Spa software provider Zenoti scores US$15m in funding
by Jane Kitchen | 12 Aug 2016
Co-founder and vice president of marketing Saritha Katikaneni said the funding will also be used for 'more sales, more marketing, more reach,' hiring new talent, and product innovation
Co-founder and vice president of marketing Saritha Katikaneni said the funding will also be used for 'more sales, more marketing, more reach,' hiring new talent, and product innovation
Spa software specialist Zenoti has secured US$15m (€13m, £12m) in Series B funding from California-based growth equity investment firm Norwest Venture Partners, which it will use in part to expand into the fitness and yoga space.
Zenoti – which had previously raised US$6m (€5m, £4.6m) in Series A funding from Accel Partner – will also use the money to establish itself in the European market.
Headquartered in Seattle, US, Zenoti has officies in Sydney, Jakarata, Kuala Lumpur, Manil, Hyderabad and Dubai, but has not yet entered the European market.
Co-founder and vice president of marketing Saritha Katikaneni said the funding will also be used for “more sales, more marketing, more reach,” hiring new talent, and product innovation.
“Our vision was to create a system that our clients would love in terms of usability, but also one that solved challenges and which translated into real business results for our clients,” said Katikaneni. “For example, with so much growth and consolidation in our industry, our solution addresses the unique needs of a large, growing enterprise. Large brands appreciate the flexibility our solution provides them – they are able to run their business the way they want to.”
Zenoti works with brands including growing franchise groups like Massage Heights and Massage Green, and have recently expanded into the resort space, adding Taj Hotels, Crown Hotels and Alaya Hotels to the mix.
“Zenoti is filling a void for mid to large wellness chains by solving chronic challenges associated with rapid growth,” said Mohan Kumar, executive director of Norwest Venture Partners.
Zenoti will also be using the funding to target health clubs and gyms, as well as resort clients that have fitness and yoga classes.
“We’re ready to expand into this market,” said Katikaneni. “Our platform is already being used by yoga and fitness brands, but these are clients that either approached us or where referenced to us by existing clients. We’ll use the funds for sales and marketing to reach this market.”
Founded in 2010, Zenoti’s software platform was developed after co-founder Dheeraj Koneru – who holds a PhD from Cornell in particle physics and previously worked for Microsoft – experienced first-hand the difficulties in running a chain of spas in India. He built his own in-house software solution, which became the genesis of the cloud-based Zenoti system. The company now operates in 30 countries.
“Over the last few years, we were focused on building a strong foundation of technology and customer service excellence,” said Sudheer Koneru, CEO of Zenoti. “We’ve demonstrated this by transitioning leading, enterprise brands in multiple regions to Zenoti. This funding enables us to establish ourselves as a leader in the industry.”
Zenoti software spa funding
Spa software specialist Zenoti has secured US$15m (€13m, £12m) in Series B funding from California-based growth equity investment firm Norwest Venture Partners, which it will use in part to expand into the fitness and yoga space. Zenoti – which had previously raised US$6m (€5m, £4.6m) in Series A funding from Accel Partner – will also use the money to establish itself in the European market. Headquartered in Seattle, US, Zenoti
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