$19M in Funding Secured

December 7, 2010

Dear Customers, Colleagues, and Friends,

Today, we’re excited to share the great news that we have raised $19M in our third series of venture capital. The round was led by Matrix Partners, and we’re happy to welcome Matrix partner Dana Stadler to our board.

$19M is a big chunk of money, and the obvious question is where we will invest it?

Zendesk has always been an innovation-driven company. We derive our inspiration from listening to our customers’ needs. You can expect that in 2011 we’ll be deeply focused on three areas: expanding our core development, building out in international markets, and scaling our team to work more closely with high-volume customers.

Core Development

In 2010, we released features, fixes, and additions to the product nearly every single week.

We entered the mobile market with apps for Android, iPhone, and BlackBerry, and introduced deep native integrations with LogMeIn, GoodData, and Twitter.

We also released new capabilities for knowledge management sharing, community support and feedback management, and have integrations with more than 60 products including SnapEngage, SurveyGizmo, LiquidPlanner, Pivotal Tracker, BatchBook, Twilio, and Beanstalk.

We’ll be using this investment to continue to push the envelope for innovation in customer service and support. We’re therefore also excited to release a new generation of deep Salesforce integration in Zendesk that really will enrich companies’ customer relationships from sales to support.

International Markets

Almost 35% of Zendesk’s business is outside of the US. In the United Kingdom alone we have almost 1,000 customers. In 2011 we will continue to invest in our global footprint and our commitment to international markets.

Large Volume Client Services

Zendesk has customers of all sizes, and it fascinates us that Zendesk can be just as good for a one-person shop in Milan, Italy that serves 38 customers, as it can for a fast-growing company in US with several hundred agents and millions of customers. We’re excited to grow a new part of our team to provide more specialized services for large volume customers.

Lastly, we’re investing in our team’s creativity. In 2010, we expanded our Zengage blog team and have become a must-read publication for customer support professionals. Every Zendesk team member has been encouraged to host meetups, wherever they are traveling, to connect with customers and the community (did you come to our Uruguay happy hour?). We’re also closing out the year with a humorous web saga about bad customer service, “Merry Holidays, Please Hold.” By continuing to empower our team members’ creativity, we’re learning, succeeding, failing, experimenting, and taking creative risks together, which is where some of our greatest innovation and education occurs.

We look forward to a super exciting 2011! Two months ago, Zendesk turned three, and we were thrilled by the many guests that turned up for our after-hours birthday party. San Francisco has become our home, and we’re excited to contribute to its growth, innovation, and expansion!

Thank you!

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