Bonusly, an engaging recognition and rewards platform that connects teams and enriches company culture, today announced it has received $18.9 million in Series B funding led by Ankona Capital. Prior investors FirstMark Capital, Access Venture Partners, and Next Frontier Capital also participated.
Bonusly, which is ranked by G2 as No. 1 in Employee Recognition and No. 3 in Employee Engagement, used by top-tier companies including Chobani, ZipRecruiter, Pender Veterinary, and SDMI. The Bonusly platform creates a culture of recognition in which employees receive an average of two meaningful, timely, detailed recognitions from peers and managers every week. After deploying Bonusly, more than nine in ten (93%) customers see improved employee engagement.
Recognition is crucial to employee retention. According to a 2022 survey of 2,000 respondents, 63% of workers feel unappreciated by their employer on a daily basis and 46% left a job because they felt unappreciated. Frequent, authentic recognition of their work can make an enormous difference. In fact, nearly two-thirds (65%) said they are likely to stay at a job if their coworkers and peers recognize their work, even if they have an unappreciative manager.
Especially in today’s volatile economic environment, organizations need an engaged and highly motivated workforce, along with accurate, current information about how their organizations truly work so they can be agile in making rapid, data-driven decisions to adapt as conditions change. Bonusly’s platform empowers real-time recognition to highlight accomplishments big and small in a very positive and public way, which fosters stronger cultures and builds resilient companies. The company also provides strong support for an organization’s diversity, equity and inclusion (DEI) programs by recognizing and encouraging inclusiveness.
Additionally, while other employee engagement companies offer little more than gift card programs, Bonusly’s recognition platform captures and analyzes a treasure trove of real-time data on how organizations really work, communicate and connect, informing HR teams and managers so they can make powerful behavior change throughout an employee population. Bonusly’s proprietary graph database enables management to gain a keen understanding of how their company actually functions. With this information, HR and managers can better help team members continuously improve, foster collaboration and belonging, and assess behavior changes to predict turnover.
“We saw almost instant engagement with Bonusly after deployment, and the recognition our people have given and received has had a big positive impact on employee morale,” said Daniel McAdams, President at Andiamo. “We’ve seen significant, measurable increases in our employee retention and engagement rate, which has translated to greater productivity. And just as important is the rich, current data Bonusly provides on the interconnections within our organization. We’re a stronger organization thanks to Bonusly.”
Bonusly will use the new funding to enhance its recognition platform and continue to further build out its analytics capabilities. The company will also invest in sales and marketing to further expand go-to-market activities.
“Bonusly customers see significant, measurable improvement in employee engagement and morale with Bonusly,” said Newth Morris, Partner at Ankona Capital. “The organizational network data that Bonusly provides is both powerful and unique. But just as important is the leadership team’s approach to managing the company with incredible capital efficiency. Raphael founded and bootstrapped the company for nearly three years before raising capital, and that culture of making every dollar count continues to this day. It puts the company in a very strong position to address the challenges companies face motivating, retaining and understanding their workforce in a rapidly changing economic landscape.”
“This new capital will enable us to expand and build on the strong foundation we have in place, enabling companies to meet the constantly changing people challenges of today’s volatile economy,” said Raphael Crawford-Marks, founder and CEO of Bonusly. “Since our Series A, we have seen our valuation more than triple, despite the multiple compression that has occurred in today’s market — a strong recognition of the value we already provide and the even greater opportunity that lies ahead. We’re just getting started.”
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