Zilliant gets $13 million infusion
Software company helps manufacturing, transportation businesses determine optimal pricing for contracts, deals
Austin-based Zilliant Inc., which sells software that helps companies price their products, has raised $13 million in ven- ture capital for expansion, company officials said Friday.
Manufacturing, distribution and transportation companies use Zilliant’s software to determine the best pricing on deals, contracts and price lists. Chief executive Greg Peters said the funding will help Zilliant expand its software offerings.
“We’ve got some pretty sophisticated science that we apply to pricing. There are some new areas of innovation we have dabbled in and tested, and we want to expand that,” he said.
Zilliant raised the money from SMH Private Equity Group, ABS Ventures, Austin Ventures and Trellis Partners, all of which had previously invested in the company.
Zilliant, which has 130 employees, has raised about $60 million since its inception in 1999.
Peters said the latest funding also offers assurance to Zilliant customers, who make significant investments in the software.
Some of those customers include Siemens Industry Inc., Hubbell Lighting and Unisource Worldwide.
“When companies engage with us, it’s a long-term relationship. Putting cash on the balance sheet helps show long-term viability and takes all those questions off the table,” Peters said. “It’s good to have that, from a stability standpoint.”
Zilliant’s software analyzes an array of variables, such as competitors’ prices, sales history and buying frequency, and recommends raising or lowering prices.
Although the changes are small, generally in the range of 1 to 3 percent, they can improve profits by more than $10 million a year, according to the company.
“We continue to see a highgrowth opportunity in the B2B (business-to-business) pricing market, and Zilliant is poised to lead with a unique technology, a strong customer base and a proven management team,” said Chip Davis, managing partner at SMH Private Equity Group. “Zilliant is a true pioneer who will continue to lead the market as B2B companies look toward recovery.”