Helpshift Raises $23M Earmarked For Marketing, Sales Expansion

Helpshift, a mobile customer support firm, announced that it has raised $23 million in a series B funding round this week. This brings the company’s total funding to $36.2 million.

The monies are slated for U.S. marketing and sales expansion.

Helpshift provides native in-app customer support infrastructure for app developers, which includes FAQs as well as live support.

Abinash Tripathy, CEO and co-Founder of Helpshift, says that app users like the DIY aspect of FAQs, which has actually drastically reduced the strain on customer support staff.

As the app market expands, many developers see customer service as the big differentiator to fight churn and retain users. Two apps may be similar in function, but if one handles user complaints or problems better than the other, it’s clear which will win out.

Tripathy points to Amazon as an example of a company that got customer service right, and in doing so, cemented itself as a Web destination which allowed it to grow.

“What we’re seeing here in the app economy is no different from the Web era—large properties that attract all of the customers and interest,” says Tripathy. “The market is head-oriented [as opposed to the ‘long tail’ of smaller apps that don’t get much capital or revenue]. However, the Web wasn’t a true meritocracy. In the app economy, if you aren’t getting downloads, you won’t get displayed.”

Tripathy says that his company is focused on improving the support practices of larger app developers and companies like Zynga, VirginMedia, Microsoft, WesternUnion, Flipboard, Shyp, Luxe, and WordPress.

Investors in the round included Salesforce Ventures, Intel Capital, Nexus Venture Partners, True Ventures and Visionnaire Ventures.

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