VanillaSoft Closes $4M Funding Round

US sales engagement vendor VanillaSoft received a pair of investments from Quebecois agencies totaling $4 million.  A $1 million loan from Canada Economic Development (CED) for Quebec Regions was announced last month followed by a $3 million equity investment from the Fonds Régional de Solidarité Outaouais (FRSO).  The round supports their operations in Gatineau and will fund thirty new positions focused on artificial intelligence functionality.  Hiring will be expanded in the R&D and sales functions.  The loan will also be directed towards marketing campaigns in Europe and Oceania.

“Digital technology is changing the way things are done around the world and providing companies with outstanding development opportunities,” said Greg Fergus, Member of Parliament for Hull-Aylme.  “Not only is VanillaSoft helping the Outaouais region build a reputation as a leader in the field of artificial intelligence, but its expertise and the innovative technology it continues to export will allow it to create 30 jobs.”

“The financial support and incentives provided by the Government of Canada allow companies like VanillaSoft to thrive,” said Hood.  “We have the opportunity to develop new markets and services and appreciate the continued support from CED for our local employees as we promote sales and business here in Quebec and beyond.”

VanillaSoft was founded in New Orleans in 2003 but shifted its operations to its Canadian subsidiary following Hurricane Katrina. CEO David Hood recognized the early help from CED and FRSO to help stabilize the firm:

“Katrina hit and wiped out the office in the U.S., and it’s the office here that grew. This would have been a company that was completely in the U.S. Instead, the majority of the employees are up here, the revenues are up here, and it’s Canada that quite honestly is really benefiting from it.”

CEO David Hood

VanillaSoft is the third major sales engagement firm to receive a funding round in the past month. Outreach and SalesLoft both received significant rounds in April.

Key features include sales cadences, email templates, VOIP dialing, call scripting, call recording, SMS marketing, SMS chat, analytics, lead scoring, and appointment setting.

Recent enhancements include geographic functionality and Vidyard GoVideo integration. New Geographical Information System (GIS) capabilities include proximity routing, directional routing, geolocation filters, and automated time zone features.  The new GIS functionality helps field sales reps maximize their client and prospect routing.

VanillaSoft noted that, “with many sales reps clocking far in excess of 25,000 miles per year, the ability to group accounts by area and conduct efficient outreach is critical.”

Directional routing provides reps with optimized maps for visiting leads.  The feature is assisted by proximity routing which identifies leads by radius around a ZIP code or a point.  For example, a sales rep can identify leads within a fixed distance of a prospect.

Geolocation filters employ geocodes for customer mapping, helping sales operations group leads by city, neighborhood, and street for lead assignment.  VanillaSoft also looks at the rep’s calendar to call out nearby appointments which may warrant rescheduling to optimize field sales rep planning.

“You can work either with latitude and longitude, or with ZIP code. This gives companies a functionality that I’m not aware is available on any other sales engagement platform. For appointment setting, for companies that have salespeople out on the road, and also for understanding where your customers and prospects are and to be able to target them geographically, this is an incredibly powerful functionality,” said Hood.

The firm also announced that Vidyard’s GoVideo personal video messaging service will be integrated into VanillaSoft.

“Making a human connection between salespeople and their prospects is critical for sales success,” said Vidyard CEO Michael Litt. “We know video is a powerful tool for sales engagement and leaders in the space like VanillaSoft see the potential of this technology for their users.”