Zenefits Appoints Issac Vaughn as SVP of Business Operations; Continues Resurgence with Solid Market Momentum
Company Announces Customer Growth, Product Adoption and Strategic Team Expansion
SAN FRANCISCO, June 20, 2018 – Zenefits today announced the key addition of Issac Vaughn, a seasoned technology, operations, legal and venture expert, to its executive team as Senior Vice President of Business Operations. In addition, the company shared updates on its recent market momentum based on its business model pivot last fall.
Reporting to Chairman and CEO, Jay Fulcher, Vaughn will work closely with the Zenefits’ customer experience, benefits solutions, business development, legal and compliance teams to deliver a best-in-class customer experience and build market traction to accelerate Zenefits’ growth.
“So far this year we have exceeded our bookings and revenue targets, transitioned our insurance brokerage to a market leading partner, and extended our technology lead across our HR/Payroll/Benefits platform. We have accomplished so much in the past year — all while delivering a compelling SMB customer experience that is unique in the industry,” said Jay Fulcher. “Now is the right time to bring in someone with Vaughn’s unique credentials and considerable leadership skills to help us execute on what’s ahead.”
Vaughn brings exceptional cross-functional operational, M&A, public and private financing experience to Zenefits. Previously, he held a range of executive roles at cloud-based video and analytics company, Ooyala, most recently as acting CEO, and before that as SVP of business and corporate development, general counsel and corporate secretary. At Ooyala, he built a global channel, orchestrated two acquisitions and helped to substantially increase the company’s value in advance of its acquisition by Telstra. Prior to Ooyala, Vaughn was managing director of SC Investments Consulting, LLC, an angel investment and consulting company, and a founding partner of Bennu Venture Group. Earlier, he was notably a partner at Wilson Sonsini Goodrich & Rosati (WSGR) for 15 years working with dozens of both early and late-stage tech companies.
Market Acceleration Proof Points
Zenefits’ business resurgence this year further validates the company’s decision in September 2017 to shift its business model from a technology-powered insurance broker to a best-in-class, comprehensive software platform spanning HR, payroll and benefits for small and mid-sized businesses and insurance brokers. In recent months, there have been a number of notable milestones achieved including impressive revenue growth, new product launches and new company leadership that showcase how the company is successfully executing against its strategy.
Business and Customer Growth
Zenefits is on track to meet its goal for 100% growth in annual recurring revenue (ARR).
- The company is seeing about 55% of its business coming from net new customers and 45% from additional investment by current customers, signaling strong installed base engagement.
- Customers continued the trend set in the prior quarter of licensing three Zenefits applications per deal on average. In fact, the newest product, Zenefits Performance Management, was included in 25% of customer deals in the quarter.
- Zenefits Payroll, which supports payrolls across all 50 US states, also saw a 200% year-over-year increase in total payroll processed through the system, reinforcing the demand for new, transformative capabilities and services like those offered by Zenefits versus incumbent legacy systems.
Product Innovation & Expertize
Zenefits has extended the functionality and ease of use across its People Platform, with significant advancements in its Payroll, Performance Management and Benefits offerings over the past year. It has also added significant expertise across its engineering and development teams in multiple locations.
- The company added industry experts such as Sean McCleary to lead its User Experience initiatives, and Rajiv Bagora lead it’s Payroll engineering.
- PC Magazine recognized Zenefits product in two separate categories, rating the complete Zenefits People Platform “Excellent” in a comprehensive review and naming its Benefits Administration application as the “2018 Editor’s Choice.”
Expanded Executive Perspective and Impact
To power it’s vision for enabling small business in the new world of work, the company has expanded its board and advisory groups.
- Zenefits appointed Pat Wadors, chief talent officer at ServiceNow, to its board of directors.
- The company also built out its Advisory Council with the additions of Jeff Carr, Ronnie Lott, Phil Fasano and John Faylor, each with distinct expertise spanning HR software, SMB business perspectives, healthcare industry and real estate.
Zenefits’ Chief People Officer, Beth Steinberg, was also honored by the San Francisco Business Times as one of The Most Influential Women in Business in the Bay Area for 2018.
Zenefits is helping more than 10,000 small and mid-sized companies empower their modern workforce, manage change and stay compliant. Zenefits’ People Platform delivers the most comprehensive and mobile HR experience in the market. Zenefits’ HR, Benefits, Payroll and Performance apps combine with advisory services and tightly integrated partner apps to radically simplify HR administration – reducing paperwork and complexity so companies can focus on running and growing their business.