Paris-based Zenchef, an all-in-one marketing SaaS platform that helps restaurants attract customers and increase loyalty, announced on Tuesday, September 20, that it has raised over €50M in a fresh round of funding.
The investment came from PSG Equity, a growth equity firm that partners with software and technology-enabled services companies to help accelerate their growth and build scale across Europe and the US.
Digitising the restaurant sector in Europe
Founded in 2011 by Xavier Zeitoun, Thomas Zeitoun and Julien Balmont, Zenchef claims to have become a significant player in the restaurant sector by providing a range of technical solutions designed to improve front-of-house operations and the customer experience.
In the past 10 years, the company has handled around 50 million bookings for its partners, which has led to almost 170 million customers at restaurants, including more than 42 million in 2021.
Zenchef’s SaaS solutions help restaurants manage their front-of-house activities such as reservations and venue administration, website and digital menu management, marketing initiatives, click and collect, and mobile payments from a single platform, while still retaining their data. According to the company, these options make it easier for restaurant operators to boost business by lowering marketing costs, improving customer satisfaction, and increasing occupancy.
Currently, the company is operational in more than 15 countries with a lead position in France, Belgium and Switzerland. It supports the digital transformation of more than 7,000 restaurants, including over 180 Michelin-starred chefs such as Anne-Sophie Pic, Yannick Alléno ou Alain Passard, and major restaurant groups like Groupe Bertrand, Del Arte, Ninkasi, and La Criée.
A strategic partnership for European growth
Zenchef aims to expand its services in Europe with the help of PSG, particularly by implementing a sustainable growth plan and creating new B2B and B2C products to solidify its position in the restaurant technology industry.
This strategy, which began last year with the acquisition and integration of Billee, enabled the launch of Zenchef Pay, a mobile payment solution for restaurant bills, and is expected to expand this fall with the launch of Zenchef’s very first consumer mobile application.
With this free app, foodies can check the availability of more than 1,500 restaurants in Paris in real time and book appointments. It will include several features, including a geolocation service, themed restaurant rankings, reviews, and many more that are designed to improve the user’s experience.
With the help of this application, Zenchef hopes to break into the mainstream foodie market and reinforce its dedication to restaurant owners by enabling them to develop stronger relationships with their customers as well as defend their independence with the help of Zenchef’s zero-commission strategy.
Xavier Zeitoun, co-founder of Zenchef, says, “With PSG’s strategic, operational and financial support, we are solidifying our ambition to become Europe’s champion. In our view, PSG will enable us to identify the relevant synergies to better serve restaurant owners and their customers, and help us pursue our ambitious recruitment plan. With the upcoming launch of our first consumer mobile app, we are closer to fulfilling our mission to an industry that has been severely tested in recent years and to which we want to bring the best technological solutions.”
Brief about PSG
US-based PSG is a growth equity firm that partners with middle-market software and technology-enabled services companies. It helps them in their day-to-day strategic decisions, drawing from their strength in M&A and international expansion, especially in Europe and the US, while pursuing a sustained investment plan.
The firm has invested in more than 110 companies and enabled more than 400 add-on acquisitions. Established in 2014, PSG has offices in Boston, Kansas City, London, Paris, and Madrid.
Zenchef is PSG’s eighth platform investment in France and its 18th in Europe.