Why We Raised a $30M Series B Round

May 24, 2017

Today is a big day for G2 Crowd: We announced the closing of a $30 million series B investment round led by Accel (same great team that invested in Slack, Dropbox, Facebook and others) with participation from G2 Crowd's founders, LinkedIn and Pritzker Group Venture Capital.

Clear Leadership in B2B reviews

When we started G2 Crowd, we recognized that buyers of B2B products wanted a better way to evaluate tools. We'd all grown accustomed to reading reviews on TripAdvisor or Amazon before we booked a hotel or bought a new TV, but when it came to the technology we use to run our businesses, there was no comparable resource.

In our previous experiences as software innovators, building leaders such as BigMachines (now part of Oracle) and Steelbrick (now part of Salesforce), we felt first-hand the limitations of the legacy analyst model. We knew our industry longed for a more democratized approach that tapped into the wisdom of the crowd.

Thus we began building G2 Crowd five years ago with these objectives in mind to build the go-to resource for authentic, actionable, insights on B2B software and related services. Today, nearly a million buyers trust us to help them make decisions each month, and more than 800 brands work with us to showcase their customer success. We have already gathered more than 170,000 validated reviews across 25,000 products and have staked out a clear leadership position in B2B reviews.

Over the past year we have been growing faster than ever, primarily using our own cash flow, and we were not actively seeking additional funding. However, when approached by Accel, we were convinced this was an opportunity we could not pass up to accelerate our vision of bringing transparency to B2B buying.

Why does transparency in B2B buying matter?

  1. Businesses make better decisions, faster: Insight from peers working in similar situations enable businesses to be paired with the best products and services to solve their problems.
  2. Trust is established quickly between a buyer and seller: When reviews are featured publicly on a trusted third-party platform, the sales process moves faster.
  3. Vendors are held accountable: When real user insights are publicly available, vendors focus on building great products that solve problems and taking great care of their customers.
  4. The market innovates faster: Providers of products and services can use real-time customer and competitor feedback to learn the market's needs quickly.

More innovation to come

With this funding, we can step up our efforts to make the experience of finding the right software and services even more seamless for professionals everywhere. Our plans include ramping up our review collection to ensure that we provide coverage for as many B2B products as possible in this ever-expanding market, and diving deeper into our existing data to expose more insights to buyers.

In the spirit of transparency, we encourage you to read our own reviews to learn more about how people are using G2 Crowd. There’s still a lot of work to be done, but we couldn't be more excited about the future.

To our reviewers, thank you for driving our community. To the vendors who utilize G2 Crowd and to our partners, thank you for working with us and promoting the role of reviews in the buying process. And to the buyers who use G2 Crowd, thank you for believing in the power of transparency. You are all the Crowd!

- Tim