Marketo, a company that provides an on-demand marketing software that allows businesses to optimize their sales and marketing efforts, has raised $50 million in new financing led by Battery Ventures with existing investors Institutional Venture Partners, InterWest Partners, Mayfield Fund and Storm Ventures also participating in the round. This brings Marketo’s total funding to $107 million. The valuation in the round was not disclosed but CEO Phil Fernandez tells us its a ‘healthy valuation.’
Marketo aims to help businesses create revenue via channels like e-mail, lead generation, and optimization of site visits. The company’s software helps businesses create everything from email campaigns to other online and social channels, and then tracks the effectiveness of each one from a dashboard. And Marketo will measure the impact of each campaign and program in real-time including email volumes and leads generated, so users can see which campaign is successful and tweak accordingly.
The software also scores leads to show sales teams where the best opportunities are, and helps sales reps nurture leads. The software includes reusable email templates and the ability to automate triggered and batch email campaigns sent on behalf of specific sales representatives. Marketo also offers a SMB-focused product called Spark.
For example, healthcare company McKesson has been able to add $2 billion to its revenue by using Marketo to make sales more efficient.
Fernandez says that last year’s revenue came in at $14 million, and sales are expected grow by 140 percent this year, putting revenue in the $35 million range. He adds that sales are expected to double in 2012.
From the $107 million raised, Marketo has $70 million available in the bank, and plans to use this for growth, both internationally and in product development in the coming year. And Fernandez is bullish on an IPO in the next year or so, telling us that “the possibility of an IPO is strong in next 12 to 15 months.”