Why We Invested · B Capital
Investment thesis
Expanding into employee-facing software for internal digital adoption will effectively double Pendo's addressable market.
Just as product adoption drives value for customer-facing applications, accelerating the adoption of internal software is key to achieving ROI as well. We believe this will effectively double the company’s addressable market.
Why the firm invested
B Capital invested in Pendo because it fits their strategy of partnering with enterprise software market leaders that drive real customer value.
At B Capital, we look to partner with and invest in industry leaders that drive real value for their customers. Pendo fits that profile perfectly.
Product
Pendo provides an all-in-one platform combining product usage analytics with user guidance, communication, feedback, and planning tools for product and customer success teams.
Pendo has been recognized as the all-in-one solution for product teams and customer success/support teams by combining product usage analytics with user guidance, communication, feedback, and planning tools.
Traction
Pendo surpassed $100 million in annual recurring revenue with over 2,000 enterprise customers across multiple industries.
This has allowed the company to scale rapidly and surpass $100M in annual recurring revenue with top tier performance metrics and over 2000 enterprise customers across multiple industries.
Pendo is a top-ranked product on G2 for both Product Analytics and Digital Adoption.
It is a top ranked product for both Product Analytics and Digital Adoption on G2.
Pendo has established an international presence in six countries, including Japan, the UK, and Israel.
Pendo already has a robust international presence in six countries including Japan, UK, and Israel.
Team
Pendo CEO Todd Olson is a serial entrepreneur with previous exits and senior product operating experience.
Todd is a successful serial entrepreneur with deep technical and product expertise. He has founded companies such as Cerebellum Software and 6th Sense Software (acquired by Rally Software) and has first-hand product operating experience by being in senior product roles himself.
Business model
Pendo's business model directly scales with the overall growth and proliferation of software.
Importantly, Pendo’s business model is directly indexed to growth in software — as software continues to proliferate, so does Pendo.
What founders can learn
- What actually moved the decision: B Capital wrote that B Capital invested in Pendo because it fits their strategy of partnering with enterprise software market leaders that drive real customer value.
- The traction evidence that carried weight: B Capital wrote that Pendo surpassed $100 million in annual recurring revenue with over 2,000 enterprise customers across multiple industries.
- How the team was judged: B Capital wrote that Pendo CEO Todd Olson is a serial entrepreneur with previous exits and senior product operating experience.
- How the model was assessed: B Capital wrote that Pendo's business model directly scales with the overall growth and proliferation of software.
Source and provenance
Why We Invested published by B Capital on b.capital (first-party source). Read the original
