Pigment simply closed an thrilling $88M Collection C (TechCrunch protection right here). The corporate is quickly rising as the worldwide chief within the subsequent technology of enterprise planning platforms (aka Anaplan alternative), a testomony to the facility of a world-class workforce delivering nice execution constantly over years.
Whereas we at FirstMark are definitely excited to have been part of the journey as buyers because the seed spherical, this spherical can be noteworthy by way of what it might (or might not) sign concerning the broader market. A number of ideas:
Development market: The final 18 months have been extremely sluggish within the progress market. But this progress spherical at Pigment was utterly preemptive, and extremely aggressive, involving various prime corporations. What does it imply for the expansion market? Possibly it’s an instance of continued flight to high quality throughout a downmarket section – buyers searching for A+ corporations. However perhaps it’s additionally an indication of the expansion market coming again to life, progressively. I definitely get an impression, speaking to my progress associates, that everybody is antsy to do extra offers after largely sitting on their arms for the final 18 months, and the market has recalibrated considerably to extra cheap ranges. The apparent caveat is that one shouldn’t derive sample from a small n, however anectodally, one other portfolio firm of mine may even announce a progress spherical quickly.
Not AI: The one a part of the enterprise market that has been lively, in fact, has been Generative AI. Apparently, whereas it shortly rolled out some nice AI options as a part of its platform, and whereas it has spectacular knowledge infrastructure on the core of it, Pigment will not be an AI firm. As a subsequent technology enterprise planning software program platform, it affords a mission important product, going after a really massive market alternative. Maybe that is an attention-grabbing instance for various corporations on the market, that they don’t have to essentially reposition themselves as AI-native corporations with the intention to get curiosity from buyers.
International firm, with European HQ: It’s nonetheless generally counter intuitive to some within the US that nice, startups will be in-built different geographies and go on to be globally dominant. Sure, the considering goes, there’s been a technology or two of European and Israeli corporations that dominated their classes, however every time the standard journey was to begin in Europe, after which flip to the US — founders would transfer, corporations would “flip” and turn out to be Delware companies, and the HQ can be relocated to San Francisco or NYC. None of this occurred with Pigment – each Eleonore and Romain, the corporate’s co-CEOs, nonetheless dwell in France; the corporate is a French regulation entity and whereas the US workforce is more and more massive, HQ stays in Paris. But Pigment has signed lots of the most seen logos within the US as clients – Figma, Brex, Carta, Airtable, and so on., demonstrating that the world for excellent SaaS merchandise has actually turn out to be one massive market.
Congrats Eleonore, Romain and all the Pigment workforce! Excited for the subsequent steps within the journey.