Berlin-based startup zenloop, a customer experience management platform, has raised €5.3 million round led by pan-European VC Nauta Capital with participation from Piton Capital. The investment will be used for international expansion, with a focus on Europe in 2019, as well as doubling zenloop’s team size within the year.
Zenloop’s customer experience SaaS solution enables businesses to collect, analyse and respond to customer feedback in real-time. Integrating the global industry standard Net Promoter System (NPS) framework with an ‘all-in-one’ platform powered by machine learning technology, zenloop tackles the root causes of customer churn by collecting feedback from customers across every touchpoint during their entire journey, and deriving optimal personalised retention actions.
Zenloop was founded in 2016 by Lukasz Lazewski, Björn Kolbmüller and Paul Schwarzenholz, all three experienced entrepreneurs, the latter two having previously founded and sold Flaconi – Germany’s second-largest online beauty store – to ProSiebenSat.1 Media SE in 2017. It was during this first venture that the founders of zenloop realised the detrimental retention issues faced by companies – both large and small. According to statistics, over €146 billion in revenues are lost each year in the global e-commerce industry alone, as such the global market for retention software is estimated to be worth €90 billion.
“While we were founders of a B2C company, we wanted to understand how happy every single customer was during their journey,” said Björn Kolbmüller, Co-founder of zenloop. “As a result, we received thousands of comments every day which we analysed in detail and with high effort using excel. We’d then leverage their feedback in order to get back to the customer with the right action. We found this strategy reduced churn significantly and led to more recommendations from our customers. This is what zenloop is about, and does effortlessly so in a fully automated way. By deploying the latest technology – including artificial intelligence – customers are given the best experience.”
Currently serving clients across multiple verticals from e-commerce, consumer brands, travel to omnichannel retail, over 2.000 surveys and 7 million responses have been processed in the platform since it launched.
“Our primary goal is to grow within the European market by leveraging our leading position with Germany-based companies,” added zenloop co-founder, Paul Schwarzenholz. “Therefore, the round will not only allow us to expand our marketing and sales efforts and expanding our team but also strengthen our IP in machine learning capabilities to drive insights and actions for our customers. We also plan to expand across Europe and tackle the customer experience market beyond the DACH region. We’re thrilled to have Nauta, Piton and our industry expert Angels supporting us with their expertise and network.”