• PruVen Capital

Why We Invested In Deed

We recently announced our investment in Deed’s $10M Series A. We wanted to share a bit of insight into why we are so extraordinarily excited to be partnered with this team to transform how employees can engage with their employers around philanthropy, volunteerism, and social change as part of our on-going investment into the Future of Work.

Corporate Social Responsibility is becoming critical to companies of all sizes

Corporate Social Responsibility (CSR) has reached a critical inflection point. As recently as five years ago, only companies with 10,000 or more employees were thinking about corporate impact, employee engagement and other non-traditional employee benefits like corporate gift matching and volunteer time-off. Research has shown a dramatic shift in the way companies of much smaller scale have started to think about these initiatives. Employees and consumers alike are voicing the importance of seeing social responsibility from the companies they work for and the brands they buy from. Having a strong mission and demonstrating a company’s dedication to supporting social impact is now a necessary component in the fight for talent. Today, we’ve seen companies with as few as 100 employees implement CSR programs, which function to attract top tier talent, increase employee engagement, morale, productivity and retention, improve corporate image and enable individuals to provide meaningful contributions to their local communities.

Deed brings a modern approach suitable for the new workplace - Seamless integrations, mobile first UX, superior analytics/dashboard, and social experience to giving

Deed’s tech and platform provides an intuitive/seamless user experience with less integration headaches than are common with legacy offerings. More specifically, integrations with HCM providers like Workday. The insight we saw from the team lies in the evolution of how employees engage in the new workplace. Employees have moved on to using next generation communication platforms like Slack & Team, leveraging mobile phones as a key channel of engagement at work, and finding new ways to connect socially in a remote environment, yet CSR solutions have not adapted to this new world. Deed allows employees to more seamlessly interact with each other and minimizes the friction of donating through their employers, a common pain point with other providers. A better user experience leads to higher employee engagement on the platform, higher participation in donor and volunteering programs and fosters a stronger community amongst employees leading to higher employee satisfaction, especially in the world of hybrid/remote work. Similarly, on the HR/CSR user side, Deed offers a modern sophisticated reporting dashboard to enable companies to better understand their programs so they can be more effective in managing them.

Showing demonstrated higher employee engagement

Both employee engagement and donor engagement at Deed are higher than market averages supporting the thesis that Deed is a better designed product than competitors. Higher engagement = higher donations and better retention making the ROI for the platform more compelling to enterprises. Deed’s “blended” donation rate, i.e. the % of all employees on Deed’s platform is over double the market average.

Extremely sticky solution being brought to market at just the right time

Deed is benefitting from the tailwind of Companies seeking to implement CSR programs in the wake of COVID, BLM and hybrid/remote work - tasking employee engagement and satisfaction. In our research, CSR platforms are purchased/reevaluated on roughly 5-year periods with a major reevaluation occurring at the moment as Companies seek to revamp programs in the wake of COVID-19.

Impressive customer traction to date with high profile customers in the mid-market employee segment and a growing roster of enterprise customers

Deed began it’s customer acquisition strategy going after forward thinking marquee technology companies like Airbnb, Lemonade, Stripe and DoorDash and the Company is beginning to show early success in courting larger enterprise level (10k+ employers) with companies like Adidas and a growing number of enterprise customers in it’s pipeline.

Seamless and fast integrations that drop onboarding time from months to weeks

Historically, HR/CSR teams spend 12-24 months on acquiring and implementing technology, taking away from other program related activities, in many cases halting all other strategies focused on growing the participation and impact of employee giving and volunteering. Deed is hyper-focused on delivering an automated/turnkey solution with faster implementation times and customers are voting with their feet, with a significant number of Deed’s current customers having moved off of incumbent solutions and onto Deed.

PruVen Capital could not be more thrilled to be supporting the Deed team in achieving their mission of helping companies large and small manage their CSR programs, and we look forward to leveraging our deep domain expertise and our network to accelerate bringing Deed to more companies. Congratulations to Deevee, Steve and the entire Deed team, we can’t wait to work with you and see what the future has in store!

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