Founded in 2008 and headquartered in Sunnyvale, California, Druva is a leading global provider of cloud-enabled data protection and information management solutions for enterprises and service providers. Since its inception, Druva has pioneered the market for cloud data protection with products that help customers meet evolving compliance requirements—and reduce risk, cost, and complexity.
Are you wondering about how Druva makes money? Well, this blog post is exactly about that. Follow along as we uncover the juicy details behind Druva’s business model, and see exactly how they make money so you can figure out if you want to invest in the company.
Druva makes money by providing data protection software subscription plans to enterprises that wish to save time and energy managing their data. For a monthly fee, companies have access to the necessary tools and resources to keep their workload safe and secure.
In providing this advanced software, the company has generated revenue from thousands of enterprises using their platform.
Druva is a SaaS (or “software as a service”) platform offering cloud-based software for the management and protection of user data. As the largest and fastest-growing data protection company, Druva’s innovative software set them apart from their competitors early on. In doing so, the company has made data management quick and convenient for their customers.
Their award-winning Software as a Service (SaaS) platform offers enterprise data protection, cloud mobility management, and file sync and share capabilities to keep critical business data secure and accessible wherever it lives.
Druva’s solution helps protect enterprise data from cyber-attacks, system outages, and human error by automating data backup and recovery; securing sensitive information with easy-to-use encryption; monitoring & reporting on cloud usage, and ensuring that regulatory compliance is met.
Business Model of Druva
The Sanskrit meaning of the word dhruva is “unshakeable, immovable or fixed” which explains the philosophy behind the company. Druva is on a mission to provide security for data; an unshakeable, immovable, or fixed security for data.
Druva credits their “disaster-relief technology” for helping to set them apart from their competitors. As an early company, they were faced with difficulty in earning the business of larger companies. They quickly realized that in order to earn business, they needed to provide solutions to key problems affecting said companies.
A persisting problem when it comes to backup is the wide disparity between storage and bandwidth. Many competitors propose solutions such as DIY cloud backup or standalone solutions, however, they all fall short. Such solutions often include their own set of problems such as higher expense, lack of automation, or even security and compliance concerns.
Recognizing an opportunity to create an impactful solution, Druva came up with six software must-haves to beat the competition.
Druva understands that for so many businesses, simplicity is key. The company created a “pizza factor”, a tool to help keep the team at Druva accountable. Druva users can expect to run and complete their backups in the time it takes to have a pizza delivered, 30 minutes.
In addition to low bandwidth and storage utilization, the company also emphasizes WAN optimization as an important feature. WAN-optimization gets rid of differential and incremental backup, instead of providing a quick and easy restoration of data.
Finally, as the sixth important feature, Druva considered scalability. The company sought to develop software that allowed for linear scalability for large enterprises. In this way, companies with many users could maximize performance and productivity.
With these in mind, the company focused on developing software that was so necessary, businesses would be foolish to decline.
The company first launched Druva InSync, a program that can back up a number of laptops using just one centralized server. This program can protect endpoints and SaaS applications such as laptops, desktops, both Android and iOS mobile devices, and more.
Moreover, employers can rest assured that their cloud-based applications such as Google Workspace, Salesforce, and others are also protected.
As a platform promising to provide “unshakeable, immovable or fixed” security, customer data protection is key at Druva. Customers can recover data subjected to ransomware attacks with InSync’s ransomware protection feature.
And with their ransomware protection software, customers avoid attacks altogether when the system alerts them to unusual account activity. The program is proactive at preventing the spread of malware and reinfection and helps to recover the last clean data snapshot.
That’s not all.
Customers have access to compliance monitoring, deletion defense, legal hold, and much more with the InSync program. And if that isn’t enough, InSync supports physical and virtual platforms for servers such as Windows and Linux. It also supports a number of platforms for remote and local users such as Windows, Mac, and Linux.
Even better, the size of this all-encompassing program, including both server and client, is only 40 MB. Additionally, the program does not require any other supporting application, such as a database or web server.
The benefit of using Druva InSync became obvious to many potential customers. By developing an entirely automated program with capabilities to support 2,000 laptops, the company saw great fortune. And with the newly found success of Druva InSync, the company quickly took off.
How Does Druva Make Money?
The company boasts of having 50 Fortune 500 companies utilizing their platform as well as three Fortune 15 companies. Although managing backups is a critical task, it is also a time-consuming one.
For these companies and more, their SaaS platform makes managing and maintaining their workload convenient, all while keeping it secure. According to Druva, companies can rest assured that their data is “always on, and always safe”.
Druva makes money by helping customers save time and energy. By using their software, they not only have the ability to back up their data but recover any lost data as well. This is a huge draw for customers, and undoubtedly how the company has earned the trust of thousands of enterprises.
The company also offers a free trial for potential customers needing a push to join the program. Oftentimes, many of these customers eventually switch over to a paid plan after recognizing the enormous benefit of using their software.
Data Center Paid Plans
Druva offers three credit-based plans to support customers who are interested in maximizing the tools in their data center.
Under this plan, users receive the basic essentials to get them started for a monthly cost of $210 per TB. With up to 50% less total cost of ownership than legacy backup and storage, users can access many useful features.
Such features include global deduplication, deployment for U.S. government cloud, and much more.
With this plan, customers pay a set price of $240 monthly. In exchange, they have access to all of the valuable tools and resources found in the Business plan plus more.
Users can access a number of recovery programs such as the VMware file level, ransomware recovery and for an additional fee, cloud disaster.
Additionally, the plan offers helpful tips and techniques including storage insights and recommendations.
The Phoenix Elite plan offers the same features found in the previous packages with an added cloud disaster recovery program.
For $300 monthly, enterprises can maximize the company software to drive their performance to its highest potential.
SaaS Applications Plans
Similar to the Data Center plans, Druva offers three plans for those interested in purchasing software for SaaS applications. Plan features are curated based on three applications: Microsoft Office 365, Google Workspace, and Salesforce.
Each application delivers its own benefits in varying degrees depending on the size of plan customers choose.
For example, customers opting for the lowest plan under Google Workspace receive Gmail, Google Drive, and Google Shared Drive. While customers who choose the largest plan under Salesforce receive unlimited backup retention, data anonymization, multi-regional storage, and more.
Druva offers two plans under their EndPoints program: Enterprise and Elite.
With EndPoints Enterprise, customers can access data loss prevention software, integrated mass deployment, single sign-on capabilities, and more. These features are offered for only $8 per monthly with add-on options for an additional fee.
Their Elite plan is the more popular of the two. Features include advanced deployment capabilities, additional data collection plus more for only $10 per month.
AWS Infrastructure Plans
Under their smallest plan, users can take advantage of the basic tools to help them manage a small AWS environment. Druva offers this plan at no cost, providing access to its many useful features.
These include up to 20 managed AWS resources, including 2 managed AWS accounts, as well as cross-region and cross-account DR.
A step up from their free plan is their Enterprise plan for $7 per resource monthly. Included in this plan are all of the benefits found in the Freemium plan plus many more. Users have the ability to import existing backups and gain useful benefits from file-level searches.
The Elite plan delivers all that can be found in the previous packages with a few added benefits. For $9 monthly, customers receive unlimited auto-protection by VPC, AWS account, and much more.
The great thing about Druva plans is that users are only charged for the storage that they use.
Monthly prices are not fixed, are only calculated after usage has been deduplicated and compressed. By allowing this, the company is able to earn trust and brand loyalty from customers.
Druva Funding, Valuation, and Revenue
In 2010, the company raised $5 million from investors in their series A funding round. The company more than doubled that amount a year later, totaling $12 million. With this new capital, Druva planned to further expand its technologies to drive more users to the platform.
The company would see much growth in the coming years, receiving $130 million in Series G funding in 2019. This funding round was led by prominent investor Viking Global Investors. Druva would then go on to earn over $100 million in annual recurring revenue that same year.
According to CEO and co-founder Jaspreet Singh, Druva recorded a 50-percent increase in data consumption last year. They also delivered almost two and a half billion backups. That’s two times the amount of backups compared to the prior year.
In April of this year, the company was able to raise $147 million in their series H funding round. Though their pre-money valuation was set at $1.9 billion, Druva exceeded that amount. The company earned a $2 billion valuation thanks to lead investor Caisse de Depot et Placement du Quebec.
Due to this valuation, the company was able to achieve “unicorn status”. This is a coveted title defined as a privately owned start-up earning $1 billion in company valuation.
To date, the company has been able to raise a total of over $475 million in funding. It is becoming increasingly more likely that the company is on the fast track towards even greater accomplishment.
Is Druva Profitable?
Is Druva, the cloud data management company, profitable? That question has come up in the past and we thought we should provide some clarity on the topic.
Druva is not profitable yet but is moving in the right direction. The cloud storage market is very competitive hence, Druva is investing heavily in R&D, sales, and marketing.
Druva is a highly differentiated and fast-growing company that is focused on helping organizations of all sizes unlock the potential of their data.
In a highly competitive market worth $40 billion and counting, Druva’s continued growth is telling. Their streak of achievements has helped them create a name for themselves in the industry.
While previous innovations earned the company many accolades, their increasing advancements are undoubtedly setting them up for unprecedented success.
Conclusion: How Does Druva Make Money?
This has been a fun journey. We have learned a lot about Druva and its business model. We hope that our analysis has helped you gain a better understanding of Druva, as well as its viability as an investment opportunity.
To sum up, Druva is a cloud-based data protection solution that helps organizations across the globe to efficiently secure their data.
The company aims to be at the center of digital transformation, by offering users cloud-based solutions that leverage information across the business ecosystem. It has taken a spot as a leader in the data protection industry, and its marketing strategy reflects it.
Thanks for taking the time to go through the post. We hope this post was enough to give you a clear idea of how Druva generates revenue. If you’ve enjoyed this article then please do share it with your friends on social media.
Also, if you have any questions or thoughts, please write us an email and our staff members will be glad to reply.
Have a great day!