Sprinklr, US based Software Company Implements Layoff: Sadly 4% Workforce Reduction Globally.
Layoff wave has got no chill, it's not any sooner getting down! Sprinklr is a victim too.
Sprinklr, US-based Software Company Implements Layoff: sadly 4% Workforce Reduction Globally.
With the wave of layoffs everywhere, another Software Company, Sprinklr, fell victim too.
Almost 4% of its global workforce is laid off due to the ongoing economic crisis. It all commenced a week ago internationally, and now this layoff has turned towards employees working in India too.
Sprinklr’s speaker mentioned with grief that this decision was claimed as a difficult choice for them to make but to achieve long-term success, they are switching to a ‘productivity-driven business model’ for now.
He even added that it is their priority to look out for and support their employees while presenting them with great care, and respect and showing them appreciation.
Moreover, this is not happening for the first time in this US-based social media management company. In July 2022, they laid off around 50 job roles in global digital marketing.
All about Sprinklr: its products & services, founder revenue, funding and competitors.
Products and services
Founded in 2009 by Ragy Thomas, Sprinklr is a leading customer experience management (CXM) platform that provides businesses with tools to help them manage and skyrocket their interactions with customers across multiple social media channels, messaging apps, email, and chat.
Aim was to help businesses make a social presence and grow with digital marketing. It was only a social media marketing company at first but later opted for uncountable other areas to expand.
Due to its nature of work widespread all over the world, Sprinklr has quite a large workforce in all those geographical markets too.
Its customers of this company have more than 1000 brands in industries like retail, financial consultancy, and software. Even Microsoft, Nike and Mcdonalds etc., are availing their services too.
Recently, in June 2021, Sprinklr announced the acquisition of an AI-powered customer engagement platform, the Nanigans, for an undisclosed sum. The acquisition is expected to power up Sprinklr’s capabilities in the areas of paid social advertising and eCommerce.
About Ragy Thomas
He is an Indian American entrepreneur, with the perfect mix of business skills and technical know-how. In 1972, he was born in Kerala, India. He studied Electrical Engineering at the National Institute of Technology Calicut, India.
Later, he went to Dubai and, in 1993, moved to the United States, where he went along with his other degree in Computer Science from the State University of New York at Buffalo.
His career took off with being a software engineer at Lucent Technologies. He also has experience working in prominent corporations, for example, IBM and PwC. Therein he developed software solutions for most of the customers.
Sprinklr was not his first time being an entrepreneur. In 2005, he co-founded DoubleClick Performics, a digital marketing agency. It was later acquired in 2008 by Google.
The next year, after its acquisition, Sprinklr came into existence.
He lived in New York City. He was one of the people presented in Fortune’s 40 Under 40 in 2014 and 2015, one of the Top 50 SaaS CEOs by The Software Report and a finalist for Ernst & Young’s Entrepreneur of the Year award in 2016.
Ragy’s net worth is estimated at around $2.5 billion in 2021.
Net Revenue
| Particulars | Q3 (FY 2022-2023) | Q2 (FY 2022-2023) | Q1 (FY 2022-2023) |
| Revenue | USD 157.25 Million | USD 150.63 Million | USD 135.67 Million |
| Net Profit | (-) USD 5.86 Million | (-) USD 23.93 Million | (-) USD 34.3 Million |
| Net Profit Margins | (-) 3.73% | (-) 15.88% | (-) 25.28 % |
| Explanation | 15.91% hike in Revenue in comparison to FY 2021-2023 Q4 | 18.55% hike in Revenue in comparison to FY 2021-2023 Q3 | 22.24% hike in Revenue in comparison to FY 2021-2023 Q4 |
| EPS estimate | 0.01 | 0.01 | 0.01 |
Funding
| Year | Type of Funding | Amount |
| 2010 | Series A funding by Battery Ventures | USD 5 Million |
| 2011 | Series B funding, led by Battery Ventures, with the involvement from Intel Capital and Iconiq Capital. | USD 15 Million |
| 2012
|
Series C, again led by Battery Ventures, with participation from Intel Capital and Iconiq Capital and others. | USD 17.5 Million |
| 2014 | Series D, led by Iconiq Capital with the involvement of Battery Ventures, Intel Capital and others. | USD 40 Million |
| 2015 | Series E led by Battery Ventures, with participation from Intel Capital, Iconiq Capital and others. | USD 46 Million |
| 2016
|
Series F is led by Temasek Holdings, with participation from Wellington Management, EDBI, and others. | USD 105 Million |
| 2018 | Debt Financing by many other investors, including Hellman & Friedman and NewView Capital. | USD 150 Million |
| 2021 | Before its initial public offering, it raised an additional in a secondary market round led by Sixth Street. | USD 74.5 million |
| May 2021
|
It went public, debuting on the New York Stock Exchange under the ticker “CXM”. The IPO was highly oversubscribed. | USD 266 Million |
Competitors of Sprinklr.
The company’s five biggest competitors are –
1. Salesforce –
It is a company of consumer courting control (CRM) software programs that makes use of the cloud. Among different things, it gives a social media control platform that permits organizations to manipulate their relationships with customers on social media platforms.
2. Adobe Experience Cloud –
A set of gear named Adobe Experience Cloud assists corporations in handling and optimizing consumer interactions using virtual channels. Its merchandise encompasses analytics, advertising, and social media control solutions.
3. Hootsuite –
Hootsuite is a platform just like Sprinklr for handling social media that permits corporations to manipulate their social media presence through numerous channels. Its functions encompass gear for group communication, analytics, scheduling and publishing.
4. Sprout Social –
This, too is a platform for coping with social media and letting organizations manipulate their online existence using multiple channels. Sprout social‘s capabilities encompass putting posts for later, engagement analysis, including tracking gear for social media.
5. HubSpot –
It is a hub of all software program platforms for growth, advertising, and patron support. One of its best things is a social media control platform that lets enterprises manipulate their online existence, publish content, and interact with consumers.
Sprinklr in Media!
This commendable Software Company has been in the media for quite some time in the last half-decade.
First, in 2019, this company was named a leader in the Gartner Magic Quadrant for Social Marketing Management.
After that, in 2020, Sprinklr was recognized as one of America’s Best Startup Employers by Forbes. It is an award that recognizes companies with a positive reputation among their employees.
And, for its commitment to corporate social responsibility as Sprinklr pledged $10 million to support initiatives that promote social justice and racial equality.
In 2021, it was covered twice, marking an oversubscribed IPO, indicating strong investor interest in the company’s growth potential.
Another for when Sprinklr acquired Nanigans, an AI-powered engagement platform acquisition.
Summing up.
Sprinklr and its founder, Ragy Thomas, always seem to possess excellent qualities, and moral values. He has been a hardworking and intellectual person since the beginning, and so is Sprinklr under his guidance. But the recent layoffs have made a dent in its reputation. Not that it’s the only company reducing its workforce, but it’s also the second time it has been noticed doing the same. So, the question still pertains if there will be a third time.
Edited by Prakriti Arora
