Wingify focuses on enterprise sales, aims for 50% revenue contribution by 2027

“There's a lot more investment and focus on the enterprise business," Wingify co-founder Sparsh Gupta told Mint in an interview. “We expect to continue to grow at a 25-30% CAGR (compound annual growth rate), which would be between $15-20 million a year. A large part of that will come from enterprise alone."

Currently, Wingify serves mainly small and medium businesses (SMBs), which account for 75% of its revenue, with enterprise deals accounting for the remaining 25%.

The company helps businesses improve their websites and apps through various optimisation strategies to help them drive conversions and business growth. Wingify's main product is the VWO Platform, which helps with website and mobile app testing alongside behaviour analytics, catering primarily to e-commerce, SaaS, edtech, media companies and enterprises. Recently, the company has also moved into tools meant for developers. “While our products have been ready for a while now, enterprise sales motion is very different. It's not about getting leaders, it's also about building the machinery to support them," said Gupta.

As part of the enterprise focus, Wingify has been aggressively hiring people across its global teams for its enterprise business. In the last year alone, the company's sales development team has grown from nearly zero to 65 people. “We're really building up our global enterprise sales motion aggressively. We've hired people in Australia, we just hired someone to handle the Middle East," Gupta said. Wingify has also hired people in Germany, UK, Latin America and US who are all slated to join before the end of the calendar year.

Lately, the company has been shifting its sales strategy from being product-led to being sales-focused. “We've been very inside sales and inbound sales-driven. Historically, almost all our business has been inbound," Gupta said.

Change in strategy

The decision to go after enterprises, according to Gupta, is because they felt their products were ready. But it's also more than that. “Enterprise by nature is a healthier business. Retention profiles are higher, and use of products is healthier. We want to get into those larger deals and a larger customer base."

Globally, Wingify competes with companies like Optimizely, AB Tasty, Convert.com, Hotjar, Crazy Egg and Mixpanel.

While the company has just begun signing enterprise deals, it still hasn't reached a large size. Earlier this year, the company closed a $1 million enterprise deal with a company in Europe, but declined to name them. At the same time, however, Gupta said that they wanted to start with six-figure deals with enterprises before moving on to larger deals as high as $5 million. “We're focused on getting customers where there's scope for expansion, and that's where I think the sweet spot would be getting over $500,000 deals consistently, which could expand in the future," said Gupta.

Ownership shift

Wingify's revenues have largely been global, with the US accounting for 60%, Europe for 30% and the remainder being made up by the Asia Pacific region and India, which only makes up 2%. That being said, the company is focusing on the country more, but doesn't expect its contributions to go up too significantly. “In absolute numbers, it will grow quite significantly, but as a percentage of the overall size, maybe it'll go up to 5%," said Gupta.

Earlier this year, private equity firm Everstone Capital acquired a majority stake in the company for $200 million from co-founder Paras Chopra, who continues to hold a stake in the company and his seat on the board.

While Everstone has taken over as the owner of the company, there have been no changes in management. “The main change here is that there is a lot more conviction in us, we have access to advisors, and their larger network. It's what is helping us go all out and invest more and make the company bigger," according to Gupta.

Prior to the acquisition, in January, the firm had signed a deal with Goldman Sachs Alternatives to sell its co-control stake in Omega Healthcare to the Ontario Teachers’ Pension Plan. In July, Yondr Group, which develops and owns data centres, sold its stake in joint venture EverYondr to the Everstone Group.