Lavender V3 in Beta

Lavender applies AI to assist sales reps with drafting emails and recommending best practices.

Sales AI Email Coach Lavender rolled its V3 release into beta. The full release, expected later this summer, sports faster writing times through improved personalization tools and insights, and an enhanced coaching system with segmented and custom dynamic models.

By design, Lavender doesn’t want to replace sales reps but make them more effective, a sharp contrast with many SalesTech vendors. Lavender’s AI helps sales orgs understand why emails work and uses this understanding to help reps quickly write effective emails.

“Everything that we do is steeped in this concept of enablement and trying to get the user to think. There’s nothing I hate more than the concept of AI taking thinking away from sellers, because that’s where their growth is going to happen. The friction that we introduce is always intentional.”

COO Will Allred to GZ Consulting

The objective is to educate the sales rep on best practices that raise response rates and move deals forward. Blackboxing these practices doesn’t educate the rep and it ignores the wisdom of the rep.

While Lavender speeds up the composition process (efficiency), its true benefit comes in improving message quality through personalization and email best practices (as determined by AI analysis of client email data). Simply pushing out more quasi-personalized emails provides limited lift.

“If you actually customize emails to a one-to-one message, we’re seeing companies not only getting 25% plus response rates to their cold emails, but they’re generating a majority of their pipeline via those emails,” said Allred. “For example, a Forbes ‘Cloud 100’ company is seeing about 1900% more pipeline delivered via these emails.”

Sales reps struggle to provide “thoughtful personalization” as they need to search across their email, CRM, Gong conversations, and Sales Intelligence solutions. Reviewing and synthesizing this content can be quite time consuming. Furthermore, email platforms lack analytics, so are a “giant black box” when it comes to determining which emails are effective.

Sales reps have access to personal and conversational context when drafting emails.

Sales reps can select which context sources to employ when drafting an email, with Lavender recommending potential icebreakers and then generating the message.

Lavender addresses the issue of analyzing personalized emails, which creates a “complete blind spot” for Sales Ops.  If each email is unique, RevOps can no longer perform A/B analysis of templates.

“In our dashboard, we’re helping managers understand exactly why reps are having success when it comes to email because it’s not an A/B comparison,” argued Allred. “There are hundreds of emails going out. They’ve all been personalized and customized. There are hundreds of variables that are at play here, and so we’re measuring all of them and pulling out what’s most important.”

Lavender’s email coach evaluates your message real time against your historical best practices to recommend changes (brevity, short sentences, non-spammy headers, questions) that raise response rates (2-3x on average) and continue deal progression.

Lavender’s email coach provides real time scoring. The AI detects reasons the email won’t get a reply and fixes them using a variety of LLMs.

Allred remarked that cold emails shouldn’t get all of the attention, arguing that the key to moving companies through various stages of the funnel is raising response rates.  Unfortunately, one of the reasons that email threads die is because sales reps stop asking questions. So, Lavender builds in personalization and encourages questions in responses.

“If you actually customize emails to a one-to-one message, not only are the emails getting 25% plus percent response rates, but the pipeline that you’re driving from that is almost 2,000% more per email.”

Lavender analyzes data across the inbox (Outlook, Gmail) and SEP (Salesloft, Gong Engage, Outreach, Groove, Apollo) to create custom scoring recommendations. It also marries CRM (Salesforce, HubSpot), Conversational Sales (Gong) and third-party data to assist with drafting personalized emails with high response rates.

Lavender ingests activity from enterprise software platforms, analyzes the emails, and recommends edits based on best practices.

The AI can examine the emails and determine which phrasing, formats, styles, and wording are effective and which are falling flat. Lavender is diving deeper into AI analytics, looking to discern which emails are effective and why.

“Our approach to this [problem] is to stitch together an understanding of what’s happening in both inboxes, pull that together into a single pane of understanding, and then feed that back to the rep in real-time to give them the coaching they need. We pull all of that information to the forefront for the user.”

It’s a pure understanding of why an email works from an activity standpoint just like the metadata that we capture today, to the persona analytics, to the writing style data that’s been at the heart of Lavender since the beginning. Not just the style but the content itself.”

Lavender CEO Will Allred

The new release will also introduce a set of open-sourced email frameworks that help sellers tune their logic based on the scenario.  For example, if a seller is trying to write an email to a prior closed lost opportunity, a framework would help the seller think through the message and subsequent follow-ups.

“We’re going to surface frameworks to help people think through better ways to write the message,” explained COO Will Allred to GZ Consulting.  “We want our users to become better writers and better sellers.  One of the things we found helpful in creating that was open-sourcing and bringing our frameworks to the surface so people could understand the logic behind what makes a great email.”

Lavender also added a ChatGPT style modal that allows the user flexibility to brainstorm, receive writing advice, or research via searching (or prompting) the web.

Lavender launched its service before the Cambrian Explosion of GenAI apps and subsequently built an “LLM stack” that includes its own models, Anthropic, OpenAI, Watson X, and more. This early mover advantage allowed it to build a solid customer base. According to the Chrome Store, Lavender has over 35,000 active users, a scale that exceeds its competitors.

“We have more daily active users than anyone in our space has downloads of their like products,” stated Allred.

Lavender Series A

Lavender Insights

Lavender, which markets an AI-powered sales email coaching platform, closed an $11 million Series A, raising its total funding to $13.2 million.  Norwest Venture Partners led the round with participation from Signia Venture Partners.  The funding follows strong growth in 2022, with revenue rising 865%.

Funds will be deployed towards expanding its team and introducing “new AI-powered features that help revenue teams not just understand why their messaging is falling flat but also provide actionable coaching to improve productivity and generate faster responses.”

“Lavender’s new investment helps it build out a generative AI solution at the intersection of email marketing, sales enablement, and news and information,” wrote Outsell Lead Analyst Randy Giusto.  “It shows where sales and marketing intelligence vendors must head next.”

Lavender integrates with a user’s email workflow, helping reps improve response rates.  It also delivers prospect company and contact intelligence.  Lavender scores emails and recommends steps to improve response rates.  It also “coaches sales reps on how to build meaningful relationships and close more deals.” 

Along with raising response rates, email composition time is significantly reduced.  Lavender claims that rep time writing an email drops from fifteen minutes to one while raising email response rates fourfold to twenty percent or more.

“Using Lavender is like giving every seller on the team a dedicated coach, making them more effective, more efficient, and more confident in their job,” stated CEO William Ballance.  “This funding quickly accelerates our ability to build the best email experience for sellers around the world.  Most importantly, we’re creating new jobs as our team of #EmailWizards rapidly expands.”

The Lavender Team Dashboard

Lavender recommendations are initially based on “millions of successful sales emails and your historical emails.”  However, it continues to adjust recommendations based on “what works best for you.”

Lavender evaluates the subject and body to improve open rates.  It will identify subjects that are too long, not in title case, or contain numbers and punctuation.  For the body, it looks at the length, layout, spelling, and grammar.  For example, long sentences and paragraphs are difficult to read on mobile devices, so they are discouraged.  According to Lavender, 80% of buyers are viewing emails on their phone, “so making emails easily scannable on a mobile device is imperative.”  A mobile preview window displays the email as it would appear on phones.

“We recommend things across multiple categories, including formatting, phrasing, tonality and emotional intelligence, mobile optimization, personalization, and more,” explained Lavender COO Will Allred to GZ Consulting.  “The data is always shifting though, and as trends shift in sales emails/what works well for that user and/or their team, Lavender’s scoring and recommendations dynamically adjust accordingly.”

Other Lavender features include a coaching dashboard, AI for Sales emails, and a personalization assistant.  The coaching dashboard provides individual and team email scores, open rates, reply rates, and writing time.  It helps managers determine which reps require additional coaching, what is working, and why it is working.

Lavender includes a “Start my Email” function that employs generative AI to “draft impactful outgoing email messages” based on seed bullet points from the rep or as email responses based on the email thread. 

The generative AI is OEM’d from OpenAI & Cohere.

The personalization assistant displays recipient context to assist with personalization.  For example, lavender surfaces social data, personality insights, news, events, job listings, funding announcements, and other intelligence within the composition workflow.  Lavender AI also recommends “personalized intros to tailor your email and make it relevant to the recipient.”

Lavender is integrated with Gmail, Outlook, Outreach, and Salesloft.  Lavender Anywhere, a Chrome extension, supports email composition for HubSpot, LinkedIn, Groove, Apollo, Engage, Outplay, and Mailchimp.  As Lavender Anywhere is not directly integrated with these platforms, users must cut and paste the resulting text into the communication window.  Lavender Anywhere is available with Pro and Teams licenses.

“Lavender is delivering exceptional value to our customers.  Their integration provides real-time email assistance to help Salesloft customers build and deepen their relationships with prospects through better emails,” said Salesloft VP of Global Alliances Devin Schiffman.  “We share in the mission of helping sellers be loved by the buyers they serve.”

Customers include Twilio, Sharebite, Sendoso, Segment, Lucidworks, and Clari.  Allred said Lavender sells into a “large range” of companies, “but our sweet spot tends to be mid-market tech or tech-enabled companies.”

“Lavender is marketed toward ‘sales emails’ – but many things are a sale,” continued Allred.  “Our users use Lavender for B2B sales, recruiting, customer success, marketing, and many more.”

While output is English only, features such as the email generator or summary tools can ingest foreign language input.  Thus, Lavender “works great for ESL (English second language) selling into English speaking markets,” said Allred.

“Lavender’s platform goes beyond basic AI-generated writing to augment—rather than automate—sales outreach and humanize every interaction.  It supercharges sales reps by reducing their time spent writing emails so that they can focus on building relationships and selling products,” said Scott Beechuk, partner at Norwest Venture Partners.  “We were blown away by the ‘customer love’ for Lavender’s product, which is a testament to the founding team’s deep understanding of their end user and the tight-knit community of sales leaders it has already built.  We’re excited to partner with this team on the journey ahead.”

The firm has benefited from the recent interest in generative AI and ChatGPT.  “We were using GPT-3 long before ChatGPT was a thing, but ChatGPT has definitely increased interest in Generative AI more broadly.  Users have created UGC (user-generated content) of them using Lavender to edit ChatGPT–generated emails,” explained Allred.  “But before ChatGPT was released, thousands of users were already getting the benefit of it within Lavender.”

“We view the process of emailing as four parts: research, creation, editing, and learning,” continued Allred.  Lavender assists in all four.  Generative models can assist along the way to streamline things for our users.”

Lavender employs a freemium pricing model.

Lavender is sold on a freemium basis.  Free users receive email analysis and personalization for five emails per month. 

Reps can license an Individual Pro license for $29 per month that provides unlimited emails and recommendations.  In addition, the Pro service includes Lavender Anywhere, multi-inbox support, analytics, and Gmail and Outlook 365 integrations.

For $49 per user per month, companies can license a Team edition that includes Team AI coaching, Team Insights, a Manager’s Dashboard, and SEP integrations for Salesloft or Outreach. Lavender offers a seven-day free trial and free premium licenses for job seekers, students, and bootstrapped entrepreneurs.