Sprinklr is a New York City-based social media management platform. In 2017, less than ten years after its launch, it was reported Sprinklr was worth $1.8 billion. Today, Ignitia takes a closer look at how this New York City-based startup reached unicorn status.
No Easy Decision
In 2008, when Sprinklr founder Ragy Thomas told his wife they were going to found another company, she broke down in tears. The couple had already been through the ringer of creating a startup once and had come out unscathed on the other side. That company, Bigfoot Interactive was an email-marketing firm Thomas had helped build from the ground-up and guided to a $120 million exit in 2005. Things were finally good for the family and they were finally financially sound. But Thomas knew a good idea when he had one and he knew he’d regret it if he passed this one up.
The Idea for Sprinklr
The idea was in the emerging field of social media marketing. In 2008, Thomas had the foresight to recognize social media marketing would be the next big thing. So, in order to get his project off the ground, Thomas had to self-fund. That funding went toward building a new class of enterprise software aimed at improving customer experience and building the most complete social media management system for the enterprise. In layman’s terms, Sprinklr helps big companies handle their social media accounts, and helps them improve their marketing, advertising, research, sales, and commerce across Facebook, Twitter, LinkedIn, and 21 other channels.
A Rousing Success
To date, Sprinklr’s efforts have been incredibly well received. According to the company website, Sprinklr is currently used by over half of the Fortune 50 companies, and has more than 1,000 clients worldwide including Nike, Microsoft and McDonald’s. The company itself has expanded dramatically as well and now employees over 1,100 workers in ten countries. But this says nothing about the company’s financials.
An Acquisition Machine
Since founding, the company has made 10 acquisitions. Two of the more noteworthy acquisition both came in 2014 when Sprinklr acquired Dachis Group and TBG Digital Marketing. As part of the Dachis acquisition, Sprinklr was able to retain the expertise of Jeffrey Dachis, the co-founder of Razorfish, which had become the world’s largest digital agency. The TBG acquisition was noteworthy for the role TBG played as a pioneer in the social advertising space.
Massive Funding and Unicorn Status
Along with acquisitions, Sprinklr has been very good at raising capital. To date, Sprinklr has raised over $228.5 million after seven rounds of funding. Its most recent round of disclosed funding was a $105 million Series F led by Tamasek Holdings. The company is also said to currently generate $54.8 million in annual revenue. For all of it’s efforts, Sprinklr is said to have a valuation of $1.8 billion, placing it among the true unicorns of New York City-based startups.