New Delhi: SocialCrowd has secured a pre-seed investment of $1.6 million, with Bread and Butter Ventures leading the round. The startup, established in 2020, offers a Software as a Service (SaaS) platform focused on performance management. Similar to Fitbit’s approach to physical activity tracking, SocialCrowd allows companies to establish goals for employees and rewards them upon achievement.
Raphael Akinsipe, co-founder of SocialCrowd, explained that the platform enables customers to create incentive campaigns with specific targets. By integrating with existing productivity tools, SocialCrowd monitors employee performance in real-time and sends reminders to help individuals meet their goals. Once objectives are reached, employees earn redeemable points for rewards such as gift cards or time off.
Akinsipe noted a surge in interest in SocialCrowd’s services, particularly from companies grappling with the shift to remote work. Many businesses, especially those with large blue-collar teams, struggled to adapt during the pandemic, leading to challenges in staff retention. This has fueled demand for solutions like SocialCrowd that enhance employee engagement and productivity.
Despite economic uncertainties, investor enthusiasm for work software remains robust. The potential link between such software and increased productivity, coupled with the resilience of corporate spending on such tools, continues to attract funding.
However, Akinsipe acknowledged the challenges of fundraising, describing it as a lengthy process requiring perseverance and creativity. It took approximately nine months to secure the current round of funding, with most lead investors being introduced through referrals.
Besides Bread and Butter Ventures, VC 414, Serac Ventures, and Gala Capital Partners also participated in the funding round. SocialCrowd intends to utilize the pre-seed capital to expand its team and bolster customer acquisition efforts.
Mary Grove, a managing partner at Bread and Butter Ventures, commended SocialCrowd’s consumer-centric approach and emphasis on employee well-being. She expressed optimism about the platform’s potential to benefit both employers and frontline workers within organizations.
Looking ahead, Akinsipe envisions SocialCrowd evolving into more than just a rewards platform, aiming to become a comprehensive tool for employee development and business insights.
Akinsipe and his co-founder, Paul Doran, have a history of entrepreneurship dating back to their college days when they were roommates. Their previous ventures include a hardware startup, as well as web design and website management services. Akinsipe has also held positions at Google and Casetabs, which was acquired by Bain Capital.
