TripActions Hits $4 Billion Valuation with $250 Million Series D
Enterprise Travel Booking Service TripActions Raises $250 Million in Series D Funding
Andreessen Horowitz, Zeev Ventures, Lightspeed Venture Partners, and Group 11 have collectively valued TripActions, a travel booking service specifically designed for large enterprises, at an impressive $4 billion. This significant valuation comes alongside the company’s recent announcement of a $250 million Series D funding round. The total amount raised by TripActions now stands at a substantial $480 million.
Accelerating Growth and Expansion
TripActions’ co-founder and CEO Ariel Cohen shared with TechCrunch that the company’s revenue is growing at an astonishing 5x year-over-year, although he declined to disclose the exact figure for 2018. The business currently boasts over 2,000 customers, including well-known companies such as WeWork, Zoom, Dropbox, and Robinhood.
Replacing Antiquated Travel Booking Systems
Founded in 2015, TripActions aims to revolutionize the outdated travel booking systems used by corporations today. By seamlessly integrating with company HR and expense systems, TripActions enables business travelers to efficiently arrange flights, hotels, and transportation, all while having access to 24/7 global support from the startup’s dedicated staff.
"We are going after a really big industry," Cohen stated, highlighting the ambitious goal of replacing antiquated travel booking tools. "We are replacing something people don’t like. They don’t like the tools corporates are giving them today to book business trips."
International Expansion
TripActions plans to utilize the freshly acquired funds to accelerate its international expansion efforts. Just 18 months ago, the company operated solely from its Palo Alto headquarters, boasting a modest team of employees. However, with the addition of key enterprise customers like Box, the startup found it necessary to expand its services globally.
Growing Presence in Europe and Beyond
Co-founder and CTO Ilan Twig explained that once they secured large-scale enterprise clients, they had no choice but to tailor their service for international markets outside the U.S. "In a year we went from a startup with an office in Palo Alto to having more than 100 employees in Europe," Twig noted. "We need to meet users where they are … We need agents and operations in the various [geographies] that we are serving. And then of course sales and marketing in all of these [geographies]."
Consolidating Funding with a $4 Billion Valuation
With its latest round, TripActions is now sitting on an enormous amount of capital. The founders revealed that they have yet to spend any portion of their $154 million Series C funding, which was closed just last November. This significant investment valued the company at $1 billion, cementing its position in the coveted "unicorn club."
"We want to make sure we are equipped to take the market," Cohen stated, emphasizing the importance of strategic planning. "Do we need the entire amount of money we’ve raised to date? The answer is no. But do we want the means to seize the opportunity in the long term? The answer is hell yes."