Crunchbase Grows Prospecting Platform Thanks to $50M Investment
Prospecting data platform Crunchbase announced Wednesday it secured $50 million in a Series D funding round. The oversubscribed round led by Alignment Growth will allow the company to accelerate product innovation and deepen relationships with dealmakers using its platform.
Crunchbase may be best known for its funding data, but according to CEO Jager McConnell, that’s just a small part of what the software platform is capable of. With Crunchbase, prospectors in sales, recruiting, business development and finance can easily identify and connect with qualified accounts. It gives prospectors the ability to take a targeted approach to prospecting instead of spamming contact lists and hoping for the best. Likewise, Crunchbase helps companies looking to be discovered create awareness around their brand and successes.
“One of the things that differentiates our software is that it guides prospectors to use an account-based approach to deal-making,” McConnell told Built In in an email. “It’s a much more effective way to connect with leads than simply exporting and mass emailing unfiltered contact lists. And, as difficult economic conditions impact more companies, knowing whether a target account is on the upswing or not gives prospectors the power to focus outreach on the most relevant decision-makers who are in a position to buy.”
This Series D round comes after a record period of growth for Crunchbase. Last year, the company launched a suite of all-new SaaS products which drove a 5x increase in year-over-year recurring revenue during the first quarter of 2022, according to Crunchbase. The company also expects its total software ARR to double within the year.
Capitalizing on that growth with the help of new funding, the company says its on its way to profitability.
Crunchbase’s New Product Capabilities
- Account Discovery
- Account Qualification
- Account Tracking
- Prospect Engagement
According to McConnell, Crunchbase’s users are getting a lot out of the platform’s new features. UserTesting reported it was able to leverage Crunchbase data to fill its pipeline with over 2,000 new accounts. Likewise, DialPad achieved a 50 percent open rate on prospecting emails, which it accredits to Crunchbase, and Chat Metrics reported a 400 percent increase in meetings booked thanks to Crunchbase’s contact data.
Crunchbase has big plans for the future. McConnell said he’s most excited to add new innovations like third-party integrations, machine learning-powered recommendations and sophisticated reporting to the platform.