Demostack, the world’s first demo experience platform today (Tuesday) announced it has raised $34 million in a Series B financing round. The round was led by Tiger Global Management with participation from Bessemer Venture Partners, Amiti Ventures, GTMfund, Operator Collective, and StepStone. The round also included participation from angel investors like Leyla Seka of Ironclad, Eilon Reshef of Gong, Ronni Zehavi of Hibob, Lars Nilsson of Snowflake, and Zach Lawryk of Slack, to name a few.
Delivering great product demos
Demos are an integral part of deal cycles. Traditionally, to make a demo, sales teams would have to work with their engineering team to add and manipulate data in their demo environment. This often takes weeks of work and is limiting in their ability to truly convey the product's value to the appropriate prospects; the demos would be unstable, imaginative, and uninspiring. Moreover, since remote selling and personalized buying experiences have become increasingly popular, changing the dull demo status quo was necessary. To address this market shift, Demostack was born.
Demostack built a product that helps SaaS teams accelerate revenue with better product storytelling. They create tailored product demos for every live sale call in minutes; their product allows users to spin up a fully functioning demo environment that can be edited to craft a product story that resonates with specific buyers. They are therefore enabling software companies to have a competitive advantage by creating world-class product demos at scale. Demostack is enabling better engagement with prospective customers, shortening sales cycles, and increasing win rates. Sales teams can now say goodbye to the lengthy sales processes, with Demostack’s compelling demos that are fit for every call.
In a conversation with Geektime, Jonathan Friedman, Demostack’s CEO, shared with us that during his time as Head of Product at TripActions, he was charged with running their FinTech products, known as TripActions Liquid. After building the product and team, he ran into difficulties demoing it both internally and to potential buyers. The team researched solutions but there was nothing suitable on the market. That's when the idea for Demostack formed: “Can we create a product that can replace a live demo environment and put it in the hands of the go-to-market team?” Luckily, both he and Aaron Hakim (CTO of Demostack) had experience with corporate websites, be it editing and adding functionality to them, which helped inspire them for the initial design of Demostack. Moreover, at their previous company, they built tech that specialized in optimizing marketing websites and measuring user behaviour on them, which gave them a leg up when creating Demostack.
Demostack has seen promising growth in the last year, with dozens of newly signed customers and an ARR growth that has multiplied each quarter. With the new capital, Demostack will continue to invest in R&D resources, grow its global footprint, and increase sales and marketing across the U.S., Europe, the Middle East, and Africa.
Demostack was founded in 2020 by Jonathan Friedman (CEO), Aaron Hakim (CTO), and Gilad Avidan (CPO). To date, they have raised over $51 million.