Zenoti`s AI-Driven Smart Marketing Tool

Zenoti`s AI-Driven Smart Marketing Tool
Case Code: CLMM160
Case Length: 6 Pages
Period: 2014-2020
Pub Date: 2021
Teaching Note: Available
Price: Rs.150
Organization: SohamInc(Zenoti)
Industry: Technology & Communications
Countries: India
Themes: Platform Model, B2B Marketing, Services Marketing, Entrepreneurship
Zenoti`s AI-Driven Smart Marketing Tool


The case study ‘Zenoti’s AI-Driven Smart Marketing Tool’ describes the entrepreneurial journey of Zenoti, a US and India-based software company that offered an all-in-one cloud-based software solution for the wellness industry, including spas and salons. The case touches upon how the new software solution helpedZenoti’s subscribers simplify boththeir front office operations (including customer service, marketing, and sales) and back office operations (including record maintenance, quality compliance, billing and payments, and customer feedback). This helped the wellness center to focus exclusivelyon offering superior customer experience.

The case study then focuses on the company’s artificial intelligence (AI)-driven ‘Smart Marketing’ tool introduced in 2019 that helped Zenoti’s subscribers improve their customers’ loyaltyby enabling them to send personalized and timely e-mails to their customers. The tool used predictive algorithmsto predict the future visits and spend behavior of customersand displayed Return on Investment (ROI) and Key Performance Indicator (KPI) metrics for marketing campaigns on its dashboard. The case study then describes the Smart Marketing tool’s impact on Zenoti’s subscribers that helped Zenoti become a unicorn in 2020. The case finally touches upon the company’s future plans.


  • Learn the key role of customer experience in services marketing.
  • Understand the importance of software-as-a-service (SaaS) technologies to standardize service operations across multiple branches.
  • Learn how digital technologies can be leveraged to offer SMART Marketing solutions.
  • Become familiar with how data analytics and artificial intelligence can help improve customer relationship management and customer loyalty.
  • Become aware of how SaaS providers can differentiate their offerings through a benefits-based Unique Value Proposition (UVP) in a competitive SaaS market.


Zenoti, a software company based in Bellevue, Washington, the US, and Hyderabad, India, engaged in offering an all-inclusive cloud-based software solution for spas, salons, and medical spas , surpassed US$1 billion in valuation in 2020 after it raised US$160 million in a ‘Series D’ funding round in December. The round of funding was led by Advent International, a multinational private equity firm; Tiger Global, a global investment firm; and Steadview Capital Management, an asset management company. As of 2020, the company’s software was being used by over 12,000 spas and salons in 50 countries across the world. The same year, the company claimed that it had registered a 100 percent year-on-year growth. Sixty percent of Zenoti’s revenues in 2020 came from the US, 15-20 percent from the UK, followed by Australia and New Zealand with about 10 percent. The rest of the revenues came from India and the Middle East.


Advertising; Marketing Management; Marketing Communication; Integrated Marketing Communications; Marketing Campaign; Digital Marketing; Media Strategy; Promotion; Social Media Marketing; Communications Mix; Digital Advertising

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