reach you. So, you could save us both another eight calls by returning my call and just give me three minutes of your time. If I don’t prove value in those three minutes, you’ll never hear from me again, Katja.”

Katja Gagen: I would definitely return that. What’s the worst one?

Marty Sanders: “Hey, Katja. It’s Marty from Vectra. How are you today?” I can’t tell you how many times somebody said, like “I’m horrible, my wife just threw me out of the house and my dog died. How are you doing?”

Katja Gagen: Well thanks so much, Marty, for sharing all your insights for salespeople and for life. It was so nice to have you on Growth Hacks today. Thanks for joining us.

Marty Sanders: It was a blast and I hope you two have an awesome day.

Katja Gagen: Thanks for listening to Growth Hacks. You can follow us on Spotify, Apple Podcasts, or wherever you listen. To learn more about us and TCV’s CEO and founder podcast, go to TCV.com or email us at growthhacks@tcv.com.

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The views and opinions expressed are those of the speakers and do not necessarily reflect those of TCMI, Inc. or its affiliates (“TCV”). TCV has not verified the accuracy of any statements by the speakers and disclaims any responsibility therefor. This interview and blog post are not an offer to sell or the solicitation of an offer to purchase an interest in any private fund managed or sponsored by TCV or any of the securities of any company discussed. The TCV portfolio companies identified, if any, are not necessarily representative of all TCV investments, and no assumption should be made that the investments identified were or will be profitable. For a complete list of TCV investments, please visit www.tcv.com/all-companies/. For additional important disclaimers regarding this interview and blog post, please see “Informational Purposes Only” in the Terms of Use for TCV’s website, available at http://www.tcv.com/terms-of-use/.


Kipu Appoints Healthcare Technology Veteran Anita Pramoda to Board of Directors

CORAL GABLES, Fla, August 25, 2021–Kipu, maker of KipuEMR, a modern SaaS-based electronic medical records (EMR) system for substance use disorder (SUD) and behavioral health treatment organizations, today announced the appointment of health technology veteran Anita Pramoda to its board of directors.

“Kipu has time-tested software solutions for substance abuse centers and continues to invest in innovation to help providers improve outcomes and navigate reimbursement changes. Now is the time to accelerate our market leadership. We push ourselves to innovate and integrate our technology platform to enable world-class performance for our customers and their patients.  With her deep experience advising growth technology companies, Anita is ideally suited to support us in this task,” commented Kipu’s CEO, Paul Joiner.

A seasoned healthcare IT leader, Pramoda is founder and CEO of Owned Outcomes (O2), a software company that helps participating organizations win at various forms of value-based care including bundled payments. She was previously CFO at Epic Systems Corporation, a $3 billion+ healthcare IT company, which provides electronic medical records for over 50% of the U.S. population. Pramoda helped lead a period of significant domestic market growth, Epic’s expansion into the governmental and international markets, and its launch into mobile health IT. Pramoda also brings vast healthcare IT board experience from serving on the boards of leading companies such as Allscripts (NASDAQ: MDRX), Health Catalyst (NASDAQ: HCAT), Press Ganey, and HealthEdge.

Commenting on the new opportunity at Kipu, Pramoda said, “This is a company targeting an underserved area within healthcare, supporting patients as they heal from addiction and other harmful behaviors – which have been at an all-time high during the pandemic. Behavioral health and substance abuse treatment are nuanced, heavily regulated and complex areas within healthcare.  Kipu’s foundational strength is its absolute focus on creating a purpose-built EMR solution and suite of applications singularly focused on this market. To have workflows and features that are purpose-built for these specific needs makes Kipu’s business important and special, and it’s exciting to be part of the company’s journey.”

The appointment follows the company’s June announcement of TCV’s strategic investment in Kipu as market momentum for SaaS solutions accelerates in behavioral healthcare.

About Kipu

Kipu is the leading enterprise software provider serving the substance use, mental health, and eating disorder communities with its cloud-based technology platform. The KipuEMR, a fully configurable electronic health record and integrated billing platform designed for — and within — the behavioral health industry, is the largest and most widely implemented EMR purpose-built for the addiction treatment industry. Kipu’s platform is used daily by more than 80,000 users at more than 1,600 facilities, globally. The KipuCRM is a companion platform that manages the entire patient life cycle from the very first call through admission, integrating call center, referral, and marketing campaign management. To read the latest news on Kipu, please visit https://www.kipuhealth.com/kipu-news/ and connect with us on: Facebook | Twitter | LinkedIn.

Media Contact

Kipu
Sue Yap
Sue.Yap@kipuhealth.com


Powering Up PR – Expanding the Aperture When Building Your Brand

Growth Hacks – Moving the Metric

Everyone wants to know about a buzzy, new startup. But finding ways to sustain storytelling momentum and stand out in a crowded news environment has become more challenging than ever, especially for startups that are past their infancy but still growing and scaling. 

That was a challenge that TCV portfolio company OneTrust — the leading B2B privacy, security, and data governance platform — had to navigate during 2020. By expanding the aperture of what a traditional PR campaign might look like, OneTrust was able to continue breaking news even in a remote-work world in late 2020. 

On this episode of Growth Hacks, Kunal and Katja sit down with Gabrielle Ferree, the head of public relations at OneTrust, to discuss how to expand the aperture of PR campaigns, aligning with internal and external stakeholders, and navigating the tech press in 2021. 

Key Takeaways

  • Expand the aperture when thinking about your audience. 
    Major media outlets and legacy newspapers may be where your CEO’s mind goes when they think about press coverage, but it’s important to consider where your audience is when telling your company’s story. Since a brand’s audience may be more active on a specific social channel, or read trade publications at a greater frequency, it’s important to ask yourself where your people are, and build programs around that. 
  • Align PR goals to marketing goals to win C-suite trust. Even if PR and marketing are on different teams, Gabrielle makes sure to align OneTrust’s campaigns with the goals the company’s marketing team is tackling that quarter. Since marketing reports into the CEO, by aligning PR efforts to marketing outcomes, PR teams can show even more intrinsic value than just brand sentiment. 
  • Partner with internal stakeholders to strengthen milestone campaigns. Whether you’re celebrating an annual anniversary, or hitting a major growth milestone, it can be tempting to focus on the press release to ensure that an external audience knows about the milestone. But don’t miss the opportunity to partner with stakeholders across divisions to maximize the milestone message reach. When OneTrust turned five last year, Gabrielle worked with a number of internal teams to turn the milestone into a modified logo that was then used on all OneTrust documentation, marketing collateral, and swag sent to employees, partners, and customers — all already advocates of OneTrust who shared in their success. 
  • Working with the media in 2021. The vast majority of press release never get passed the delete key. With less time and more pitches than ever, short, jargon-free pitches are crucial. Make it explicitly clear why this story is a fit for these readers and why it matters now, say Gagen and Gabrielle. By staying aligned with the C-suite, it’s easy to continue to uncover the sorts of stories that help reporters look around the corner, even years into a company’s narrative.

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The views and opinions expressed are those of the authors and do not necessarily reflect those of TCMI, Inc. or its affiliates (“TCV”). TCV has not verified the accuracy of any statements by the speakers and disclaims any responsibility therefor. This interview and blog post are not an offer to sell or the solicitation of an offer to purchase an interest in any private fund managed or sponsored by TCV or any of the securities of any company discussed. The TCV portfolio companies identified, if any, are not necessarily representative of all TCV investments, and no assumption should be made that the investments identified were or will be profitable. For a complete list of TCV investments, please visit www.tcv.com/all-companies/. For additional important disclaimers regarding this interview and blog post, please see “Informational Purposes Only” in the Terms of Use for TCV’s website, available at http://www.tcv.com/terms-of-use/.


Instant Global Identity Verification: How Trulioo’s Technology and Data Marketplace is Transforming Digital Customer Onboarding

Digital innovation has transformed how consumers and businesses access a range of online services – from streaming media, booking travel, setting up bank accounts, or financing a car. As more and more high-value services are performed through digital channels, it is increasingly important for businesses to know who is using their platforms. Many fintech applications need identity verification to comply with ‘Know Your Customer’ (KYC) regulations, while online marketplaces need it to maintain trust and safety on their platforms. These requirements have created a huge market opportunity for identity verification technology – a market TCV has been tracking for several years, looking for the right opportunity.

We found such an opportunity and are thrilled to announce our investment in Trulioo, the market leader in global consumer and business identity verification technology. Through its network of 450+ data partners, Trulioo can verify identities across over 5 billion individuals and 330 million businesses in more than 195 countries and territories. That’s the broadest reach of any vendor in its industry – and it’s all delivered via a single API.

For Trulioo’s customers, the opportunity is to maximize the number of clients they onboard globally via a frictionless experience, while seeking to ensure regulatory compliance and preventing fraud. We believe, this compelling value proposition has created significant momentum in Trulioo’s business – revenue has more than doubled over the past year, and growth is accelerating.

And while Trulioo has built a market-leading identity technology business, its ambition is to become the first global end-to-end identity verification platform by introducing AI/ML functionality and additional software applications. We are confident that our investment and partnership will help Trulioo accelerate its growth and achieve its platform vision even sooner.

Identity Verification Data with a Difference

Trulioo commands a leading position in its field, providing an API-driven marketplace of rich identity data. This is triangulated across multiple sources, normalized, and then delivered to customers via a single, modern API. Customers embed Trulioo’s API into their onboarding and compliance platforms to perform KYC/KYB (Know Your Business) verifications. The API and data-centric approach renders accurate identity verification quickly and enables a frictionless customer onboarding experience.

Trulioo’s identity data marketplace is built from a rich network of relationships with over 450 country-specific data providers that the company has developed over more than a decade. This adds up to a compelling value proposition for companies with global growth ambitions and has established Trulioo as the market standard for international identity verification. As Trulioo grows its customers and data sources, it creates a virtuous cycle that makes its value proposition more attractive to both sides of the marketplace. Finally, Trulioo has built a rich set of value-added features, rendering it well positioned to become an end-to-end identity technology platform.

This powerful data-driven proposition quickly drew our attention, and the people who are working to build Trulioo into a franchise technology leader are just as impressive. Founded in Vancouver, Canada a decade ago, the business is led by Steve Munford, a veteran software industry CEO, who TCV has known for more than a decade. Previously, Steve has scaled multiple highly successful companies including Carbonite, Absolute Software, and Sophos.

Steve joined Trulioo in 2020 and is surrounded by a world-class team including COO Zac Cohen (formerly Strategy & Operations at Global Relay), CTO Hal Lonas (former CTO of TCV-backed Webroot); CFO Leigh Ramsden (formerly CFO at Absolute Software); CRO Matt Schatz (former SVP of Sales at WP Engine); along with 240+ talented team members. That’s quite a line-up, and we’re delighted to work with everyone there to help Trulioo execute its growth strategy.

Glowing References from all Angles

Our conversations with Trulioo have been exciting from day one. It was immediately obvious that we share a belief in the vast market potential for identity verification, in addition to our conviction that the winning technology will increasingly need to be global, creating a unique opportunity for Trulioo to be the end-to-end platform of choice.

We first met Trulioo’s team in 2015 and heard rave reviews about the product from customers within TCV’s portfolio. When Steve joined Trulioo in 2020, we increased our dialogue with the team – holding multiple meetings where we discussed the company’s growth strategy and Steve’s vision for the business.

On top of our portfolio references, we conducted calls with many of Trulioo’s customers, partners, and identity market observers. The market feedback was effusive about the company’s value proposition, with customers seeing its product as clearly differentiated from other vendors thanks to its 360-degree data-driven approach.

A Shared Belief in the Global Identity Verification Opportunity

TCV has already invested extensively in the companies and industries that Trulioo serves which has fueled our excitement and conviction in the company’s value proposition. We believe that fintech companies – including payments and remittance companies, challenger banks, and trading platforms – will continue to grow globally. It’s why we’ve backed leaders – including Payoneer, WorldRemit, Nubank, Revolut and Wealthsimple – that are embarking on global growth agendas.

Given the importance of API-driven identity verification for digital KYC and other related applications, we believe Trulioo will be a valuable partner as fintech vendors grow. And, as many companies across verticals embed fintech capabilities into their products, we think Trulioo’s offering will resonate with an even broader market.

We’ve also seen firsthand how critical it is to maintain trust and safety for online marketplaces, through having Airbnb, Nerdy, and Rover in our portfolio. Similarly, we’ve witnessed many other industries, including e-commerce and gaming, investing increasingly in identity verification technologies, using trusted third-party sources, as they pursue global growth agendas.

Drawing on experiences from our portfolio companies, we also have high conviction in the rising importance of governance, risk, and compliance (GRC) technology, and have backed leaders including AxiomSL, OneTrust, ETQ, and Watermark in this space. As a critical aspect of their GRC strategies, we think identity verification – and Trulioo in particular – will grow in importance as global digital onboarding continues to expand.

A Powerful Partnership to Build on

We’re delighted at this meeting of minds and ambitions in a vast, emerging industry with powerful tailwinds. Trulioo is addressing a huge problem that applies to many of the most innovative, fastest growing verticals, and we are excited to help them seek to revolutionize their industry.

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The views and opinions expressed are those of the author and do not necessarily reflect those of TCMI, Inc. or its affiliates (“TCV”). TCV has not verified the accuracy of any of the data or statements by the author and disclaims any responsibility therefor. This blog post is not an offer to sell or the solicitation of an offer to purchase an interest in any private fund managed or sponsored by TCV or any of the securities of any company discussed. The TCV portfolio companies identified above are not necessarily representative of all TCV investments, and no assumption should be made that the investments identified were or will be profitable. For a complete list of TCV investments, please visit www.tcv.com/all-companies/. For additional important disclaimers regarding this interview and blog post, please see “Informational Purposes Only” in the Terms of Use for TCV’s website, available at http://www.tcv.com/terms-of-use/.


Kipu Announces Strategic Investment from TCV – Appoints Paul Joiner as CEO and Rick Pharr as COO

CORAL GABLES, Fla., June 14, 2021 /PRNewswire/ — Kipu, maker of the widely-used KipuEMR, an electronic medical records (EMR) system specifically designed for substance use disorder (SUD) and behavioral health treatment organizations, today announced the appointment of two senior leaders and a strategic investment from growth equity firm TCV. As Kipu embarks on its next chapter of growth, the company has hired Paul Joiner as its new CEO, and Rick Pharr as its new COO. Paul and Rick bring deep industry expertise, including scaling multiple healthcare technology companies to several hundred million in revenue.

Kipu’s EMR and other software and value-added solutions are utilized daily by leading operators in the substance use disorder treatment and behavioral health industry. According to a March 2021 study published in JAMA, hospital costs in the U.S. for treating substance use disorder (SUD) and related health conditions total more than $13 billion annually. The total cost of treatment for all behavioral health disorders accounts for roughly 5% of total healthcare spending in the US, representing over $200 billion per year.

“Kipu is the category leader with tremendous momentum,” says TCV General Partner Nari Ansari and a member of the Kipu board of directors. “The company’s suite of software applications intelligently leverages data in all phases of patient care, enabling behavioral healthcare providers to improve patient outcomes and drive operational efficiencies. Kipu gives caregivers on the front lines the capabilities they urgently need to care for patients, while also helping their organizations succeed. We look forward to supporting the Kipu team as they help a growing number of client partners manage the entire patient life cycle.”

Paul Joiner is an accomplished leader in the healthcare industry who will join Kipu later this month. He comes to Kipu from Availity, a healthcare information technology network serving many of the largest and most respected provider and payer organizations in the US. As Availity’s COO, Paul was a major force for growth and innovation, nearly doubling the company’s revenue during his tenure. Paul served previously as VP of Corporate Development & Payer Solutions at Passport Health Communications, which was acquired by Experian in 2013.

“The behavioral health industry is the latest sector in healthcare to benefit from digital technology,” says Paul Joiner. “I am excited to join Kipu and support their mission to deliver end-to-end technology solutions that enable providers and patients to communicate effectively and deliver the best care and outcomes. With TCV’s backing, and building upon Kipu’s market-leadership position, we plan to invest heavily to accelerate Kipu’s technology platform innovation and continue to develop fully integrated software applications to drive relentless, market-leading innovation and world-class performance for our customers and their patients.”

Rick Pharr joins Kipu as COO after a successful tenure at WebPT, a provider of EMR and business management applications for the physical and other therapy markets. During his time as SVP of Operations, WebPT scaled to serve a client base of more than 20,000 clinics. Rick also led WebPT in providing exceptional customer experience, as evidenced by the company’s industry-leading net promoter score (NPS).

“Kipu has achieved significant momentum by helping customers deliver the best outcomes in the behavioral health field in recent years,” says Rick Pharr. “Having spent my career building businesses that focus on customer outcomes, I look forward to serving Kipu’s customers as they put the recovery of their patients above anything else. I’m eager to help the Kipu team take first-in-class customer experiences to the next level to become the gold-standard in the industry.”

TripleTree acted as advisor to TCV in connection with its investment.

About Kipu
Kipu is the leading enterprise software provider serving the substance use, mental health, and eating disorder communities with its cloud-based technology platform. The KipuEMR, a fully configurable electronic health record and integrated billing platform designed for — and within — the behavioral health industry, is the largest and most widely implemented EMR purpose-built for the addiction treatment industry. Kipu’s platform is used daily by more than 80,000 users at more than 1,900 facilities, globally. The KipuCRM is a companion platform that manages the entire patient life cycle from the very first call through admission, integrating call center, referral, and marketing campaign management. To read the latest news on Kipu, please visit https://www.kipu.health/kipu-news/ and connect with us on: Facebook | Twitter | LinkedIn.

About TCV
Founded in 1995, TCV was established with a clear vision: to capture opportunities in the technology market through a specialized and consistent focus on investing in high-growth companies. Since inception, the firm has built a track record of successfully backing public and private businesses that have developed into innovative industry leaders across the internet and software sectors.

TCV has invested over $15 billion to date and has helped guide CEOs through more than 130 IPOs and strategic acquisitions. TCV has invested in cutting edge technology companies including Airbnb, Avalara, AxiomSL, Brex, ExactTarget, Facebook, Netflix, Peloton, Spotify, Zillow, Clio, Klarna, Payoneer, Revolut, Toast, Trade Republic, Wealthsimple and WorldRemit. TCV has successfully executed over 350 investments of varying structures, including mid-stage, late-stage, and public company investments, and has offices in Menlo Park, New York, and London. For more information about TCV, including a complete list of TCV investments, visit https://www.tcv.com/.

Media Contacts
Kipu
Sue Yap
Sue.Yap@kipu.health 
561-708-6798 

TCV
Katja Gagen
kgagen@tcv.com 
415-690-6689

SOURCE KipuHealth


FarEye Helps Enterprises Delight Their Consumers at Every Step of the Journey

By Gopi Vaddi, General Partner at TCV

After perusing slick digital shopfronts for hours, checking AI-enabled online catalogs, and paying through seamless single-click checkouts, you may eventually be rewarded with ‘your delivery should arrive in 5-10 working days’ and left to pray that the shiny new gizmo you ordered will arrive in one piece. Sound familiar? For all the innovation and investment across most steps of the online purchasing journey, the actual delivery experience has been largely neglected. Yet, the surge in remote purchasing shows no signs of abating and consumers are demanding faster, better, and cheaper deliveries. This has placed the status quo under immense strain and the need for new solutions to help companies navigate this complexity today is greater than ever.

A New Frontier for Innovation in E-Commerce Enablement

E-commerce enablement has been a key investment theme for TCV, and we have made multiple investments across each step of the value chain. In early 2019, we invested in RELEX Solutions (Helsinki, Finland) which provides an AI-driven platform helping global retailers forecast demand and prepare their supply chain to execute against it. In 2020, we backed Spryker (Berlin, Germany) which helps enterprises build beautiful digital commerce platforms for B2B, B2C, and marketplaces. We also invested in Mollie (Amsterdam, Netherlands) which provides a seamless, easy-to-integrate online payments solution for merchants across Europe. Another recent investment is Trulioo (Vancouver, Canada) which provides seamless know-your-customer (KYC), and know-your-business (KYB) verification checks globally, enabling smooth onboarding of merchants and consumers onto online marketplaces and fintech platforms. Paradoxically, while the e-commerce experience may appear increasingly effortless for consumers, the underlying technology landscape has become increasingly sophisticated and complex.

Following our investments upstream in the ecommerce value chain, we cast our eye further down, identifying logistics as the natural next step. Within this untapped, vast market, last-mile delivery from a fulfilment center to a delivery endpoint like a consumer home has always been the most operationally complex and resource-intensive leg of the journey, absorbing nearly 50% of total logistics dollars spend, driven by inherent lack of economies of scale (disparate drop-off points) and its on-demand nature. Complexity has also compounded due to new delivery and fulfilment modes like micro-fulfilment centers, curb-side pick-up, etc. which strain already razor-thin margins for retailers and carriers alike. Even Amazon, the most sophisticated logistics machine in the world, has not been spared — as a percentage of retail-related sales, Amazon’s cost of fulfilment/shipping grew from ~16% to 32% between 2010-19. On the end-consumer front, delivery experiences have become a critical driver of satisfaction and repeat purchases, with delivery constituting the only physical touchpoint for online brands with their customers. In fact, 55% of US consumers have bought goods from one retailer over another because they provided more delivery options[1]. Throw all of the above in the mix and you have a market that is ripe for disruption. Enter FarEye – a next-generation intelligent software platform that helps enterprises to orchestrate all of their delivery logistics requirements.

We were thrilled to recently announce our investment in FarEye. Founded in India in 2009 by Kushal Nahata (CEO), Gautam Kumar (COO), and Gaurav Srivastava (CTO), the trio started their journey as logistics consultants, before settling on their strategy of building a software platform that would help companies navigate the immense complexities of managing last-mile deliveries. Having spent several years developing the product in India and South-East Asia, where delivery logistics challenges are even more pronounced than in Western economies, FarEye relocated headquarters to Chicago and moved towards global expansion, addressing the vast demand across Europe and the U.S.

Compelling ROI and an Enormous Market Opportunity

We first came to know FarEye through its superlative customer feedback and enormous ROI generated for customers – 22% improvement in first-attempt deliveries, two times improvement in courier satisfaction, and 24% increase in on-time deliveries all while providing complete visibility across the entire logistics operations. Spurred by these reviews, we got in touch with Kushal and were blown away by the depth of the platform as well as Kushal’s strategic and product vision.

The FarEye platform provides an incredible range of end-to-end functionality today — all deployed on fully multi-tenant, cloud-native infrastructure — that benefits retailers, carriers, manufacturers, and end consumers alike. Shippers and carriers benefit from automated order allocation and dispatching, real-time dynamic routing, loop optimization and electronic proof of delivery; their customers get slot-based & flexible delivery scheduling, automated alerts and notifications, the ability to real-time track their deliveries, and 24/7 chatbot-based customer support. FarEye also empowers enterprises with the latest advances in real-time tracking and tracing, ETA prediction based on real-time constraints such as traffic bottlenecks, and control-tower visibility of enterprise delivery activity.

At the heart of the FarEye platform is a low-code BPM engine that allows users to rapidly build delivery workflows that can be customized to meet the demands of a particular industry and customer. Customers today span hot-food delivery, pharmaceutical, packaged goods, housewares, industrial equipment, and more. FarEye even counts some of the largest global carriers among its clients. FarEye Delight has helped the company to quickly expand its existing customer base which increasingly rolls out the platform across new geographies and business units while growing its functionality with net retention that is best-in-class.

As e-commerce and broader home-delivery become the new normal, retailers across the world are racing to adapt, while those that do not face the risk of quickly falling behind. For TCV, FarEye is an excellent fit with our overarching strategy of investing early in what we believe to be the franchise technology companies of the future – no matter where they are founded. FarEye joins Cognite, Trulioo, Redis Labs, Revolut, Relex, Nubank, Klarna, Mambu, Mollie, Spryker, and Dream Sports among recent investments made outside the U.S. Based on our experience investing in many other global leaders that were once young growth-stage companies, we believe FarEye has the technology, talent, expertise, and strong track record to become a truly generational software business of the future.

***

The views and opinions expressed are those of the author and do not necessarily reflect those of TCMI, Inc. or its affiliates (“TCV”). TCV has not verified the accuracy of any of the data or statements by the author and disclaims any responsibility therefor. This blog post is not an offer to sell or the solicitation of an offer to purchase an interest in any private fund managed or sponsored by TCV or any of the securities of any company discussed. The TCV portfolio companies identified above are not necessarily representative of all TCV investments, and no assumption should be made that the investments identified were or will be profitable. For a complete list of TCV investments, please visit www.tcv.com/all-companies/. For additional important disclaimers regarding this interview and blog post, please see “Informational Purposes Only” in the Terms of Use for TCV’s website, available at http://www.tcv.com/terms-of-use/.


[1] MetaPack Global eCommerce Consumer Report, 2020


Trulioo Closes USD $394M Series D led by TCV at $1.75B Valuation

VANCOUVER, BRITISH COLUMBIA (PRWEB) JUNE 07, 2021

Trulioo, the leader in global identity verification, announced today it has completed a $394M Series D round at a $1.75B valuation. The Series D round was led by TCV, one of the world’s largest growth equity firms, with participation from existing investors Amex Ventures, Citi Ventures, Blumberg Capital and Mouro Capital. TCV General Partner, Jake Reynolds, and Principal Amol Helekar will join Trulioo’s Board of Directors.

Trulioo is the premier global identity network enabling companies to reliably onboard customers in a digital-first world. For Trulioo’s customers, this speeds international expansion, mitigates fraud risk and ensures regulatory compliance. With digital transformation accelerating, the U.S. digital identity market alone is projected to increase to over $30B by 2023, according to industry consultants at One World Identity. This has led to skyrocketing demand for the services provided by digital identity verification companies. Leveraging its vast global reach and fast, accurate identity verification technology, Trulioo has demonstrated strong momentum and captured an increasing share of this market. Over the past year alone, Trulioo has expanded into new verticals, grown its leadership team and established a presence in Dublin, Austin and San Diego.

“The shift to online has brought digital identity to the forefront,” says Steve Munford, Trulioo President and CEO. “This new round of funding will enable us to accelerate our goal to become an end-to-end identity platform. Our vision is to break down fragmented data silos caused by disparate identity networks, and we will work in partnership with TCV to expand our investments in product innovation, build out artificial intelligence/machine learning capabilities and accelerate our global go-to-market strategy.”

“We’re thrilled to lead Trulioo’s landmark investment to help further their goal of building an end-to-end identity platform,” says Reynolds.

Adds Amol Helekar, “Many of the world’s fastest-growing fintechs, financial services companies, online marketplaces, and ecommerce leaders already rely on Trulioo. They demonstrate the way forward for the huge number of businesses whose digital strategies increasingly depend on accurate, fast and global identity verification.”

TCV backs companies at the forefront of digital transformation across industries and it has a deep understanding of the identity verification space. Its extensive investment portfolio includes technology franchises such as Airbnb, AxiomSL, Brex, ByteDance, Clio, Facebook, Klarna, Netflix, Nubank, OneTrust, Payoneer, Revolut, Spotify, Wealthsimple, WorldRemit, and Zillow.

About Trulioo
Trulioo is the leading global identity verification company, building trust online so that businesses and consumers can transact safely and securely. Trulioo’s platform provides real-time verification of 5 billion consumers and 330 million business entities worldwide — all through a single API integration. Organizations rely on Trulioo’s identity verification solution, GlobalGateway, to help meet their business and compliance requirements and automate due diligence and fraud prevention workflows. Trulioo’s mission is to help provide every person on the planet with a digital identity to enable access to basic financial services and support. For more information, visit trulioo.com.

About TCV
Founded in 1995, TCV was established with a clear vision: to capture opportunities in the technology market through a specialized and consistent focus on investing in high-growth companies. Since inception, the firm has built a track record of successfully backing private and public businesses that have developed into dominant industry players across internet, software, FinTech, and enterprise IT. TCV has invested over $14 billion to date and has helped guide CEOs through more than 125 IPOs and strategic acquisitions. TCV has successfully executed over 350 investments of varying structures, including mid-stage, late stage and public company investments, and has offices in Menlo Park, New York, and London. For more information about TCV, including a complete list of TCV investments, visit tcv.com.

Media Contacts

KIM HONG
Trulioo
1-888-773-0179
kim@trulioo.com

KATJA GAGEN
TCV
1-415-690-6689
kgagen@tcv.com