Australian customer research platform bags $3.6m funding at $109m valuation

Dovetail, a customer research platform based in Australia, has raised AU$5 million (around US$3.6 million) in a fresh round of funding led by Felicis Ventures. Culture Amp’s co-founder Didier Elzinga, Blackbird Ventures, and Grok Ventures also invested in this round.

The funding boosts Dovetail’s valuation to around AU$150 million (US$109 million), according to CEO Benjamin Humphrey.

The Dovetail team / Photo credit: Dovetail

Humphrey and Bradley Ayers, who both previously worked at software firm Atlassian, established Dovetail in 2017. The startup offers a platform that enables users to transcribe recordings with their customers and discover patterns. Companies can then analyze the data and get deeper insights into customers’ behavior.

On top of the new funding, Dovetail also announced the launch of Stories, a new feature that allows users to pull insights, video highlights, tags, interviews or entire projects from anywhere in the platform. It currently has integrations with other programs such as Zoom and, more recently, Google Drive.

Dovetail said it acquired over 1,000 new customers in the past 12 months, including Boston Consulting Group, Cisco, GitLab, Harvard University, and IBM. The startup also saw a 20% month-on-month increase in enterprise customer growth, with subscriptions continuing to climb.

With the fresh funds, Dovetail plans to increase its headcount from 40 to 110 people by the end of 2022.

In 2020, the company raised AU$4 million (US$2.9 million) in a round led by Blackbird Ventures at around AU$30 million (US$22 million) valuation.

Currency converted from Australian dollar to US dollar: US$1 = AU$1.37